VAT Penalties – A Story of Errors, Penalty Mitigation, and Strategic Actions
As an expert accountant working for a prominent accounting firm in the UAE, we were approached by Company Y with significant exposure to VAT penalties due to errors made by their previous accountant. When reviewing their VAT filings and financial records, we discovered multiple violations that could potentially lead to heavy penalties, jeopardizing the company’s financial […]
Managing VAT Compliance with Rising Input Costs and Increased Demand
The Value Added Tax (VAT) system in the UAE was introduced on January 1, 2018, with a standard rate of 5%. This tax applies to the majority of goods and services, making it a significant component of the country’s fiscal policy. The Federal Tax Authority (FTA) oversees VAT implementation, ensuring compliance and efficient tax collection. […]
