A value-added tax i.e VAT is a consumption tax put on a product whenever value is added at each stage of the supply chain, from production to the point of sale. The amount of VAT the user pays is on the cost of the product, less any of the costs of materials used in the product that has already been taxed.
In the UAE, every taxable business needs to maintain records of its books. The UAE tax law requires detailed documentation for every business, as this helps keep track of the consumption tax that is mandatory to be paid on time. Proper bookkeeping and VAT record maintenance are critical, and BookRobo provides top-notch VAT accounting services in Dubai for your convenience. We are a team of professionals who have extensive knowledge of UAE VAT laws and can help you with a variety of services when it comes to VAT accounting, including tax calculation, reviewing of tax reports, filing, and much more.
VAT Filling & Accounting Services in UAE
VAT accounting will surely push companies to be more aware of all the schemes that should be learned in order to properly account for VAT and take care of other VAT affairs, such as tax filing. It is not advisable for VAT to be taken lightly since penalties are heavy for entities that are not complying with the tax laws, which have been released by the government.
Help from a VAT professional in UAE comes into the picture in this scenario. VAT services are especially useful for business people who are not used to having to deal with VAT and would rather focus on growing their business. There are a number of VAT rules that need to be understood in order to be handled. BookRobo VAT consultants will advise you on what methods you should learn and which to apply for you to manage effectively.
While accounting and bookkeeping for VAT are similar to other tax filing activities, there’s a couple of unique considerations with VAT accounting in the UAE. Being aware of the special considerations for VAT-registered businesses can help avoid surprises down the line. Unfortunately, even well-established companies still struggle with VAT’s intricacies as their operations evolve, buying trends shift, technology is developed and tax regulations in UAE change.
Businesses, small or large, must be capable of managing chargebacks, VAT complexities, constrained cash flow, and varied fixed costs in relation to the company’s books. Mishandling or misclassifying unique variables will have serious financial consequences to a business, making them among the top priorities of business owners. Regardless of whether you are a small- or medium-sized company, it is essential that accounting and financial reporting are organized. This can’t be done overnight and needs time from your side to ensure accuracy for proper execution. With these things in mind and taking care of the rest of your company, it is not an easy task to manage.
VAT consultants in UAE aim to always check if the clients are in compliance with the tax laws. Their goal is to ensure that any question or concern with regard to VAT is answered and taken care of because VAT accounting is not an easy concept to absorb, and it is their job for you to comprehend it more.
When you hire an expert company for VAT registration in UAE, you stay focused on the core part of your business. VAT experts will handle all your VAT-related issues successfully. When you invest in outsourcing the VAT registration service, you save a lot of time and money. When you hire a professional and trustworthy VAT registration service company, all your data and confidential information are processed by the experts in the best possible manner.
Bookrobo professionals in Dubai UAE are certified VAT (Value Added Tax) experts offering comprehensive services for businesses under VAT law.
Is Outsourcing VAT Accounting Necessary for a Business?
Although it is not necessary, outsourcing VAT accounting in UAE has become the norm or the usual practice of companies. An in-house department that is maintained by a business can have inexperienced staff if the business does not have the budget or resources to spend. Also, a business can have outdated technology skills. It is, therefore, an excellent choice for any business to make sure that it is fully compliant with relevant laws and making business processes easier to manage through VAT accounting outsourcing in UAE.
When a business opts to outsource the responsibility of VAT accounting and bookkeeping, it gets the ability to focus on the core business areas which can help in generating income. Also, outsourcing avoids the cost of retaining more employees and providing them with benefits!
How Can Experts Help with Outsourced VAT Accounting in UAE?
