Improving your in-house economical processes is necessary to keep up with the constantly changing needs of market. Outdated accounting systems should be replaced with new procedures to ensure that companies will be able to deliver excellent output consistently.
Accounting and Bookkeeping
Accounting and bookkeeping services in Dubai, UAE, keep track of finance and is integral to make strategic decisions for any company, be it startup or an established company. Accounting and bookkeeping services in the UAE are the steppingstones to an organization's success.
Very often businesses tend to outsource their non-core activities so that more resources can be focused on their main business operations and innovations. Payroll Outsourcing in UAE is one such activity that often gets outsourced. This involves engaging an external party to handle all payroll services related activities.
If you are planning to start a business, then you would have probably asked yourself the question of how to make a business plan in the UAE. It is evident that preparing and writing a business plan takes a considerable amount of time, research, and energy. This means that preparing a business plan in Dubai is not an easy task, which is why you should get in touch with experts if you don’t know about the business plan guidelines in UAE.
UAE has completed its second year since VAT was introduced on the supply of taxable goods and services. All these companies, first and foremost, are recommended to get taxation papers audited by approved tax agents in Dubai, UAE, who will exactly determine their tax compliance and pay their taxes as per the regulations led down by the Federal Tax Authority. Around 90% of the VAT registrants pay their taxes in this tax year. Therefore there is a huge hurry for VAT audit in UAE by the end of the tax year. Tax year is a 12 month period covered by tax returns, which could be monthly or can also be quarterly as specified by FTA during registration. So as we are to learn how to prepare for VAT Audit in UAE , we should get familiarized with taxation terminology, even if you are planning get work done by internal auditors or by any Tax consultant in Dubai.
Business Setup Goes Beyond
Any person, natural or otherwise, can apply for VAT Registration in the UAE if they satisfy certain conditions. Only such persons who hold a valid TRN or Tax Registration Number as issued by FTA have the right to collect and remit tax in the UAE. The Federal Decree Law Number 8 of the United Arab Emirates (UAE) requires a registrant to apply for Tax De-registration if the following conditions are met:
─If he stops making Taxable Supplies.
─If the value of the Taxable Supplies which are made over a period of (12) consecutive months is less than the Voluntary VAT Registration Threshold and said Registrant does not anticipate that they will cross the Voluntary registration threshold during the coming 30-days.
The Registrant must apply to the Authority for VAT de-registration in accordance with the cases mentioned above, within (20) business days of the occurrence of any of them. The Federal Tax Authority (FTA) shall accept a VAT Registrant’s application for Tax De-registration where the above two conditions are met. VAT De-Registration for VAT in the UAE is an online process which is accessible in the Federal Tax Authority’s online portal. Before proceeding for VAT De- registration, the applicant should consider various aspects such as turnover requirements or discontinuation of business etc.
Filing and Return
VAT Refund in the UAE: All Taxable Persons (legal person or legal individual) in the UAE are required to file VAT returns according to their tax period that will show the details of sales, purchases. Output VAT collected and input VAT that was paid during the tax period must be recorded properly.
In this context, output VAT is the amount collected by the business through its sales while input VAT is the amount that was paid to the supplier by the business.
The adjustment of input VAT and output VAT will lead to one of the two scenarios:
VAT payable: This happens when output VAT is greater than input VAT
VAT refundable: This happens when output VAT is less than input VAT
VAT Voluntary Disclosure
VAT has now become an integral part for all UAE businesses. VAT voluntary disclosure in UAE, Paying VAT to FTA (Federal Tax Authority) in UAE must be done with utmost precision and accuracy. Then you must also learn about how to rectify errors if any with VAT voluntary disclosure.