Who this is for
- Businesses approaching or above the AED 375,000 mandatory threshold
- Start-ups considering voluntary registration to recover input tax
- Registered businesses that want a reliable monthly or quarterly filing routine
- Companies that suspect errors in past returns and want them reviewed
- Free zone companies unsure how VAT applies to them
What Scaleon helps with
- Threshold monitoring and registration timing
- Preparing and submitting the VAT registration application on EmaraTax
- Preparing VAT returns from your accounting records
- Reviewing tax invoices and credit notes for required details
- Reconciling output tax, input tax and the VAT control account
- Maintaining a VAT compliance calendar
- Identifying errors and preparing corrections or voluntary disclosures, within our scope
Registration thresholds
Registration is mandatory for a resident business whose taxable supplies and imports exceeded AED 375,000 over the previous 12 months, or are expected to exceed it within the next 30 days. A business may register voluntarily where its taxable supplies and imports, or taxable expenses, exceed AED 187,500 over the same tests, which allows some start-ups to register before they make sales. Applications are due within 30 days of the obligation arising, and late registration can be penalised.
Non-resident businesses making taxable supplies in the UAE may need to register regardless of value where no one else in the UAE is responsible for accounting for the VAT.
Returns and payment
VAT returns, and any VAT payable, must generally be received by the FTA no later than the 28th day after the end of the tax period. Tax periods are usually quarterly, with monthly periods assigned in some cases, for example to larger businesses. Bank transfers can take time to reach the FTA, so payments should be made in advance of the deadline.
Records and invoice review
Input tax can generally only be recovered with valid tax invoices or other permitted documents, and output tax must be accounted for correctly on every taxable supply. We review samples of sales and purchase invoices, credit notes and import documents for required details such as TRNs, dates, descriptions and VAT amounts, and highlight issues before they flow into a return.
VAT records generally need to be kept for at least five years after the end of the tax period, and longer for records relating to real estate.
Input and output reconciliation
- Match output VAT in the ledger to sales invoices and the return
- Check input VAT claims against valid invoices and non-recoverable categories
- Review reverse-charge transactions on imported services and goods
- Reconcile the VAT control account to returns and FTA payments
- Flag apportionment where both taxable and exempt supplies are made
Corrections and voluntary disclosures
If an error is found in a past return, the correction route depends on its value and nature. Under FTA guidance, smaller errors below the specified limit may be corrected in a later return, while others require a voluntary disclosure within the set time after becoming aware of the error. Making a disclosure before the FTA begins an audit generally reduces penalties. We help quantify errors and prepare disclosures within our scope; complex or disputed matters are referred to appropriately authorised tax agents or advisers.
Information usually needed
- Trade licence and incorporation documents
- Last 12 months of sales figures and a forecast for the next 30 days (for registration)
- Sales and purchase invoices, credit notes and import documents for each period
- Bank statements and accounting ledgers
- Details of any exempt, zero-rated or out-of-scope supplies
- Customs registration details if you import or export goods
What you receive
- A threshold assessment and recommendation on registration timing
- Completed VAT registration application and TRN confirmation
- Draft VAT return with supporting reconciliation for each period
- Invoice review notes with any corrections needed
- A VAT compliance calendar with return and payment dates
What affects the fee
- Monthly or quarterly filing frequency
- Number of transactions and invoices per period
- Whether bookkeeping is maintained by Scaleon or provided by you
- Presence of imports, exports, reverse charge or exempt supplies
- Whether past periods need review or correction
Quotations are itemised, with government fees shown separately from professional fees.
How the process works
- 1
Assessment
We review turnover, expenses and supply types to confirm registration obligations and timing.
- 2
Registration
We prepare the EmaraTax application and respond to FTA clarification requests.
- 3
Period close
Each period, you share records; we reconcile ledgers, invoices and bank data.
- 4
Return preparation
We prepare the draft return and summary for your approval before the deadline.
- 5
Submission and follow-up
After approval, we assist with submission and remind you of the payment due date.
Frequently asked questions
What is the UAE VAT rate?
The standard rate is 5%. Some supplies are zero-rated or exempt, depending on what is supplied and to whom.
When must I register for VAT?
When taxable supplies and imports exceed AED 375,000 over the past 12 months, or are expected to within the next 30 days. Voluntary registration is possible from AED 187,500.
When are VAT returns due?
Returns and payment generally must reach the FTA by the 28th day after the end of each tax period.
What if I find a mistake in an earlier return?
Depending on its size, the error may be corrected in a later return or require a voluntary disclosure. Disclosing before an FTA audit generally reduces penalties.