Online VAT Accounting Software-UAE

What is VAT?

Value Added Tax is one of the methods of taxation, where tax is levied at every stage of production till the final good is sold to the customer. Unlike sales tax,where the end consumer pays the tax,VAT ensures taxation is divided among all the mediators in the production process. The amount of VAT the user pays is on the cost of the product, less the tax that has already been paid during the production cycle. This form of taxation (VAT) ensures there is no double taxation of the same product or services.Online VAT software for UAE is discussed below in detail.

Synopsis Of VAT in UAE

• UAE VAT will be effected from 1 st January 2018
• UAE VAT rate will be 5%
• UAE VAT will cover all products and services
• VAT is applicable to goods and services imported from abroad.

• The website available for registration tax.gov.ae
• Business should consider the Input and Output Tax, Zero Rated Tax and exempted transactions

• Returns to be filed at period of every three months.
• Group registration can be done for the companies subjected to the conditions
• Record keeping is mandatory for at least 5 years
• Taxpayers must file VAT within 28 days from the end of the tax period
• Penalties will be imposed for non-compliance.

Impact Of VAT

UAE government has publically announced implementation of VAT from 1^st January 2018.Thisconcrete step has been taken due to the fall in oil prices as UAE government generated its major revenues from oil business.

With the introduction of new taxation system all the companies, Audit  firms ,tax consultants, software companies and governmental departments are getting prepared for new  form of tax regime in the country.

With the implementation of VAT in UAE market is booming with numerous accounting software attracting companies to subscribe their accounting product. There can be promotional offers with regards to price and other features of the software. Companies   should carefully and meticulously decide the appropriate software suiting their business operations, and should also pave way for the growth of the business.

How can I make my business VAT Compliant?

• Start maintaining your financial records in orderly manner;
• Businesses will now need to develop more efficient processes;
• Cost cutting on all fronts that you feel are unnecessary;
• Restructure your business to incorporate new talent who are able to multi task;
• Incorporate a robust accounting system that has VAT module;
• Get professional help for right ways to implement systems;
• Hire professional CA firms who could do the groundwork or leg work for your business for implementation;
• Assess capability of existing systems;
• Identify VAT implementation strategy;
• Identify contracts that need a VAT action;
• Identify inter-company transactions;
• Undertake training / awareness.

• Using appropriate software meeting all the business requirements post implementation of VAT

What is an Accounting Software?

Accounting software is a type of application in a software that records and processes accounting transactions such as journal entries, profit and loss a/c accounts payable, accounts receivable, general ledger, payroll, and trial balance. It functions as an accounting information system. It may be developed in-house by the organization or, may be purchased from a third party, or may be a combination of a third-party application software package with local modifications. Accounting software may be on-line based, accessed anywhere at any time with any device which is Internet enabled, or may be desktop based. It varies greatly in its complexity and cost.

Guide to purchase the right   VAT Accounting Software

Every taxable entity registered under VAT has to file returns online every month or quarter depending on the nature of their business. From a compliance perspective, businesses that work with automated software in any way will need to update their tools to incorporate the new VAT laws. This update will affect sales operations, accounting methods, and expense management systems, therefore companies need to be confident of being VAT-compliant in all realms of the business. Besides managing business finances, software should be able to capture your contacts’ VAT details, raise VAT compliant invoices, create business reports, and generate VAT returns without hampering day to day operations.

Choosing accounting software can be challenging. Each program includes a different set of features, and most offer multiple pricing plans to choose from, which also vary by feature, number of users or another factor. Here are three items to keep in mind when selecting accounting software for your business:

1. Would you prefer inexpensive, basic accounting software or an application that exactly suits your business needs and also can be customized?
2. How many users need to access the software? Do you prefer a cloud-based system you can access anywhere Do you need it to have a mobile app?
3. What do you need the accounting software program to do? Do you need both accounts receivable and accounts payable tools? Which reports do you need it to generate? Do you need it to track inventory? Do you need it to include ancillary services, like time tracking, project management?

2) Data Security :If you are thinking forward and considering an online accounting application, then data security is the most important aspect to check.

