Value Added Tax

VAT is quite often more complex than any other tax regime around the world, for example if you are property developers or trade with GCC. The VAT notices specific to certain industries or transactions are very detailed and you would need a strong advice and planning before the transaction or your businesses may inadvertently overpay or underpay VAT.

While VAT is not intended to be a tax on business, collecting the tax and remitting it to the government will have significant compliance costs. There could also be cash flow implications. Overall, VAT raises complex issues for many business, the impact of VAT’s introduction will be wide-ranging and different from industry to industry.

We have helped number of newly and established businesses in VAT registration and implementation processes. Additionally, we have designed the whole VAT process and effective system for the clients to monitor input and output VAT and the overall impact on cash-flow. We strongly recommend businesses to understand the impact of the VAT on their businesses and customers.

We can provide training to your finance department at very low cost for the day-to-day recording of transactions, implementation of changes where required. Remember if you are trading with other GCC member states, what you should be doing or if you are exporting outside UAE or GCC what steps you need to take.

Record Keeping; There are significant records that VAT registered businesses will be required to keep, such as books of accounts, invoices, delivery notes etc.  These records will be required to be kept for a minimum of 5 years.

The FTA have provided a lot more information on the specifics of the upcoming VAT legislation, such as the appeals and assessments procedures, the availability of bad debt relief, private use of motor vehicles, precise details on the terms ‘Chargeable Persons’, ‘taxable supplies’ and regarding the principle place and timing of supplies – all of which has an impact on how businesses will have to charge, or recover, VAT.  What if services are acquired within GCC and thereafter reverse charge mechanism or what if import and then export goods.

We provide additional VAT services to name few:

• VAT inspections and negotiations with authorities if any disputes.
• Advice on VAT on commercial property acquisition, development and ongoing.
• Advice on VAT on acquiring a VAT registered business.
• Advice on VAT on cross-border transactions.
• VAT registrations, schemes and VAT cancellations.

Outsource your VAT compliancefor a small monthly fee or part of yearly package and you are free to focus on your business. Why not take advantage of our free one hour initial consultancy. Contact us