The submission of a document including details on VAT-related sales and expenses that took place during a specific tax period is referred to as VAT return filing in UAE. Businesses can calculate how much VAT they must pay and start the procedures for reclaiming or refunding VAT by filing VAT returns in the UAE. Businesses must use the Federal Tax Authority (FTA) website to submit their VAT returns.

Read the instructions for completing a VAT return if you want to learn more about VAT:

1. Register with the Internal Revenue Service: A VAT-registered business entity in the UAE has to have a Federal Tax Authority account (FTA). To start the filing process, the account is required. Employing a licensed tax agent in the UAE to set up an FTA account is necessary to ensure that all data provided to the tax office is accurate.
2. Give the FTA Information to the Taxable Person: A taxable person is a legal entity that has registered for VAT. The next stage is to furnish the regulatory body with information regarding the firm’s name, address, and tax registration number, or TRN, after beginning the VAT return filing process by opening an FTA account. If a UAE-licensed tax adviser is hired to help with the process, the specialist may enter the relevant information on the business’s behalf.

1. Provide Detailed Accounting: The FTA must be provided with all pertinent data on a company’s VAT sales and expenses for a single fiscal year. Additionally, information on costs spent at the current VAT rate of 5% must be included.
2. Provide net VAT Calculations as a result of the FTA: The Company must also provide estimates of net VAT owing after the details on VAT sales, expenses, and related inputs have been received. The VAT due amount that is greater than what may be recovered must be paid to the tax authorities. The difference can be paid back through the VAT refund or reclaim process if the recoverable amount is greater than the FTA.
3. Make a Formal Declaration: A corporate organization must exercise caution while filing VAT returns to the Federal Tax Authority of the UAE. False information can incur fines of up to tens of thousands of dirhams. One strategy to prevent accruing significant fines and penalties in the UAE is to hire a licensed tax agent or VAT expert.

 

An expert may guarantee that the company has provided verifiable information, preventing punishment. Additionally, the professional may help you complete the treatment with little to no involvement from you. A tax-controlled agent in Dubai is also familiar with VAT law and the implementation of any steps the UAE’s tax authorities may need. If you want to file VAT returns as soon as possible, don’t be afraid to give RBS Auditing a call. You may get the services you need from our professionals. In addition to submitting VAT returns, we can provide you with Dmcc free zone approved auditor or liquidation services in Dubai. Please get in touch with us; we’d be happy to help you with any of the following services.