Accounting forms a major part of the business. If done right it can take you to places and go wrong it can drown you too. Accounting sets the foundation of a business. Hence a top accounting firm in Dubai can help you get it right. Accounting is a day to day task and has a good chance of errors and mistakes. A small error on a particular day can turn the whole balance sheets faulty. To avoid such huge mistakes, businesses’ hire top Auditors in Dubai like Quanet solutions.
WE NOT ONLY PROVIDE ACCOUNTING SERVICES TO BUSINESSES BUT ALSO AUDITING AND ARE VAT CONSULTANTS IN DUBAI. WE ARE A TOP ACCOUNTING.
The main differences between accounting and auditing are the time period in which they are done. Accounting can be termed as a language of business. The whole and sole of a business rest on the efficiency of the businesses’ accounting. It is done by both company employees and also by third parties accounting firms in Dubai like us.
Accounting includes maintaining, recording and classifying the financial transactions, bank statements, profitability and financial health of a business. Accounting covers various areas of business like cost accounting, management accounting, financial accounting, government accounting, human resource accounting, social benefits accounting, etc.
With the start of VAT services in Dubai, accounting has become more cumbersome and complex. Due to strict rules and regulations of the government regarding VAT, It has become mandatory for a business to keep its accounting records fault free and genuine. There will be regular checks by the government authorities to supervise and avoid compliance issues.
To make sure your accounting is error-free and doesn’t land you in unnecessary issues and time delays or fines. Auditors in Dubai are recommended for a thorough check of all financial records of the business.
In simple terms, auditing can be defined as verification of all accounting records to label them as reliable and valid. Accounting can be carried out either by an employee or auditors in Dubai. Auditing is only done by top audit firms in Dubai. When done by an employee, his/her audit is called an internal audit. It is still needed to be checked by auditors in dubai to give it the validation stamp known as the external audit.
The top audit firms or auditors in Dubai should not be related financially to the business and must be recognized by the government in Dubai. The key statements issued after accounting are profit and loss statement, cash flow statement and balance sheet. Whereas the key requisites and deliverables of the audit include: verification of the accounting reports, walking through and understanding financial models, processes and risks of the company to provide a thorough analytical look and highlight both risk areas and business opportunities hidden.
Many business owners think audit as an unnecessary expense and are not keen on getting it done. But as per the auditors in Dubai it is a beneficial factor for the company. With the implementation of VAT services in Dubai, auditing has not only become necessary to avoid fraudulent activities but also became mandatory, as government regularly checks the past five year financial records of the company. If your financial records are not accurate, it may draw a fine upon you by the government.
Apart from helping businesses avoid unnecessary compliance issues with the government and help in VAT payments. A thorough audit of your financial records by top audit firms in Dubai can help you in other ways.
- According to the auditors in Dubai, auditing can help a business owner find any fraudulent or faulty accounting processes.
- It can increase your credit health by showing banks and investors a valid and reliable audit report by a top audit firm in Dubai.
- It will help a business owner make informed decisions for the future growth of a business.
- It can also help in highlighting weak processes in the business which can be strengthened by professionals.
- It can give you a fresh outlook of your business of how it can further improve.
- Most importantly, attract investors and stakeholders to your company.
Accounting and auditing are imperative for VAT regulations in Dubai. Here comes in picture the VAT consultants who provide VAT services in Dubai.
VAT also is known as Value added tax is a consumption tax. It is applied at all stages of the supply chain. This tax affects business more than an individual. The VAT is collected by businesses for the government. In 2018 alone, businesses collected 27 billion dirhams in VAT for the government. This figure is expected to go up as businesses will analyze their accounts for fair payment of the tax.
VAT CONSULTANTS IN DUBAI CAN HELP A BUSINESS IN ALL VAT SERVICES LIKE VAT IMPLEMENTATION, VAT REGISTRATION, AND VAT RETURN FILINGS.
The current value of VAT is 5% on all goods and services apart from some exemptions. It’s one of the lowest rates in the world. Over 150 countries levy VAT in their regimen, and it forms one of the most important sources of income for the government. The VAT services in Dubai made 1.7% of total GDP for the government. It surpassed the government expectation of 12 billion dirhams and made 27 billion dirhams in its first year itself from January to September 2018 time period.
VAT Registration: A business whose revenue exceeds AED 375,000 are mandated to register with federal tax reserve for VAT. business whose revenue exceeds 187,000 AED can also register. Companies who are registered with federal tax reserve authorities are given with a tax registration number of 15 digits. This is one of the first VAT services in Dubai any business should avail if they fall under the given revenue threshold.
VAT Implementation: VAT has been implemented in Dubai since January 2018 at a 5% rate. VAT implementation has many phases. It’s the second among the VAT services in Dubai availed after VAT registration by a business. VAT implementation is done according to UAE tax law. VAT consultants in Dubai prepare an easy to work with a plan for the business. VAT impacts many areas of business like costing, profitability, business, and working capital. Errors in VAT implementation can lead to both loss in business and penalties by the government.
VAT Return Filing: VAT returns are needed to be filed by all VAT registered companies. Irrespective of their margin. It is one of the most important VAT services in Dubai. VAT returns must be filed under the required time period. It is basically the amount of money to be reimbursed or paid to the government after calculating the input tax and output tax of the business.
Input Tax: A tax collected by the business on its goods and services
Output Tax: Tax paid by the business for goods and services it’s used from other businesses.
Easy Tax Filings: VAT is a Two-Way tax; it is paid while buying products and also while selling. As it is a consumption tax, two records are maintained by a business.
When filing for tax, it is mandatory to file both the documents to the government. If input tax received by the business is more or less than the tax paid by the business to the government then the government reimburses the difference to the business or asks the business to pay the balance. Same goes with output tax.
Having a top accounting firm audit and account your tax returns can track VAT records and provide a checklist of all the documents to act accordingly.
When you avail VAT services from Vat consultants in Dubai, they act as proof of your financial records in front of the concerned authorities.
VAT Compliance: VAT consultants in Dubai are well aware of all the tax laws and make sure your business is following all the rules and regulations to avoid compliance issues with the government and avoid all the penalties.
VAT Filing: They guide you and train your employees in filing the tax returns to the government. VAT consultants in Dubai will make payments on your behalf to the federal reserve authority.
Maintenance of Accounts and Records: When a company is registered for VAT services in Dubai. It has been made mandatory to keep all financial records of the past five years if and when government authorities decide to audit your business. VAT consultants in Dubai help you in maintaining all the records without any errors and faults.
Accounting Services: As said earlier, accounting is the backbone of any business. More so, for VAT services in Dubai.