3) Other Features

Here are some features which must be part of a good accounting package.

• Create VAT compliant invoices and customize the look and feel
• Track expenses according to categories
• Manage inventory, inward-outward stock movements and wastage
• Perform bank reconciliation by importing bank transactions
• Create purchase orders (PO) and record inventory purchases
• Create and manage taxes
• Record Journal Voucher  entries
• Manage list of customers & vendors
• View account payables & receivables
• View Balance Sheet, Profit & Loss statement and Trial Balance reports
• Add additional team members
• Support for multi-currency transactions
• Categorise transactions according to projects
• Access control for every team member
• Budgeting and Forecasting
• Generate Audit Reports
• File VAT returns

Reach Accountant Best VAT Software  in UAE

• Reach is`the ultimate destination to use software which suits 21 different business with end to end process. You can use Reach instead of using multiple software for different functions or trying to create a customized software. Reach software are VAT complaint which simplifies business.
• Being a resident of UAE or business entity it is mandatory to align business operations as per the new taxation reform. There would be many questions and perceptions running in one’s mind. One of the important concerns would be will the business be affected if new prescribed rules and regulation regards to new taxation system are not adhered. Like filing returns on time, maintaining accounts of books ,generating invoices as per VAT mandate. A mentor preferably who can be there at all time to assist and answer all the queries relating to VAT. Reach VAT software is the perfect solution proving to be your best companion in the VAT transition period.
• Reach Extended services can be availed by:

The above industries can avail the benefit of using Reach VAT Software to be VAT compliant.

Need to upgrade to Reach VAT Software :

Reach Accountant software is well designed to match all the needs for successful running of the business. The software can be used in different industries ,traders ,manufacturers, retailers,  workshop ,business projects etc. It is an accounting software that can automatically manage your book of accounts, taxes, inventory, sales, purchases and more online quickly and securely

Top Features of the VAT Software are:

• Accounting Management: All functions relating to accounts are inbuilt with the software. You can manage your Accounting Ledgers, Bank & Cash Operations, Purchase & Sales Estimates, Warehouse Allocations, Expense Recording, Expense Grouping, Payments – Part or Full, Journal Entries, Income and loss a/c, Balance sheets, Receipts – Part or Full, Contra Entries, Financial Reports, Day book.

• Tax Management: Our accounting Software automatically calculates the taxes relevant for every bill created. The Software is designed as per the government norms for calculation of VAT. It also has the option to add any number of taxes relevant to the business. In case of change in tax percentages a change it in the software on your own. All you have to do is add your tax percentage and our software will calculate the taxes automatically. This multiple tax scheme can also be applied to multiple products on a single purchase.

• Income Management: The Company can create Quotations then the same can be converted as a Sales order or Pro-forma invoice or Invoice. From Invoice you can create Receipts as well. Accountants will be able to know what payments have been received and what are pending in the reports. You can also set reminders for receiving payments.

• Expense Management: You can create Purchase Orders then the same can be converted as bill or payments. You can also create Debit notes for purchase returns. Accountants will be able to know which purchase bills have been paid and which are pending in the reports. You can also set reminders for making payments.
• Invoicing: Generates VAT compliant invoice of the company in the specified design as requested by the client or can choose from the available templates in the software. It also converts quotes to invoice .One of the features is the software can convert the Foreign currency invoices to base currency and further calculating the VAT at UAE standard rate.

·         Print Tax Invoice In Arabic: Reach software lets you print invoices in Arabic, English or both, as per the mandated guidelines of GAZT and FTA.