Experts from service providers of outsourced VAT accounting in UAE can provide businesses with the following:
Business accounting & advisory – an outsourced team can provide your business assistance in creating strategic plans for its growth. As a firm has seasoned accounting experts that are helping your business, you will be able to solve multifaceted issues that are specific to your industry and help make sure that you have reports to view when you want to check the cash flow of your business. Experts can also provide advice if you are looking into opportunities of the business for growing and optimizing. A service provider, if you choose an established and reputable firm in the UAE, can not only address your VAT accounting responsibilities but also provide you with a platform in improving cash flow and driving profits, ultimately helping your business grow.
Avoiding tax penalties – one of the main responsibilities of a firm that offers outsourced VAT accounting in UAE is to help organizations avoid tax penalties. Local legislation related to tax filing and preparation constantly changes. This is why it’s necessary for a business to be updated on all the changes to tax policies. Also, mistakes in the filing or preparation of tax reports can be very costly. When tax responsibilities are outsourced, experts are the ones carrying them out which means you no longer have to worry about fines and penalties from the tax authorities.
Steps to hire the right tax specialists in UAE
VAT consultants in the UAE have differing levels of education, expertise, and skills. Here’s a guide on finding the best tax professional for you:
Step 1: Determine your specific needs.
The first step in finding the right tax professionals to hire is to determine the specific services that you actually need. Most businesses in the UAE that are registered for VAT need basic tax return filing services. There are also others that require tax professionals who are capable of handling the more complex tax issues and be available to assist and consult with throughout the year.
Step 2: Ask your referrals or check online reviews.
As soon as you fully understand the scope and scale of the services that you require, it is time to start the search. The best place for doing exactly that is asking your network for referrals or recommendations.
Step 3: Verify the credentials
If you will be hiring a firm, check their licenses and permits. However, it’s still no guarantee that they will be the best fit for you. There are tax specialists and preparers that may be capable of handling simple tax affairs; however, they are not necessarily trained in providing a more in-depth tax guidance.
Step 4: Set up an interview.
You can learn so much from online reviews. However, there is still nothing that can replace a one-on-one conversation. It’s particularly important when you are on the lookout for someone that you can partner with for years. Tax season is a very busy time for regulated tax agents in Dubai. Don’t expect a lengthy conversation with professionals. But, you should ask for at least five to ten minutes of personal conversation.
What are the potential pitfalls of not hiring VAT professional for your business?
While an individual with experience in the finance industry and chartered accountancy can manage the VAT process for a smaller company, it can become overwhelming very fast if it is for a larger company. A single person will find it almost impossible to execute all the steps required for correct VAT filing. Multiple people in conjunction are required to work on the VAT process for a company, only then can the experts come to a conclusion. Along with this, VAT consultants often also have the most up-to-date information on VAT laws in the UAE, which again prevents any risk that the company may incur from VAT. As with any tax filing process, VAT is time-consuming and can detract the company from focusing on other important company objectives. The time saved from outsourcing the VAT process can be of immense value to the company. In addition, since VAT consultants do all the work for you, all records and paperwork are professionally handled by them, leaving less work for the company. This leaves the company ready for any internal or external audits as records are always available on hand.
Going forward, VAT consultants provide different techniques that help a company plan its VAT filing system better, with audit-ready records and a world-class filing system. This efficient method of dealing with the VAT will help a company stay ahead of the competition as there are fewer liabilities to deal with as a whole.
Outsource your VAT Accounting with us!
At BookRobo, we offer an unmatched VAT accounting & bookkeeping service by taking care of all your VAT needs. We embrace perfection and make sure our organization works as a one-stop solution to all of your VAT and tax-related services. For all the services regarding the taxes, we provide a dedicated tax consultant in UAE that will look after all of your transactions and make your business tax-efficient.
As mentioned above, there are a couple of accounting procedures that can make VAT accounting easier and we strive to give you the highest quality of service.
We can anticipate any problems that could arise in certain situations. With us, you can be sure that we know where you’re coming from with the dilemmas that you lay on the table for us to fix, and we can always find the answers to them.
Get in touch with us for a free consultation and find out why we’re the most popular VAT accounting services for businesses of all sizes in UAE.