There are different things that have been specified by the law in UAE which is regarding VAT. This law basically specifies the accounts that are to be maintained as well as the bookkeeping records. To learn how it all is to be done, read below;
Here are some of the accounts that are to be maintained by the people who have to pay the tax
- All the goods and services that have been supplied must be present in the record
- Invoices of the tax of the inward supplies should be maintained
- record of those goods and services that were imported by the company
- record of those goods and services that were exported by the company
- tax credit notes
- disposed of goods and services’ record that is not business related
- record of particularly those goods and services that were purchased but their input record was not recovered
- adjustment or corrections record
Tax Record of;
- Taxable supplies
- Tax to be paid on reverse charge
- The tax that is due after the errors or any sort of adjustments
- Recoverable tax (input) or imports or supplies as well
- Input tax that is recoverable after all the adjustments, corrections or other errors.
The time period for the records
All the records of the Accounts and bookkeeping should be maintained in a proper way for almost 5 whole years. All of this record is to be maintained 5 years after the ending of the tax period.
Just like all other things, the records for different things vary from each other as well. just like in this case, all the records of accounts and bookkeeping is to be maintained for at least 5 years whereas for the capital assets I am totally different. In that case, the record is to be maintained for at least 10 years from the end of the tax period to which they relate. In addition to that, the records that are of real estate are to be maintained for almost 15 years from the end of the tax period to which it is relating. This shows there are different cases and these different cases are dealt with in different manners.
Record and bookkeeping aren’t new!
People have been maintaining their records since so long. They did all this for their internal use but now they will have to do it for the sake of VAT in UAE.
After the introduction of VAT in UAE, things have changed a little in there. The records for different things are to be maintained for different time periods according to the law.
How to maintain all the records to reduce the manual efforts?
Using a software for maintaining all the records would be a better approach rather than doing each and everything manually. This will reduce the labour as well. so, it is better to use the software as they are very user-friendly and will take less time of the table person who wants to keep a record of each and everything in it.
bookkeeping services in Dubai, UAE
People can take the help of Accounting Firms in Dubai who provide the masses with the services of bookkeeping and accounts maintenance. You can easily contact Farahat & Co. whenever you need help.