On 1 July 2024 the Federal Tax Authority (FTA) Decision on amending the Authority's Policy on Issuing Clarifications and Directives came into force. It describes how to make a request to the FTA to obtain clarifications or directives on specific tax issues.
The FTA is an authorised agency that carries out tax control. According to Federal Decree-Law No. 13 of 2016 On the Establishment of the Federal Tax Authority, the tasks of the FTA include: administration, collection and enforcement of federal taxes and related penalties.
To achieve these tasks, the FTA may issue directives and clarifications to taxpayers related to federal taxes and related penalties.
Clarifications include:
- private clarifications;
- public clarifications;
- guides;
- e-learning programmes;
- any other clarifications issued by FTA.
Public clarifications, e-learning programmes and guidelines are subject to review and approval by the Ministry of Finance before publication.
Directives that FTA can issue upon request include:
- Administrative exemptions in certain situations, but subject to tax laws. For example, for excise tax, there is an administrative excepti...