VAT Appeals and Dispute Resolution Services
Registered Tax Agent Regulated by the FTA (Federal Tax Authority)
VAT Dispute & Appeal Services in the UAE
When reconsideration doesn’t resolve it, structured representation before the TDRC and, where needed, the courts.
A VAT dispute arises when a business has exhausted the reconsideration stage and the matter remains unresolved, or when the FTA has issued a penalty, assessment, or decision that requires formal challenge. VAT disputes involve strict procedures, defined timelines, technical arguments, and formal submissions before the relevant authorities.
- Registered FTA tax agent, managing every stage from reconsideration through TDRC objection and court escalation
- Full documentation control, since the strength of the file often matters as much as the legal argument itself
- Deadline-driven process management, tracking the 40-business-day windows at each stage of escalation
Farahat & Co. provides structured VAT dispute and appeal support, reviewing cases thoroughly, preparing the required documentation, and representing businesses at every stage of the process.
Our Specialists In VAT Reconsideration Services
Romany Shayb
Senior VAT Consultant
Ahmad Ali Jourieh
Senior VAT Consultant
Nayomi Jayaweera
VAT Consultant
As a Trusted VAT Consultancy in the UAE, Farahat & Co. Offers the Following VAT Services:
What Is a VAT Dispute in the UAE?
A VAT dispute arises when a business challenges an FTA decision after the reconsideration stage has been completed and the matter remains unresolved. This typically occurs where the business disagrees with a tax assessment, administrative penalty, or VAT treatment decision and needs to escalate the matter through the formal appeal process.
The UAE tax dispute process follows a defined sequence. VAT reconsideration is the first formal challenge, submitted directly to the FTA. If the outcome is unsatisfactory, the matter may then be escalated to the Tax Disputes Resolution Committee, which operates under the Ministry of Justice. Where the disputed amount exceeds AED 100,000, a further appeal to the competent court is available.
In simple terms: reconsideration is the FTA reviewing its own decision. A VAT dispute is what happens when that review does not resolve the matter.
When Do Businesses Need VAT Dispute Support?
VAT dispute services become necessary when:
- The reconsideration request has been rejected in whole or in part
- The FTA has issued a high-value penalty or tax assessment
- The business disagrees with the VAT treatment applied by the FTA
- The case involves complex calculations, documentation issues, or record discrepancies
- The matter carries a risk of escalation before the TDRC or the courts
- Arabic submissions and properly organised supporting evidence are required
This stage is particularly important where the financial exposure is material or where the outcome could affect future compliance, tax cash flow, or business operations.
VAT Dispute Process in the UAE, Step by Step
Step 1: Reconsideration request
A VAT dispute begins with a reconsideration request against the relevant tax decision, which must be submitted within 40 business days under Article 29 of Federal Decree-Law No. 28 of 2022 on Tax Procedures. After submission, the FTA may take up to 45 business days to review the application and issue its decision.
Step 2: Objection before the Tax Disputes Resolution Committee
If the matter is not resolved at the reconsideration stage, an objection can be filed before the Department of Tax Dispute Resolution Committees at the Ministry of Justice through the online system, generally within 40 business days of the reconsideration decision. The application must be submitted using the prescribed form along with all required documents and contact details. Payment of the disputed tax and administrative penalties is generally required before proceeding to this stage.
Step 3: Committee review and decision
The Committee reviews the objection and allows both parties to respond to each other’s arguments. The FTA states that the Committee typically issues its decision within 20 business days, with a possible extension of another 20 business days where justified.
Step 4: Court appeal, if required
Both the taxpayer and the FTA may appeal the TDRC decision before the competent courts, where the disputed amount exceeds AED 100,000, within 40 business days of the Committee’s decision. Court escalation should be approached carefully, especially in high-value, complex, or legally sensitive disputes.
Our VAT Dispute and Appeal Services
Farahat & Co. provides end-to-end VAT dispute support, covering:
- Initial case review and dispute viability assessment
- Review of the FTA decision, penalty notice, or assessment
- Analysis of the reconsideration outcome and procedural position
- Review of VAT returns, records, reconciliations, and supporting documentation
- Preparation of dispute strategy and document checklist
- Drafting and organising the objection file
- Arabic documentation support and coordination
- Representation before the Tax Disputes Resolution Committee
- Liaison and follow-up on procedural requirements at each stage
- Support with court escalation where the disputed amount exceeds AED 100,000
Documents Commonly Required for a VAT Dispute
The exact documents depend on the case, but commonly required documents include:
- The FTA decision, assessment, or penalty notice
- The reconsideration request and the FTA’s response
- VAT returns and related tax filings
- Accounting records and reconciliations
- Invoices, contracts, and transaction support
- Correspondence relevant to the disputed issue
- Schedules, calculations, and explanatory notes
- Legal authorisation or representation documents, where required
A poorly documented dispute is much harder to defend. The strength of the file often matters as much as the legal argument.
Common VAT Dispute Cases We Handle
Common matters that may require VAT dispute support include:
- Administrative penalty disputes
- Late filing or late payment penalty cases
- Disagreements over input VAT recovery
- Disputes about output VAT treatment
- VAT audit findings and assessment challenges
- Documentation-based disputes
- Tax period or reconciliation issues
- Serious allegations involving misstatement or evasion-related findings, where the matter requires careful legal and technical handling
Timeline for VAT Disputes in the UAE
VAT disputes in the UAE follow a structured process with defined timelines at each stage. A reconsideration request must be submitted within 40 business days from the date of notification of the original tax decision. Once submitted, the Federal Tax Authority may take up to 45 business days to review the completed application and issue its response.
If the reconsideration outcome is not satisfactory, an objection may be filed before the Tax Disputes Resolution Committee within 40 business days from the date of notification of the reconsideration decision. The Committee generally issues its decision within 20 business days, and this period may be extended by another 20 business days where required.
If the dispute amount exceeds AED 100,000, the TDRC decision may be appealed before the competent court within 40 business days from the date of notification of the Committee’s decision. Because VAT disputes involve strict deadlines and procedural requirements, businesses should act promptly and prepare the case carefully at each stage.
VAT Dispute vs VAT Reconsideration
| Aspect | VAT Reconsideration | VAT Dispute |
|---|---|---|
| Authority | Federal Tax Authority | Tax Disputes Resolution Committee |
| Stage | First formal challenge | Escalation after reconsideration |
| Nature | Review by the FTA of its own decision | Independent objection stage |
| Complexity | Usually lower | Usually higher |
| Documentation | Important | Critical |
| Language and procedure | Formal | More formal and often more demanding |
Why Choose Farahat & Co. for VAT Disputes
VAT disputes are not only about filling out forms. They require careful reading of the FTA decision, strong control over documents, clear presentation of the tax position, and an understanding of how the matter may progress if it is not resolved early. At Farahat & Co., we support VAT dispute matters with a practical, structured approach.
- Cross-functional expertise: our team works across tax, accounting, and supporting records, so the objection is never treated as a standalone filing exercise
- Deadline management: every stage’s 40-business-day windows are tracked from the outset, not discovered under pressure
- Full escalation coverage: from initial reconsideration through TDRC objection and, where needed, court appeal
- Established track record: over four decades supporting UAE businesses across audit, accounting, and tax compliance