Are you a VAT registered business needing an audit firm for VAT in Dubai?

UAE will be implementing the value-added tax from 1st January 2018. The first phase of the VAT registration will be soon rolled out. The official website of the ministry of finance will have a dedicated page to solve all VAT-related queries. If you own a business and need to register it for VAT, audit firms for VAT in UAE will be of great assistance. With the introduction of the value-added tax from the year 2018,
the auditing of the VAT compliances in the records and statements will be equally important.

A business registered under the value-added tax needs to comply with all the laws and regulations for this tax. Audit firms in Dubai are now preparing checklists and requirements for compliance with all the VAT rules.

What is VAT Auditing – VAT Auditing Services

Under the VAT mechanism, there will be a major emphasis on the assessment of tax liability. The businesses will need an independent auditor to audit the accounts of the company for the VAT. As an Audit firm for VAT in Dubai, we determine that the proper assessment is made. Any fault in the assessment may lead to an over-assessment or under-assessment.

VAT auditing is an assessment of the appropriate application of VAT by registered companies. This will help companies to remain up to the mark with the tax-implementing authorities. The actual value-added tax paid will be compared with the submitted returns for the correctness of the figures.

Requirements of Value Added Tax Auditing in Dubai

The VAT auditing schedules will require a specific set of details, documents, and records. Here is the checklist with which the businesses should be prepared.

• Month-wise sales including Net sales, VAT, and other items like freight or transportation charges should be shown separately.
• Monthly purchases including Net purchases, VAT, and other items like
  freight or transportation charges should be shown separately.
• The totalling is done according to the duration for which VAT is to be paid as well as annually
• Sales return and purchases return should be shown separately
• The opening balance of the VAT credit should be made clear
• The VAT liability should be calculated at the end of every quarter
• The figure of the returns filed should comply with the audited figure and actual paid amounts
• Reconciliation Statement should be prepared for the VAT working:
  Determination of Gross Turnover of Sales and Purchases along with Reconciliation with the Profit and Loss account/Trial Balance.

As 2018 will be a year of the beginning of VAT in the UAE, the businesses are already getting laced up with the liabilities. As the tax rules are applicable, companies will have to ensure that the taxes are paid correctly. Awareness is needed in all contexts. Auditing is also one of the integral parts of accounting. Companies will be soon looking for a professional audit firm for VAT in UAE.