VAT Return Filing Services

Avail the best VAT return filing services in Dubai, UAE.

VAT return filing is an essential component of the VAT system, used to report the VAT received and paid by the company to the tax authorities within a certain time period. VAT Return Filing Services in UAE provide full VAT services, with qualified professionals handling all of your VAT affairs and transactions.

Reyson Badger offers one of the best and most reputable VAT Return Filing services in Dubai, providing our clients' complete satisfaction. We handle all of your VAT needs, reducing the strain on your organization.

What is VAT Return Filing

VAT Return Filing is a process whereby businesses can report their Value Added Tax (VAT) liabilities to the relevant tax authority. It involves submitting an accurate and up-to-date report of all sales, purchases, and other activities that are subject to VAT. The process helps companies fulfill their obligations under the law while ensuring they are not paying too much or too little in taxes.

The filing process includes collating data from invoices and other documents relating to VAT transactions. Businesses must also calculate the net amount of VAT due based on this information, before submitting it electronically to the tax office.

Who Needs VAT Return Filing Services?

The following businesses require VAT return filing services:

1. Businesses Registered under VAT in Dubai

All businesses registered under VAT in Dubai must file VAT returns with the Federal Tax Authority (FTA). This includes businesses with a turnover exceeding AED 375,000.

2. SMEs and Large Enterprises with Taxable Supplies

Small and medium-sized enterprises (SMEs) and large enterprises with taxable supplies must also file VAT returns. This includes businesses providing goods and services subject to VAT, such as retail, hospitality, and construction.

How to File the VAT Return in UAE: Step-by-Step Guide

Step 1: You can Log in to the FTA e-Services Portal

• Visit the Federal Tax Authority (FTA) website.
• Enter your registered username and password to access the e-Services portal.

Step 2: Access the VAT Return Form

• Navigate to the "VAT" tab on the navigation bar.
• Click on the "VAT201 – VAT Returns" option.
• Select "VAT201 – New VAT Return" to initiate the form.

Step 3: Review Taxable Person Details

• Verify pre-populated details, including your TRN (Tax Registration Number), name, and address.
• Ensure the VAT Return submission due date is correct.

Step 4: Complete the VAT Return Form

• Enter VAT on Sales and Outputs: Input the net amount of sales per Emirate under the "Amount (AED)" column. Declare the VAT amount under the "VAT Amount (AED)" column.
• Report Adjustments (if any): Use the "Adjustment (AED)" column for corrections due to bad debts or property transactions.
• Input VAT on Expenses and Inputs: Enter the total expenses for input tax recovery in the "Amount (AED)" column. Include recoverable VAT in the "Recoverable VAT Amount (AED)" column.
• Report Supplies Subject to Reverse Charge: Include foreign and local supplies subject to the reverse charge mechanism.
• Verify Pre-Populated Import Details: Confirm imported goods data from UAE Customs in Box 6. Make adjustments in Box 7 if necessary.
• Summarize Totals: Check totals automatically calculated in Box 8 for outputs and Box 11 for inputs.

Step 5: Save and Review

• Click "Save as Draft" to save your progress.
• Review the form thoroughly to ensure all details are accurate.

Step 6: Submit the VAT Return Form

• Complete all mandatory fields marked with a red asterisk (*).
• Tick the declaration checkbox to confirm the information's accuracy.
• Click "Submit" at the bottom right corner of the screen.
• Wait for the confirmation email from the FTA.

Step 7: Pay the VAT Due (If Applicable)

• Navigate to the "My Payment" tab in the e-Services portal.
• Review the total amount payable and complete the payment process.

Step 8: Request a Refund (If Eligible)

• If your recoverable tax exceeds the payable tax, select "Yes" to request a refund.
• Complete the VAT refund application (Form VAT311).

Step 9: Keep Records

• Maintain records of the submission confirmation and payment for future reference.

Common Challenges in VAT Return Filing Services

1. Incorrect VAT Calculations

Incorrect VAT calculations can lead to errors in VAT returns, resulting in penalties and fines. Common mistakes include incorrect application of VAT rates, incorrect calculation of VAT payable, and failure to account for VAT on imports and exports.

