Tax · VAT
VAT Health Check & Compliance Review in the UAE
We review your filed VAT returns, invoices and contracts against the VAT Law, quantify any errors, prepare voluntary disclosures where needed and fix the processes behind them — so you meet an FTA audit with evidence, not surprises.
- Past Returns Reviewed
- Voluntary Disclosures
- FTA Audit Support
Licensed by Dubai DET · Licence 1394564
At a glance
- Filed returns reconciled to your ledgers
- Returns
- Sampled against the tax invoice requirements
- Invoices
- Recovery tested for evidence and blocked costs
- Input tax
- FTA audit preparation and query responses
- Audit
Most VAT errors repeat every period until someone looks
VAT mistakes rarely happen once. An exempt supply treated as zero-rated, input tax claimed on a blocked cost or a missed reverse charge on imported services is usually built into a process, so it repeats in every return. The FTA can audit past periods, and errors it finds bring tax, penalties and closer scrutiny — while an error you correct first through a voluntary disclosure is generally treated more favourably.
Smartgic’s health check is a structured review, separate from routine filing. We reconcile your filed returns to the ledgers, test a sample of sales and purchase invoices, check the VAT treatment and place of supply of your main revenue streams, and review input tax recovery and the reverse charge. You receive a findings report ranked by risk, the corrections to make, and voluntary disclosures where they are needed.
Key facts
- Filed returns reconciled to your ledgers
- Returns
- Sampled against the tax invoice requirements
- Invoices
- Recovery tested for evidence and blocked costs
- Input tax
- FTA audit preparation and query responses
- Audit
Everything covered in VAT Compliance & Health Check
The concrete scope our team delivers, grouped the way we actually run your file.
Return & Invoice Review
What you have already filed, tested against your books.
- Returns reconciled to ledgers and VAT accounts
- Tax invoice and credit note testing
- Output tax by emirate checked
- Import VAT matched to customs data
- Prior voluntary disclosures reviewed
Technical Areas Tested
The VAT positions where the money and the risk sit.
- Standard, zero-rated and exempt treatment
- Place of supply for goods and services
- Input tax recovery and blocked costs
- Reverse charge on imported services
- Deemed supplies and related-party charges
- Apportionment for exempt activity
Corrections & Readiness
Fixes made, disclosed where required, and kept in place.
- Risk-ranked findings report
- Voluntary disclosure preparation and submission
- VAT process and tax code fixes
- Staff VAT training
- FTA audit preparation and query support
What you gain with VAT Compliance & Health Check
The practical difference when the work is planned and filed properly the first time.
Errors Found Before the FTA
We look for the issues an FTA audit typically targets, so you can correct them on your terms rather than in response to an assessment.
Exposure Quantified
Each finding comes with its tax effect by period, so you know what is at stake and which corrections matter most.
Treatment Confirmed
Your main supplies are tested for the right rate and place of supply, including exports, services to overseas customers and designated zone sales.
Input Tax Protected
We check recovered VAT is backed by valid invoices and excludes blocked items — and find VAT you were entitled to recover but missed.
Processes That Stay Fixed
We correct tax codes, invoice templates and approval steps in your system, so the same errors do not reappear next quarter.
A Team That Knows VAT
Practical training shows your finance and sales staff how to issue invoices, code purchases and spot transactions that need a second look.
A clear process, step by step
One adviser owns your file from first call to completion, and you always know which step you are on.
- 01
Scope & Data Request
We agree the periods and areas to review, then request your filed returns, ledgers, invoice samples, contracts for key revenue streams and import records.
- 02
Review & Testing
We reconcile returns to the books, test invoices and credit notes, and examine supply treatment, place of supply, input tax recovery, the reverse charge and any deemed supplies.
- 03
Findings Report
You receive a report ranking each issue by risk, with the tax effect, the cause and the fix — and a clear view on which errors need a voluntary disclosure.
- 04
Corrections & Training
We prepare and submit the voluntary disclosures you approve, update your VAT processes and system settings, train your team, and support you through any FTA audit that follows.
Who it’s for and what you’ll need
Have these ready and we can move quickly. If something is missing, we will tell you what the authority accepts instead.
When a VAT health check makes sense
- You have been registered for some time and no one has reviewed past returns
- You have received an FTA audit notice or information request
- Your business model, systems or finance team has changed
- You make zero-rated, exempt or overseas supplies as well as standard-rated ones
- You are preparing for a sale, investment or due diligence
- Your input tax claims or refund requests are consistently large
Documents we’ll need
- VAT returns filed for the periods under review
- General ledger and VAT control account
- Sales and purchase registers with sample invoices
- Contracts for your main revenue streams
- Import declarations and overseas supplier invoices
- Previous voluntary disclosures and FTA correspondence
- A short description of your business model and customers
Need documents attested or translated? Our document clearing team can help.
VAT Compliance & Health Check questions
Straight answers to what clients ask us most. If yours is not here, ask us directly.
A structured review of how your business has applied VAT, carried out separately from preparing returns. We reconcile filed returns to your accounts, test invoices and contracts, and check supply treatment, place of supply, input tax recovery and the reverse charge. You receive a report of findings ranked by risk, with the tax effect and the corrections needed, including any voluntary disclosures.
A voluntary disclosure is the EmaraTax submission used to correct an error or omission in a filed VAT return, a tax assessment or a refund application. It is generally required when the error affects the tax due, unless the FTA’s rules allow that particular error to be corrected in a later return. Disclosing before the FTA raises the issue is generally treated more favourably than waiting for an audit.
The FTA notifies you before the audit, then reviews your records — at your premises or at its offices — and may ask for documents, explanations and copies of records held on your systems. You must cooperate and provide what is requested. We prepare the reconciliations and supporting files, help you answer queries accurately, and advise on your position once the FTA issues its findings.
Typical issues include exempt supplies treated as zero-rated, input tax recovered on blocked costs or without a valid tax invoice, a missed reverse charge on imported services, the wrong place of supply for services to overseas customers, late or incomplete tax invoices, and deemed supplies — such as business gifts or goods taken for private use — that were never declared.
Yes. A full review covers all your main transaction types, but a focused review of one area — export evidence, a property transaction, a new contract model, intercompany charges or a refund position — is often the better use of time before a decision or an FTA query. We agree the scope with you before starting.
There is no legal requirement. A review is worth doing after your first year of registration, when your systems or business model change, before a sale or investment, or when the FTA contacts you. Larger or more complex businesses often schedule one every year, so that errors do not build up across several periods before anyone notices.
Related services
Most clients combine these. We run them as one engagement with a single point of contact.
Let’s plan your next move
Tell us what you are planning. An adviser will come back with the route, the documents and an itemised quote — no obligation, no pressure to commit.
Visit our office
Office 44, Floor M2, BN Complex, Deira Al Muteena, Dubai, UAE
Mon – Sat, 9:00 AM – 6:00 PM (GST)
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