Benefits of being VAT Compliant
- VAT registration enables the business to gain credibility in the market.
- Inability to provide a proper VAT invoice may lead to unwillingness of some suppliers and business partners to work with you.
- Incorrect application of VAT can cause administrative & financial mess for the company as well incur penalties for non compliance with the new tax laws and regulations.
- Claim VAT on goods and services purchased for their business. If your business is selling one sort of VAT Rated product (e.g. zero rated) while buying another (e.g. standard rated) it may receive money back from the taxing bodies in UAE.
Prepare your Business for VAT
The implementation of VAT is going full steam ahead in the country by the UAE government. Let us help you understand all that you need to know about VAT:
- Register for VAT if you have not yet registered. Refer the Deadlines section.
- Keep your Business records and VAT Invoices well maintained electronically or on paper, as Record keeping is mandatory for at least 5 years. Outsource your business accounts to a VAT licensed Accounting Firm to maintain your books as well file VAT returns quarterly. Alternatively you can train your existing accountant.
- Ensure VAT Filing is done within the time frame provided by the FTA
- Take assistance of licensed VAT Consultants or Financial Consultants to understand the VAT Law and Regulations better; the changes required in your systems & software. Map out which departments / processes will be impacted & need to be updated.
- Register for VAT training’s and seminars for better understanding.