How to file VAT return in UAE?

Businesses in UAE registered under VAT must submit VAT returns to the Federal Tax Authority at the end of the tax period. It summarizes the value of supplies and purchases made during the tax period and the VAT liability of a taxable person. Filing VAT returns is necessary to comply with tax regulations and fulfil the reporting requirements set by the authority. This article covers the various aspects of VAT returns and how to file them properly in the UAE. 

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Who should file a VAT return in UAE?

In the UAE, VAT registered businesses must file VAT returns with the Federal tax authority once every tax period. 

When to file a VAT return  in UAE?

In the UAE, the deadline to file a VAT return depends on your tax period.

• Quarterly filing: Businesses with an annual turnover below AED 150 million must file VAT returns quarterly.
• Monthly filing: Businesses with an annual turnover exceeding AED 150 million must file VAT returns monthly.

The deadline for both monthly and quarterly filing is the 28th day of the month following the end of the tax period.

How to file a VAT return online in UAE?

The following are the brief steps on how to file VAT returns in UAE,

1. Access your VAT return:

• Log in to the FTA eServices portal.
• Navigate to the 'VAT' tab.
• Click on "VAT 201 - New VAT Return" to access the form.

2. Complete the VAT return form:

• Enter the following details:
• Net amounts excluding VAT: This includes the total value of your sales and other outputs, expenses, and other inputs.
• VAT amount: For each entry, provide the corresponding VAT amount.
• The system will automatically calculate your payable or refundable tax based on the information you entered.

3. Submit and review:

• Once you have completed all mandatory fields and confirmed the declaration, carefully review all entered information for accuracy.
• If everything is correct, click the "Submit" button.

4. Settle your payment (if applicable):

• If you owe VAT, head to the "My Payments" tab to settle the amount due.
• Remember: It's crucial to meet the payment deadlines set by the FTA to avoid penalties.

Completing the VAT 201 form plays a significant part in filing VAT returns. So, we have created the following sections to explain the VAT 201 form and how to fill it out. 

Also read: VAT return filing for Startups

Sections of the VAT 201 Form

The VAT 201 form categorized into 7 sections, which we have mentioned below. Each section has various boxes where taxpayers provide accurate details to complete the VAT return filing. 

• Taxable Person Details
• VAT Return Period
• VAT on sales and all other outputs
• VAT on expenses and all other inputs
• Net VAT Due
• Additional reporting requirements
• Declaration and Authorized Signatory

Step-by-Step Guide to Filing the VAT 201 Form

Below, you can find the step-by-step process to file the VAT 201 form. 

Step 1: Log in to the EmaraTax Account using the login credentials or UAE Pass.

Step 2: Select the taxable person and click the "Proceed".

Step 3: In the taxable person list, click "view" on the person you choose to file a VAT return.

Step 4: Access the VAT module and click "View all" in the My Filings tile to view all your VAT returns.

Step 5: Click "File" under the Action column to file a new VAT return for the selected period. 

Step 6: The instructions and guidelines to complete the return will appear. After you read them carefully, mark the checkbox and click "Start" to proceed to file a return.

Step 7: The section displays all the filing period details based on the selected VAT return.

Step 8: You can use the offline template to fill in your data. Click to download the template, fill in your data, and then upload the Excel file. After uploading, you can download the file again to check for any errors or clear the data if you need to upload a new Excel file.

Step 9: Enter the amount, VAT amount, and adjustments in the respective boxes.

Step 10: In Box 1, enter the values of standard rate supplies in the appropriate Emirate box.

Step 11: Box 2 will populate itself from Planet tax free system for registrants who registered under the Tourist refund scheme.

Step 12: Fill in the amount and VAT amount in the box 3.

Step 13: In Boxes 4 and 5, provide the data on zero-rated and exempt supplies.

Step 14: Box 6 populates the data received from the customs. If the data in Box 6 regarding goods imported is incomplete or incorrect, you can make adjustments in Box 7.

Step 15: Box 8 calculates data entered from boxes 1 to 7, which is the total output for the tax period.

Step 16: In Box 9, enter the amount, VAT, and adjustment amount for the standard-rated expenses. And enter the reverse charge provisions in box 10.

Step 17: Box 11 is calculated automatically and displays the total input for the period. 

Step 18: Box 12 & 13 show the period's total input and output taxes. Box 14 displays the tax payable or refundable amount. 

Step 19: Select "Yes" under the Profit margin scheme if you reported the same. If not, select no, and save it on draft. Then, click "Next step" to proceed.

Step 20: This section shows the data you've entered so far. You can double-check everything before sending it. You can also click 'Expand All' or 'Collapse All' to see or hide sections for a more detailed review.

Step 21: As you scroll down, you'll see the declaration details automatically filled in based on your VAT registration. To submit the VAT return, click the checkbox next to the declaration and click the 'Submit' button.

Step 22: The screen will show the submission details once the return is successfully submitted. You can make a note of the reference number provided for future reference.

Step 23: After submitting the return, it's important to make the tax payment before the due date. You have the option to edit the submitted data until the due date. Additionally, you can download a copy of the VAT acknowledgement return by clicking the 'Download' button.

Conclusion

Filing VAT returns in the UAE involves submitting a VAT 201 form summarising your business's VAT activity to the Federal Tax Authority. The process involves logging into the FTA eServices portal, completing the form with details like sales, purchases, and VAT amounts, and submitting it electronically. Timely filing and payment of any due tax are crucial to comply with regulations and avoid penalties.

Filings.ae experts help you to file your VAT returns without delay!!