Procedure for Filing VAT Return in Dubai

Find the procedure for filing VAT return in Dubai. Once the VAT implementation starts, the returns should be submitted at the regular periods. The duration for filing it is likely to quarterly a year. The registered businesses can file their returns using the online services of the governmental tax related portal. Since the VAT is proposed to be active from January 2018, we are guiding taxpayers to file the value added tax returns too.

A VAT return is generally paid four times a year. It is a record or a statement of the VAT paid during a quarter. The rule for the duration of submission is likely quarterly a year in Dubai too. No need to get confused about the procedure of filing returns.

When to File VAT Returns

All the registered businesses and individuals should submit the quarterly record of the paid value added tax. Timely submission of the e-returns keeps the company in good books with the tax authorities. Even if you have not paid VAT, you should file the return as Nil if you are a VAT registered company. The default period for submission of the returns of value added tax is 3 months in most of the countries. The returns are filed online at the official website of the Ministry of Finance, UAE. The e-services section provides the online facilities related to the VAT returns.

How to File UAE VAT Return

The VAT e-filing will be active on the portal of Ministry of Finance. Procedure for filing VAT return in Dubai will be entirely online. No manual returns are accepted. To file the return, businesses will have to go through the online procedure. The e-services section will offer an option for the VAT return filing. The returns should be filed after every three months. Delay in filing returns may attract penalties by the tax authorities.

Generally, in the countries where the value added tax is already active, the return filing is online. An excel or PDF format for filing return is available online. An applicant needs to download the file. The required data are filled in to create an xml file. The Same file is uploaded online on the website of the Ministry of Finance. A confirmation or acknowledgement will be generated after the submission of the returns.

Why VAT Returns are Important

The VAT return is nothing but a formal way of reporting the VAT paid during a specific duration. It is to be submitted as per the documents in the record, ledger, and the financial statements. The main purpose of filing a return is to show the summary of the value added tax to the authorities. Returns are essential for performing auditing and VAT law enforcement activities. It shows the evidence of fulfilling VAT obligations. Each VAT registered individual and company needs to file returns at the stipulated intervals of 3 months.

The role of the accountant or tax consultant is very significant in complying with the VAT rules. Whether it is VAT registration, VAT returns or payment, an accounting firm in Dubai can help in the smooth VAT procedures.