VAT Accounting Services in Dubai, UAE – Ensure Full Compliance and Financial Accuracy

Worried about VAT compliance and the risk of costly penalties? Capital Plus Auditing of Accounts offers expert VAT accounting backed by 10+ years of experience and a dedicated team of professionals. Partner with us for accurate, hassle-free VAT management.

Capital Plus Your Strategic VAT Partner for Long-Term Business Confidence

If you think VAT accounting is just about submitting numbers, think again. One misstep can cost your business thousands in fines. That’s why 10,000+ companies across Dubai trust Capital Plus Auditing of Accounts. With over a decade of experience and a team of 15+ seasoned professionals, we don’t just handle VAT, we master it.

 Every return we file is 100% compliant with FTA standards. No guesswork. No delays. No penalties. Whether you’re operating in a mainland company or one of 20+ free zones, we bring precision, control, and confidence to your VAT process. Looking for VAT accounting services that get it right the first time? You’ve just found them.

VAT accounting services in Dubai, UAE

VAT: What is it?

Value Added Tax (VAT) was introduced in the UAE on January 1, 2018, at a standard rate of 5% on most goods and services. Aligned with GCC-wide efforts, VAT supports economic diversification and reduces reliance on oil revenue, helping fund public services and infrastructure. For businesses, VAT brought significant changes to financial compliance. Accurate registration, accounting, and timely return filing are now essential. That’s why working with professional VAT consultants in Dubai is crucial—ensuring compliance, minimizing liabilities, and avoiding costly penalties.

Why VAT Accounting Matters

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Mandatory by Law

VAT compliance is not optional in the UAE. Proper accounting ensures you meet all Federal Tax Authority (FTA) requirements and avoid heavy penalties.

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Simplifies Returns

Accurate VAT records make return filing easier, faster, and stress-free—eliminating last-minute errors and missed deadlines.

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Enables Growth

A solid VAT accounting system supports scalability and smooth financial operations as your business expands.

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Ensures Full Compliance

Proper VAT tracking acts as a built-in checklist, helping you meet every tax obligation without oversight.

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Audit-Ready Anytime

Well-maintained records simplify the audit process and reduce the pressure of unexpected FTA inspections.

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Adapts to Changes

Up-to-date VAT accounting helps you stay aligned with new tax rules and take advantage of incentives or exemptions.

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Supports National Revenue

Your compliance contributes to the UAE’s broader economic development by supporting non-oil revenue streams.

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Minimizes Risk

Timely, accurate accounting lowers the risk of penalties—giving you confidence and peace of mind.

Stay compliant. Avoid penalties. Partner with Capital Plus Auditing of Accounts

VAT Accounting Procedure in Dubai, UAE

Here’s how VAT accounting works in Dubai, explained simply and clearly:

Initial Consultation & Objective Setting

Register for VAT

If your business’s taxable supplies exceed AED 375,000 annually, you need to register for VAT. This is done online through the Federal Tax Authority (FTA) portal. Provide your trade license, financial records, and other required documents to get your Tax Registration Number (TRN).

Engagement & Planning

Issue Proper Invoices

Make sure all your invoices comply with VAT rules. Include the supplier’s name, address, TRN, the invoice date, unique number, description of goods/services, their quantity, total value, the 5% VAT rate, and the VAT amount.

Data Collection & Evidence Gathering

File Your VAT Returns

Every quarter (or monthly for larger businesses), log into the FTA portal and file your VAT return. Provide details of sales, purchases, VAT collected, VAT paid, and any adjustments. Submit it on time to avoid penalties.

Financial & Fraud Analysis

Make Payments

Pay your VAT liability through the FTA portal using an e-Dirham card or other authorized payment methods. Ensure your payments are on time to stay compliant.

Documentation & Legal Compliance

Claim Refunds

If you’ve paid more VAT (Input VAT) than you’ve collected (Output VAT), you can apply for a refund. Submit the request through the FTA portal with all the supporting documents and wait for approval.

Reporting & Recommendations

Adjust for Errors or Changes

If goods are returned, payments go bad, or you made a mistake in your previous returns, you can adjust these in your next VAT filing. Keep track of these changes to ensure your records are always accurate.

Legal Proceedings & Court Representation

Stay Organized

Hold onto all your invoices, receipts, contracts, and VAT records for at least five years. This not only keeps you prepared for audits but also makes tax time stress-free.

Follow-Up & Risk Mitigation

Be Ready for VAT Audits

The FTA can audit your business at any time. Keep everything well-documented and organized, so you can provide what’s needed quickly and confidently.

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Record Every Transaction

Keep clear and accurate records of:

  • Sales and the VAT you collect (Output VAT).
  • Purchases and the VAT you’ve paid (Input VAT).
  • Any zero-rated or exempt transactions.
  • Notes for adjustments like returns or discounts.
  • Import and export documents.
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Calculate VAT Payable

Figure out how much VAT you owe by subtracting Input VAT (the VAT you’ve paid) from Output VAT (the VAT you’ve collected). For example:

  • VAT collected on sales: AED 50,000
  • VAT paid on purchases: AED 30,000
  • VAT to pay: AED 20,000

Essential Documents for VAT Accounting in the UAE

Sales Invoices and Receipts

Purchase Invoices

VAT Return Filings

VAT Account Summary

Import & Export Records

Bank Statements

Our Other VAT Services

VAT accounting services in Dubai, UAE

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CAPITAL PLUS provided excellent service—professional, detail-oriented, and always on time. Their insights and reliability make them highly recommended!
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07:17 03 Feb 25
I had an excellent experience with Capital Plus Auditing of Accounts when incorporating my company in Dubai. From the very first contact, the team demonstrated a high level of professionalism, efficiency, and transparency throughout the entire process.I especially want to thank Zeeshan Ahmed, who assisted me every step of the way with patience and clarity. He was always available to answer my questions and ensured that everything was handled smoothly. Thanks to his support, I was able to obtain my business license and residence permit without any complications or unnecessary delays.I highly recommend their services to anyone looking to establish a business in Dubai. They are reliable, efficient, and provide comprehensive support. Five stars without a doubt!
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07:27 22 Jan 25
Capital Plus Auditing firm is a highly a professional company. They operate with ethics and integrity. Throughout our dealings with them, they were always prompt, kept us informed on progress, and never failed to answer any of our queries whether by phone call or message.I would highly recommend them to any company as they are an added asset to any organization.
The audit was clear and efficient, providing helpful insights and recommendations. It highlighted areas for improvement and confirmed our strengths. A valuable process overall.
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Frequently Asked Questions

Yes, UAE law mandates businesses to retain VAT records for at least five years to meet Federal Tax Authority (FTA) compliance requirements.

The Federal Tax Authority (FTA) is responsible for collecting VAT from registered businesses and ensuring compliance with UAE tax regulations.

A VAT accountant manages VAT compliance by handling transactions, preparing accurate VAT returns, maintaining records, and ensuring adherence to tax laws and regulations.

VAT on accounting services in the UAE is applied at the standard rate of 5%, as per Federal Tax Authority guidelines.

Yes, VAT-compliant accounting software can be customized to generate VAT 201 reports aligned with Federal Tax Authority requirements.

The VAT paid to the clearing agent is recorded as input VAT, which can be reclaimed by the business if it qualifies under FTA guidelines.

Contact with us

Phone

+971567396770

Email

info@capitalplusauditing.ae

Address

Office 605, Parklane Tower - Business Bay - Dubai

Business Hours

Monday to Friday: 9:00 AM – 6:00 PM
Saturday: 9:00 AM–2:00 PM

Capital Plust Auditing of Accounts provides services in following free zone

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