VAT on Insurance Premium
We have recovered VAT on insurance premium paid to the insurance company. We were later told by our consultant that for Dubai based entities, portion of VAT paid for employee’s dependents cannot be recovered. What do we do now? How should we pay back the VAT that we have already recovered? Would there be any penalty?
Replies
Same case with us. Our insurance vendor does show breakdown of insurance related to dependents, so we claimed full vat. It should be responsibility of insurance vendor to provide such segregation when raising invoice for ease of Tax Authorities as well as insurees.
1 LikeYou should insist the insurance provider to provide the list it covered personnel...they posses the information since that is how they arrive at the premium amount...i have encountered many cases where the list is not received only coz the company does not insist on this
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