VAT stands for Value Added Taxes, and it is collected at different stages of the supply chain. It is a type of consumption tax. The government of the UAE has implemented the VAT tax in UAE, which has been effective since 1st January 2018. It will be collected on a specific quantity of goods or services in UAE. The standard rate has been set at 5%. Different banks operating in the UAE have also been instructed to deduce the taxable amount from the bank accounts of the account holders liable to pay the VAT tax based on their businesses.
Why a VAT consultancy company:
If you are like most people, you may have no idea what VAT is, how you need to file it, and where. We can’t blame you, it is indeed a confusing process for many. The good news is that you can stop scratching your head, and do something about the issue. What you need is a professional VAT consultancy UAE, which can guide you in the filing of these taxes among other things such as the calculation of the taxable amount and so on. Now that you have decided to use the services of a professional VAT consultancy, the next step is to choose one of the many available options. You can choose from the score of different services available all over UAE, but as the saying goes, “Precaution is better than cure”. So, you must take into account some precautions before selecting a consultancy company.
What to look for:
There have been multiple instances in the past where such consultancy companies were nabbed by the authorities for tax fraud. Hence, one must always be vigilant while dealing with such situations. You should consider the following things when selecting a VAT consultancy company Abu Dhabi:
- Whichever one you choose, it is of monumental importance that you select the company which is most suitable for your needs and requirements.
- Some of these companies may be a fraud to gather details or even harm you in monetary terms. This type of fraud is called VAT fraud. Beware of such entities.
- Before finalizing, research a bit on your selected options. Look for reviews of people who have already availed the services from that particular company. The word of mouth of someone you know is of even more importance.