UAE had announced the introduction of value added tax (VAT) in the country starting January 1, 2018. The UAE blue-chip companies are ready to face the challenge of new consumption tax in January 2018. The challenge would be with the small businesses, SMEs which are a significant portion of the market, how they are going to adapt and how fast.

As per the Tax Procedures law:

  • Requires any person conducting any type of business to keep accounting records and commercial books, as well as any tax-related information as determined by the Law.
  • Tax returns, data, information, records and documents must be submitted to the authority in Arabic.
  • Registrants must include their Tax Registration Number (TRN), in all correspondence and transactions with the authority or with others.
  • Each taxable person must also prepare tax returns for each tax period and for each tax while being registered. They must then submit the tax returns to the authority and pay any payable tax as specified in the tax return or any tax assessment within the time limit.
  • The law mandates that a register of tax agents be established at the authority, which will hold files for each agent documenting his/her conduct. It is not permitted for any person to practise the profession of a tax agent in the UAE unless he/she is enrolled in the register.


It is mandatory for every taxable person to maintain books of accounts under UAE VAT law. In addition to that the authority can ask for additional documents such as, annual accounts, general ledger, VAT Ledger etc. Under the UAE VAT law, the books of accounts and records are to be maintained for five years.

Requirements for a business prior to VAT implementation:

  • Ensuring there is no backlog accounting from 2018.
  • Demand for more control and safety on stock, invoices, and records.
  • Ensure proper filing system.
  • Modification/ upgradations to software.
  • Compliance of due dates for collection, payment, and remittance of tax, a filing of VAT returns to govt. etc.

Our expertise and proficiency in accounting and book-keeping alongside our erudite team can be help your business flourish, while we take the responsibility of keeping your books up-to-date & filing your returns in an organized manner avoiding any further barriers that may cross paths with your business.

We can help you meet these requirements at feasible rates and enhanced quality.