VAT Return Filing

Return is a statement or record, VAT return is also a statement regarding the VAT paid by the businesses during a specified period of time on goods and services categorized as taxable under the new tax law in UAE. First quarterly VAT return for Jan-Mar 18 by 28th April, 2018 is expected to file by the registered businesses via online (electronic mode).

Returns are required to be generated in acceptable format by the registered businesses according to the guidelines issued by the federal tax authority (FTA) and then they have to upload it with the authority in the portal, as businesses have to opt or choose right software that helps them in generating the return file in XML or Excel format. These VAT returns are required to be file quarterly and sometimes on monthly basis depending on their turnover.

When to file VAT return?

Individuals and registered businesses should submit the records either quarterly or monthly regarding the value added taxes paid by them, one thing that should be kept in mind is timely filing of the VAT returns. These returns should be filed when the VAT amount has been deposited with the concerned authority, VAT amount means VAT payable after adjustments (input VAT liability deducted from output VAT liability). Businesses should submit their e-returns timely as this will keep companies in the good books of the authorities which will ultimately help them in various benefits, when registered businesses are in a position where there is no VAT payable still returns should be file by the businesses, these returns are knows as NIL returns. Default time of filing the return is 3 months.

What is the procedure for filing the return?

Generate the VAT return file from the accounting software: First thing first, VAT returns either monthly or quarterly should be submitted at regular periods once the implementation starts in any country, generally the time period for filing is either 3 months which means 4 times a year or 12 times a year in case of monthly returns. Once the VAT return file is generated from certified tax accounting software refers to that software which meets the guidelines set by the FTA only those files will be allowed to be uploaded in the FTA's e-tax portal (www.tax.gov.ae).

Login to Federal Tax Authority e-tax portal using your login id’s and upload the return file:  Once the file has been generated, login in to FTA's e-tax portal (www.tax.gov.ae) and then browse and select your return file you are supposed to upload.

Auto Fill VAT Return Details and validation procedure: Next step will be auto fill of the VAT return which will auto fill the required details but only if the file is authenticated and created by a certified tax accounting software and if in case where the file is not authenticated it will display an error message on the screen.

Submission of VAT return file: After all the formalities and authentication of VAT return file, submit the VAT return file.

Our experts will help you out and will guide you regarding the procedures and filing of VAT returns.

What is the Importance of VAT Return filing?

VAT returns plays an important role for any government as these returns shows the VAT collected and paid by the businesses. It is a formal statement which shows the VAT transactions of particular period. These returns are filed on the basis of the records and books maintained by the businesses. VAT is revenue for the government so the government should have complete and accurate information regarding the same.

We can help you: The role of accountants and tax consultants are very important while we talk about VAT returns and their filings as they help in complying with the VAT rules and guidelines. Professional advice helps in many ways as they guide at each and every step so to avoid any legal action and penalties. Our skilled and dedicated tax agents and team will reduce your stress level and will also unburden you by helping you in managing the hectic and engaging task that demands continuous and regular attention. Our experts will keep a track and will help you in performing each and every important task such as filing of returns within the stipulated timeframe and they will also ensure smooth compliance of the laws and provisions etc.