VAT Filing Services in the UAE

VAT filing is the process of preparing and submitting a VAT return to the Federal Tax Authority. The return reports the output VAT charged or due on taxable supplies and the eligible input VAT incurred during a specific tax period.

Businesses and other persons registered for VAT are generally required to submit VAT returns for the tax periods assigned to them by the Federal Tax Authority.

A return may still be required even where the business had no reportable transactions during the relevant tax period.

The Federal Tax Authority assigns each VAT registrant a tax period. Many VAT-registered businesses file quarterly, while some businesses may be assigned monthly filing periods.

Businesses should confirm their applicable tax period and filing deadline through their EmaraTax account.

VAT returns and any related VAT payments are generally due within 28 days from the end of the relevant tax period, unless the Federal Tax Authority specifies a different deadline.

Businesses should always confirm the deadline shown in their EmaraTax account.

Submitting a VAT return after the applicable deadline may result in an AED 1,000 administrative penalty for the first offense. If the violation is repeated within 24 months, the penalty increases to AED 2,000.

Late payment of any VAT due is subject to a separate penalty. A monthly penalty calculated at 14% per annum applies to the unpaid tax amount, starting from the day following the payment due date and continuing monthly until the outstanding amount is settled.

Businesses may be able to recover VAT incurred on eligible business purchases and expenses, subject to UAE VAT regulations.

Input VAT recovery generally depends on factors such as the nature of the expense, its use for eligible business activities, the timing of the claim, and the availability of valid supporting documentation.

Businesses should maintain appropriate records supporting the figures reported in their VAT returns. These may include:

• Tax invoices
• Tax credit notes
• Accounting records
• Sales and purchase reports
• Import and export documents
• VAT calculations and reconciliations
• Contracts and supporting transaction documents
• Evidence supporting input VAT recovery

The exact records required will depend on the activities and transactions of the business.

A voluntary disclosure is an FTA procedure that allows a taxable person to report and correct certain errors or omissions identified in a previously submitted VAT return, VAT refund application, or tax assessment.

The appropriate correction method will depend on the nature and value of the discrepancy and the applicable FTA requirements.

Yes. VAT return errors may be corrected through the appropriate FTA procedure. Depending on the circumstances, this may involve correcting the position in a subsequent VAT return or submitting a voluntary disclosure.

Businesses should assess errors promptly to determine the correct procedure.

Yes. Our VAT specialists can review previously submitted returns, identify discrepancies, assess the appropriate correction process, and support voluntary disclosure submissions where required.

Yes. Creative Zone Tax & Accounting is an FTA-registered and approved Tax Agency. Subject to the applicable appointment and authorization procedures, our specialists can support taxable persons with VAT compliance matters and interactions with the Federal Tax Authority.

Businesses can reduce VAT compliance risks by:

• Maintaining accurate and complete records
• Reconciling VAT accounts regularly
• Applying the correct VAT treatment to transactions
• Retaining valid supporting documentation
• Reviewing VAT positions before filing
• Submitting returns and payments on time
• Addressing identified discrepancies promptly
• Seeking professional guidance for complex transactions