The Federal Tax Authority (FTA) has conducted several initiatives to help businesses in the UAE adapt to the implemented VAT. With VAT being in effect in the UAE for more a year and a half now, many
businesses were able to successfully incorporate a system. However, it is inevitable for some, especially
new entities, to face challenges.
Several challenges are present such as:
– having an efficient VAT accounting system
– dealing with legal authorities
– making sure the business is in full compliance
– documentation for filing returns; and many more
These are among the many things that are covered under a Tax Consultant’s role. Although having a tax
consultants is not mandatory for businesses, they are useful in keeping things into place.
ROLES OF A TAX CONSULTANTS
One of the most important responsibilities of this role is mediating between the business and the
Federal Tax Authority. Dealing with tax affairs can be a very hefty task especially for businesses who are
just like others, new to the whole process.
Other important roles of a tax consultant is to:
✔ Achieve full tax compliance
✔ Manage of records and bookkeeping
✔ Prepare for VAT returns filing
✔ Keep updated with amendments on tax laws
✔ Make sure that the company is fully VAT compliant
Especially for people with owners outside the country and working remotely, it is vital to ensure
that the business does not face issues nor unwanted fines.
For corporations with smaller operations or no dedicated accounting department, tax
management usually fall on to either a single accountant, or another staff. With countless
responsibilities and the constantly amended laws and clarifications on the side, it becomes
difficult for the tasked to be updated on a constant basis.
A tax consultant would be best in naturally knowing what’s new and how it should be adapted by the
company. This eliminates the risk of non-compliance.
The government knows the risk and valuing the needs of businesses for easier compliance. With this,
they have made it possible for registered UAE taxpayers to head over to their website to link their
business accounts to accredited tax agencies. They are authorized to conduct registration procedures,
complete transactions, and conduct returns.
Tax consultants are huge help to many medium and big businesses in their adaptation and efficient
compliance to tax laws. They are also great contributors to the success of the implementation of tax
schemes in its first year in the UAE.
Without a doubt, businesses make a wise decision when they get a tax consultants set them on track. SDAC Consulting DMCC houses highly efficient, accredited tax and accounting advisors who can help your business needs. Read more about us or contact us HERE for your questions and queries.