2. Missing Deadlines and Penalties

Missing VAT Return Filing deadlines can result in penalties and fines. The Federal Tax Authority (FTA) in the UAE imposes penalties for late filing of VAT returns, including a fixed penalty of AED 1,000 and a daily penalty of AED 50.

3. Lack of Understanding of VAT Regulations

A lack of understanding of VAT regulations can lead to errors and non-compliance. VAT regulations in the UAE are complex, and businesses must understand the rules and regulations to ensure accurate and timely filing of VAT returns.

Penalties for Late or Incorrect VAT Return Filing 

The Federal Tax Authority (FTA) in the UAE imposes penalties for late or incorrect VAT return filings. Here are some of the common penalties:

How UAE Businesses Can Prevent VAT Penalties

Here are some of the top VAT filing mistakes that UAE businesses should avoid:

Misapplying VAT Rates

• You must ensure that you apply the right VAT rate (standard, zero, or exempt) for each product or service.
• Supply misclassification may result in inaccurate VAT estimates and possible fines.

Incorrect Tax Point Timing

• Determine the precise point at which VAT is due on each transaction.
• Errors in the determination of the tax point lead to the VAT possibly being recorded in the wrong period.

Poor Record-Keeping

• All financial transactions, including invoices, receipts, and bank statements, should be well maintained and accurate.
• Proper record-keeping is very important for accurate VAT calculations and possible audits.

Non-Inclusion of Reverse Charge

• Understand and implement reverse charge mechanism, especially in respect of imported goods and services.
• Unless reverse charge transactions are accounted for, there may be an under-payment of VAT.

Delayed or Incorrect Filing of VAT Return

• File your VAT return timely and accurately.
• Delayed or wrong submissions will attract penalties and interest.

Outdated VAT Registration Data

• Update your VAT registration data with FTA.
• Report any change in business activity or contact particulars immediately.

Why Choose Our VAT Return Filing Services 

Expertise in Dubai's Tax Laws

Our team of experts has in-depth knowledge of Dubai's tax laws and regulations, ensuring that your VAT returns are filed accurately and on time. We stay up-to-date with the latest changes and updates in tax laws, so you can rest assured that your business is compliant.

Customized Solutions for Different Business Sizes

We understand that every business is unique, and we offer customized VAT Return Filing solutions tailored to your business size and needs. Whether you're a small startup or a large corporation, we'll work with you to ensure that your VAT returns are filed accurately and efficiently.

Transparent Pricing and Efficient Processes

Our VAT Return Filing Services are designed to be transparent and efficient. We offer competitive pricing with no hidden fees, and our streamlined processes ensure that your VAT returns are filed quickly and accurately. You'll have access to our team of experts throughout the process, and we'll keep you informed every step of the way.

Conclusion

The VAT filing Services in Dubai, UAE is extremely tough for firms with little or no expertise in filing the VAT, as it necessitates consolidated sales/purchase records. The details must also be provided in a certain format according to FTA, which adds to the complexity. Hence, it is best for all kinds of businesses to use VAT return filing services by skilled and experienced VAT consultants like Reyson Badger as we can offer the following benefits:

• Collecting and compiling all transactions for filing VAT as per the FTA format
• Development of sales/purchase summary and consolidated information
• Meeting deadlines while ensuring proper compliance all the time
• Using the latest taxation software for proper and efficient filing
• Tax agents/experts who have been approved by the FTA to represent clients in front of the authority when needed.

Calculating VAT is a time-consuming and tedious operation that requires a compilation of all taxable supplies and exports for the period. Reyson Badger is a master of VAT Refund Firms in Dubai UAE thanks to the integration of state-of-the-art technology and our impressive clients who vouch for this. We are one of the best VAT return filing services in Dubai, UAE because we understand the business goals of the company before we connect with the company.

Want to know more?

Contact us today to know how we can help you with VAT Return filing services!!!!