English text status

English translation published by the NBR in its bilingual Regulations file (marked unofficial). The Arabic text published in the Official Gazette remains the legal reference in the event of any discrepancy.

Practical summary

The Group must appoint one of its members as representative under an official power of attorney. The representative fulfils Group VAT obligations, files the formation application and notifies the NBR of additions, withdrawals, dissolution or loss of the Group conditions, without removing the members' joint liability.

Who should read this?

The Group representative, directors, authorised signatories and tax-governance teams.

Why does it matter?

Centralising procedure in the representative does not centralise risk in that Person alone. Filing and notification are representative duties, while every member remains jointly liable for obligations arising during membership.

Official power of attorneyRepresentative must be a memberJoint liability remains

Current text

A. The Tax Group shall, by a power of attorney, appoint one of its members as a representative of the Tax Group. B. The Tax Group representative shall comply with all Tax obligations of the group without prejudice to the joint liability of the members of the Tax Group, including the following: 1. Submit an application to form a Tax Group in accordance with the form prepared for this purpose by the Bureau. 2. Notify the Bureau of a request to withdraw any member of the Tax Group or add new members to it. 3. Notify the Bureau of a request to disband the Tax Group for any reason, or where the conditions to register as a Tax Group no longer exist.

Govern the Group representative

  1. 1

    Select the representative from the Group members.

  2. 2

    Issue an official power of attorney with clear authority.

  3. 3

    Define who supplies Return and record data to the representative on time.

  4. 4

    Escalate any proposed addition, withdrawal or loss of conditions immediately.

  5. 5

    Do not treat the representative's actions as releasing other members from joint liability.

Connected provisions

Direct legislative link

Regulations — Article (38)

Tax Group

It defines the Group conditions and joint liability within which the representative acts.

Open connected Article
Direct legislative link

Regulations — Article (42)

Tax Group registration procedure

It requires the representative's details, power of attorney and written consent.

Open connected Article

Official guides and tools

Official text

VAT Executive Regulations

Article (39)

Official guide

VAT Registration Guide — Version 1.10

Tax Group and registration

Connected Madar tools

Connected Madar tools

VAT Registration Centre

Check registration thresholds using your inputs, with mandatory, voluntary and uncertain cases distinguished.

Illustrative example by Madar

A Group condition ceases

If a change removes a Group-registration condition, the representative should use the NBR notification and dissolution route rather than assume the Group continues until the next Return.

Questions to help you apply it

  • Is the representative a member appointed by official power of attorney?
  • Who supplies the information needed to meet Group obligations?
  • Has membership or a condition changed and triggered an NBR notification?