Vat Implementation Services In UAE.
VAT (Value Added Tax) is an indirect tax that is applied at each level during supply of goods or services or both. After having understood the VAT compliance requirements, VAT Impacts on the business and getting themselves prepared for the post-VAT era, companies require to take essential steps for VAT implementation inside their work process. The VAT implementation team at HLB HAMT works with clients to simplify their VAT implementation processes and help them operate in the new environment.
The process of VAT Implementation Service In UAE:
The HLB HAMT team helps companies to develop a workable implementation plan. This plan will involve operationalizing key steps that are identified by the clients themselves as well as those that have been recommended by the VAT consultants.
Typically, a VAT implementation service would involve the following:
Understanding of your business model to build the most suitable VAT implementation plan for your business.
Analyzing any VAT consultancy reports or study documents that have been done as a preparatory activity to the implementation.
Providing guidance to core VAT team members in the client organization about the methods of VAT in the UAE, Business type and compliance challenges on the UAE VAT Law. This would mainly involve departments like Finance, Supply Chain, Procurement etc.
The present Accounting Systems are examined thoroughly. This would involve verifying and amending the way that Accounting entries are handled and correct classification or grouping of the Chart of Accounts that suits the VAT regime. Essential guidelines will be given to the accounts team for making the first VAT return to the Federal Tax Authority (FTA).
The current IT system / ERP being used by the company needs to be reviewed and transaction test outputs are reviewed by our team to ensure VAT compliance and accuracy of treatment. Proper guidance is required for integrating the new the UAE VAT regulations inside the accounting, billing and other administrative actions. The information needed to be given to the IT team or software staffs is offered by the VAT implementation staff.
Review of your Documentation Systems and processes followed, including handing over and taking over of VAT document related responsibilities.
Filing of VAT Returns.
We assist you to prepare and file the first VAT return. This is done by verifying the entries that your team makes in terms of the VAT Input and Output Accounts. Our team verifies whether the output taxes charged are legally compliant in context of the transactions, and verifies whether the Input Tax credits claimed are legitimately allowed.
We will also look at instances where better planning or execution of transactions could have improved cash flow or could have reduced administrative tasks, and make recommendations accordingly.
Since it is the first time that VAT is being applied in the UAE, becoming compliant to the VAT rules may not always be an easy task. HLB HAMT’s VAT implementation team will assist your Finance and Accounts teams effectively, and in the best possible ways to be compliant and efficient in the new post-VAT era.