Value Added Tax is an Indirect tax which is levied on most supplies of goods and services. With effect from 1 January 2018, VAT is paid at each phase of the supply chain and is valid to all eligible companies. VAT-registered companies will submit a VAT return document to the Federal Tax Authority (FTA) periodically mentioning all recoverable input VAT and output VAT due for the period.
VAT registration is compulsory for companies with annual income above AED 375,000. These companies would have to register online through e-services. Those with annual revenues exceeding AED 187,500 can opt for VAT registration based on their choice.
When your business is simple and straightforward and has no significant transactions, there are no complications in filing your taxes on your own. However, with all the new laws and reforms coming in, it is no more a simple process rather a time consuming one. This is because not all are professionals or have time for managing accounts and filing taxes. Perhaps, it is the most panicking situation for most taxpayers and business owners after the VAT policy was implemented in the UAE. Hiring a VAT consultant in UAE is perhaps the wisest decision to get rid of this heavy responsibility.
VAT Consultancy Duties and Responsibilities
A vat consultant's duties can vary depending upon the circumstances of a case. Some of a VAT consultant's primary duties include:
- Keeping organization bookkeeping and accounting sorted
- Vat calculator
- Completing VAT filing requirement
- Ensuring compliance with UAE VAT law and otherFederal Rules
Reasons for Hiring VAT Consultants
Many businesses are not familiar with the VAT measurement rules and regulations and the payment procedure. Instead of dealing with the complicated formulas, complex numbers and incorrect estimates, the companies should seek guidance from the best VAT consultants in Dubai or anywhere in UAE and avail their VAT services. Additional reasons for hiring VAT consultants are set out below.
1.They Understand Your Business Better and Implement VAT in UAE
Companies that are not registered for VAT cannot charge VAT on their sales and eventually will not be able to entitle any VAT remittance on their products. Perhaps, VAT implementation is often crucial and in fact, imperative for businesses that have not planned for VAT. Advisors at JAXA have profound knowledge about the market in the UAE. When you hire us, we visit your office to understand the business model for designing a VAT that would match your business needs.
2.Guide in Funds and Pre-Assessment
The best reason for outsourcing consultants is to get advice on how to register a VAT number.
As professionals, they already know the tax regulations in the UAE and can help speed up filing and submission. Any mistake or inaccuracy in documents can result in enormous losses in revenue as a result of penalties. Moreover, late payment also entails a penalty of getting Vat Return In Comprehensive Manner.
VAT consultants make the extra effort to ensure that the accuracy of any VAT filed is cross-checked.
With the aid of the digital network, the information undergoes rigorous verification and manual reviews. That is how data accuracy is sustained.
4.Easy VAT Registration
VAT registration is mandatory for businesses if the value of their taxable supplies has exceeded the threshold limit. VAT consultants guide on vat registration UAE, procedural formalities documents required for VAT registration.
Reason for hiring a VAT professional is that it minimizes the time needed for analysis, assessments and measuring the risks associated with the company.
6.A Global Outlook
Whether the business is merely conducting business within the UAE or elsewhere as well, it is still in some rivalry with other companies. It is part of the international business network, even if not in a competition, and so it is not possible to disregard what the other companies are doing. By hiring a VAT consultant, you'd have a way to know what VAT-related regulations are in the countries you're doing business, and how to quantify them, along with an understanding of what some of the other companies are paying and how they're doing business.
VAT consultants have a rigorous industry experience to deal with all kinds of risks in business. A VAT professional can advise out about the best options available for a company to reduce the potential risks associated with VAT.
8.Audit Ready Records
They also assist in creating files and maintain records properly to stay prepared for vat audits.
The improved process of financial tasks and activities require active consideration. It is always better to take an expert service for opinions regarding investments.
Most of the business does not have a solid understanding of VAT rules and regulations, which can hamper their operations. An expert VAT consultant can provide value-added services to its clients.
VAT consultants keep your data confidential and update the client with detailed financial reporting. Experts at JAXA have good knowledge about vat filing and other financial services. We make sure that the VAT filing process adheres to the requirements of the government and keep the documents safe and secure with us. We will help you in VAT calculation and record the transactions safely. Our services include VAT Consultancy, Management Consultancy, Software Consultancy, Audit and Assurance, Accounting and Accounting Supervision, Corporate Finance and some other services. Contact us today; we are overwhelmed to help you.