vat.gov.sa VAT Group Registration Saudi Arabia : General Authority of Zakat & Tax

Organization : General Authority of Zakat & Tax GAZT
Facility : VAT Group Registration
Country : Saudi Arabia
Details : https://www.vat.gov.sa/en/e-services/vat-group-registration

GAZT VAT Group Registration

Group registration is the process by which 2 or more legal persons apply grouped together for the purposes of VAT treatment.

Related : GAZT VAT Return Saudi Arabia : www.statusin.org/41839.html

The Group is treated as a single Taxable Person with consolidated Supplies and joint responsibility if the General Authority of Zakat and Tax (GAZT) approves the Group registration application.

When Is It Possible

Taxpayers may wish to register as a VAT Group, provided they meet all the following criteria :
** Each legal person is a resident in Saudi Arabia and carries out an economic activity
** Each legal person is under common control
** At least one of the legal persons is a taxable person eligible to be registered for VAT in its own right

This is particularly relevant for large companies and their subsidiaries. As long as one member of the Group is a taxable person, other entities whose annual taxable supply is below the voluntary registration threshold are eligible to join a VAT Group.

How To Register

A request to form a VAT Group should be made by one of the Group members who must already be individually registered for VAT.

The Group representative will have the primary obligation to comply with the obligations and rights of the Group on behalf of all members, without prejudice to the joint liability of the remaining members of the Group.

As part of the registration process, the applicant will be required to provide supporting documentation to evidence that the eligibility criteria are met. If the application is approved by GAZT, the VAT Group will inherit the VAT account number of the Group representative.

The VAT account numbers of the other Group members will be deactivated. Deactivation of the VAT account number prevents Group members from receiving individual filing obligations but it does not mean that they are deregistered from VAT.

Information required from the Group Representative :
** VAT eligible sales / purchases information at the total Group level
** Effective date requested for Group registration

Information required for other Group members :
** Tax Identification Number if any
** VAT eligible sales / purchases information
** Proof of association with Group member with common control, e.g.
i. Articles of association / memorandum of association
ii. Audited documents such as audited financial statements
iii. Other documents evidencing “common control”

FAQs

1. Cannot proceed to the next step in the Registration process.
The Registration process consists of multiple steps on the road map menu and next step is enabled only when all mandatory details are entered in each active step.

2. Enter “at least on main activity” error.
i. This error occurs when
** the checkbox for “main activity” is not checked for any activity
** the checkbox for “main activity” is checked for more than one activity in the Outlet
** the main activity permit details are not saved into the respective permit table

ii. All mandatory Permit details must be entered correctly and then saved into the respective permit table by clicking on “Add License” when License details are entered or “Add Activity” when CR details are entered.

3. How can I add multiple branches / Outlets?
Multiple outlets can be added by clicking on “Add Outlet” push button but this can be done only after saving the Main Outlet

4. Do I need to register with GAZT if I am an individual and doing business in KSA and have income other than the Salary?
Yes, you need to register with GAZT if you are doing business in KSA or have income from other than salary.