10 Jan How to verify fake TRN Number?
There have been many cases where some businesses are using fake Tax Registration Number (TRN) to make extra income and not exactly paying off these charges to the government. These businesses are usually small-scale and use these tactics to avoid taxes or for some, it might seem like an extra source of income. In some cases, there are some businesses who are charging VAT without showing the Tax Registration Number (TRN) on the receipt.
What is a Tax Registration Number (TRN)?
Let us understand TRN to be able to spot a fake one. Tax Registration Number (TRN) is a 15 digit unique number which will be assigned to the vendor by the FTA at the time of certification and registration.
Customers should not pay VAT unless businesses issued proper Invoices including TRN number. If any business has collected VAT, irrespective of proper Tax Invoice, it shall include it in the Tax Return and pay it to the tax authority.
How to verify the TRN on the bill?
The invoice/receipt must include the name, address, and TRN of the registered business making the supply. An invoice/receipt must have a sequential tax invoice number or a unique number and date of issue, which enables identification of the tax invoice and the order of the invoice in any sequence. The VAT amount is properly specified in the face of a valid tax invoice or receipt.
You should be able to find the TRN on the bill:
- Login in FTA portal (www.tax.gov.ae)
- Look for tab TRN Verification and click
- Enter TRN number of you supplier/ service provider as provided on tax invoice.
- Click validate
- If TRN number provided by supplier/ service provider is correct it would provide the corresponding name in English and Arabic with the respective tax registration number issued in UAE by the FTA (Federal Tax Authority).
- On clicking submit, you should be able to see the name of the entity.
Validating the TRN on the Tax invoices received would simplify and ensure correct filing of VAT returns and settlement of payable tax within the time stipulated by FTA UAE. Newly registered businesses may take some time to get their TRN.
Those traders/ businesses who have not received the TRN cannot charge VAT on their sale or service.
So it is important that customers are aware of the fact that unless and until businesses provide Tax Invoices with TRN number, customers should not pay VAT for the purchase made or services used.
A good example of an invoice / receipt
How to report a fake TRN Number?
Note that once registered, the business entity will have to print their TRN on the bill. You cannot be charged VAT without it.
You can report the fake registration over e-mail. You can also call the dedicated VAT helplines for any queries.
Download PDF – User Manual for VAT Certificate
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