Value Added Tax
VAT Registration, Consulting & Advisory Services
As they say, any strategy, even a great one, doesn’t implement itself. Implementation is a challenging and onerous activity. We believe that implementation should be impeccable and flawless so that business can continue to function smoothly during and post implementation.
What's done by us?
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Registrations Assistance in applying for VAT registration.
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IT System Review The results of the VAT implementation project are reflected in the IT system. We do User Acceptance Testing (UAT) to guarantee system readiness and gap analysis to determine improvements needed at the Master and transactional levels.
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Impact Assessment Charting the Effect of VAT on Business Transactions, Including Effects on Different Business Functions.
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Project Manager A committed project manager will lead the implementation project and communicate with the client on a regular basis.
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Hypercare support With Hypercare help, businesses can concentrate on their core business while leaving the functional parts of VAT to a VAT expert to assure compliance and a seamless transition to the new tax regime.
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Representation Determining which areas need to be represented to the tax authorities and helping to file the necessary paperwork.
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Transition management Assistance to guarantee a smooth transition to the VAT regime.
Functional and Technical Trainings
Sharing important details about VAT with all parties involved is essential since everyone involved must adhere to and correctly execute it. Information and instruction on VAT-related topics pertaining to all significant company components are meant to be provided during training sessions.
Subjects are addressed in thorough yet condensed modules that split into the following four sections:
- Basic VAT education on the general concepts of VAT sessions of functional awareness to comprehend effects on important business functions; instruction to comprehend reporting obligations and compliances.
- Customers and vendors of the company are invited to an awareness session to help them adopt VAT for tax-compliant transactions.
Developing Standard Operating Procedures (SOPs)
An employee can carry out a task in a defined and organized way thanks to processes. The majority of the employee’s daily responsibilities are driven by processes. Being a transaction-based tax, VAT must be analyzed and every stage of the process must be in line with the provisions of VAT Law to guarantee that there are no compliance gaps. In order to determine possible regions of VAT impact, we conduct the following important steps:
- Discussing the end-to-end process with Heads of Departments (HODs) Review of the complete process’s documentation trail.
- Suggesting areas where the VAT may have an influence, such as adjustments to roles and responsibilities or documentation.
GCC VAT compliance support
We support businesses in the GCC countries with the following crucial phases in the preparation, evaluation, and filing of VAT returns:
- Review of sales and purchase registers along with sales and purchase invoices
- Review of financial information
- Review of documents, invoices, agreements, etc.
- Review of VAT return workings prepared by the Company
- Providing assistance in finalizing VAT return workings
- Assistance in filing VAT return.
- Discussing the end-to-end process with Heads of Departments (HODs) Review of the complete process’s documentation trail.
- Suggesting areas where the VAT may have an influence, such as adjustments to roles and responsibilities or documentation.
VAT Advisory
We help businesses by handling the questions that come up both during and after the introduction of VAT, and we would do the following:
- Giving continuing guidance on issues pertaining to the Company’s VAT responsibilities, such as the tax stance to be taken, potential tax liabilities, necessary paperwork, records to be kept, etc.
- Finding out how tax updates and developments will affect the tax stance that the companies have taken; helping the companies file a reconsideration in order to contest an authority decision; providing support in defending the companies in Resolution Committee meetings and court cases, etc.
Filing Clarification / Ruling applications
- Advising businesses on complicated or ambiguous issues where the stance has not changed.
- Doing technical research, such as studies conducted in different tax jurisdictions.
- Helping to design and submit requests for clarification or rulings to the appropriate authorities.
VAT Audit support
- Providing pre-audit, during audit and post audit support to Companies in form transaction advisory, documentation support, etc.
- Highlighting risks, areas of exposure / non-compliance during pre-audit and audit phase
- Advising on way-forward post completion of Audit by the authorities.
Refund Assistance
When the amount of input tax on the tax return submitted to the tax authority is greater than the amount of output tax, the VAT is refunded. Refund requests are usually examined by the tax authority before being approved. We support the following initiatives:
- On whether to file a refund application or to carry over surplus input tax to a later tax return
- Preparing the refund application and helping with submission (including document inspection relating to the refund)
- Helping to respond to inquiries made by the authorities before approving the claim.
VAT Review
Everyone has a responsibility to follow the law of the land. It is generally recognized that each new implementation needs to be promptly retested in order to ensure that it is operating as intended. Likewise, it is imperative that all organizations verify if they have been correctly adhering to the legislation of VAT and excise (if relevant) that govern the organization. As a result, a comprehensive investigation is necessary to find any gaps, the cause of the incident, its effects, and the necessary remedial action to prevent it from happening again. We do the following crucial actions:
- Review of all business transactions and corresponding tax policy;
- Review of all processes (for e.g. AR/ AP) and recommending changes thereof;
- Review of reports configured and identification of any additional requirement;
- Documentation review for e.g. contract review, invoices review, etc.
Deputation/ VAT Function Outsourcing
Taxation is a branch of knowledge which requires specific educational background along with domain specific experience. Accordingly, basis the scale of operations a tax team or tax expert is required to manage governance and compliance. We can assist companies by providing tax specialists (i.e. outsourcing, co-sourcing, deputation, etc.) so that the company has to only focus on business while tax compliances are handled by experts.