• Auditor View: Full-fledged Financial reports, Tax reports VAT reports, read process by auditor, with e-filing options, PF & ESI Reports, Tax Consulting Modules are some to be named.
• Check Post for VAT returns: As the software has been designed exclusively to aid individuals and entities to be VAT compliant in UAE, the set of rules and regulation laid by FTA (Federal Tax Authority) of UAE are embedded in the software. Hence any process error will be popped up by the application can be viewed .For instance wrong Tax Registration Number, incorrect taxable figure, wrong taxation period.
• Automatic Update on Tax legal Sections: As the Reach software are cloud computed software gets upgraded to update any revised tax laws and section if any in future.
• Computation Of VAT Returns: The software is inbuilt with all the detailed crucial information  on tax computation Tax Assesee can  fetch all the details of all the taxable transactions It lists down transactions which are included and excluded in the VAT return  calculate input tax, reverse charge and output tax to avail claim if any 

• Filing Of VAT Returns: The registered businesses in UAE are required to generate the VAT return File from their accounting software, login to the FTA’s e-tax portal and upload the return file. On the basis of the uploaded return file, the e-tax portal will validate the file and accordingly the details from the file will be auto-populated in the online return form. Reach VAT software is designed to ease the process of filing returns and comes under the purview of FTA prescribed set of rules and regulations.

• Receipt: Receipts can either be manually entered or imported it in excel format easily.
• Payments: Payments can either be manually entered or imported it in excel format easily.
• Multi Company: Manage business through comfort of the smart phone.
• Tally Import: Tally files can be easily imported to Reach Software of various periods and manage business easily.
• Auditor’s Report: Full Financial Report are available,Read process by Auditor,Tax Reports,VAT Report with e-filing options,PF & ESI Reports,Tax Consulting Modules are some features mentioned.
• Mobile Application: Access business information through tabs and android smart phones, pick photos of expense vouchers and attach to expenses, daily profitability and other key reports can be viewed on phone.
• Bank Synchronization: Bank Statements can be imported in to Reach software through excel files.
• Security: There is complete security of data stored in the hard disk. Data can be accessed and control by creating access restriction. One time password facilities also ensures a check in the log in to the website. 

• Run Business from anywhere: The business can be run access data from anywhere at your comfort. Just like checking mails from the laptop or systems.

• Free and Automatic Upgrades: At Reach Accountant you will be provided free services of upgrading the software frequently with new features and use it absolutely free.

• No investment in expensive hardware: The software is browser based. It just requires internet connection which can be connected to multi computers without using LAN and servers.

• API: The client can integrate the existing software with Reach accounting application ,

• Automatic Data Backup: Reach stores all the data in servers offsite with regular backups. Hence business information is safe and secure

·         User Interface & Complexity:The software is designed to make its use friendly and easy,no cumbersome process to operate the application and software.

• Scalability:It is an VAT accounting software which can scale with your business needs. . Some software companies offer only one version of the product and some have progressive versions depending the business type or size. Reach Accounting software offers both integrated an entry level version as well as a feature rich version which you might not need for the current business processing but will definitely need in future for business development.

Top Two Features of the Reach Accounting Software

• Outsourced Accounting: The software enables to finish the outsourced accounts in less than 30 minutes.

• Real Time Accounting: Allows client to record sales and purchases online, while finalizing accounts that is checking the Audit trail, providing MIS reports, checking Tax reports, printing financial reports and filing taxes.

Technology Used

Reach has implemented the latest technology Cloud Computing to handle  day to day business transactions just  a click away from your browser from any part of the world.

Cloud Computing is a concept through which organizations can manage their data centres, processes and applications online via internet on the scheme of pay for use basis.

Advantages of Cloud Accounting Software:

– Nothing to install. Just signup and start entering your transactions
– You don’t have to worry about upgrades as all changes are pushed automatically. Online softwares are always up to date.
– Can be accessed from any internet enabled device at any point of time
– Cloud accounting software providers take care of backup and maintenance which is a cost saving for you.
– Data across all your offices is always synchronised.
– It can integrate with other cloud based applications.

Pricing:

AED 1800 single user, per year
AED 3600 five users, per year
AED 5000 unlimited users, per year

Reach Accountant Online Seminar and Course to understand VAT

Our VAT courses provide a comprehensive and extensive understanding of the VAT system, covering all the aspects in depth such as fundamental principles of VAT, regulation and administration, and guidance on the interpretation and consistent application of the GCC VAT legislation.

Our diverse range of courses has been carefully designed to address business requirements at all levels; executive, managerial and operational. They are suitable for corporate and government sectors and can be customised for in-house training requirements. The highlight of the course is it comes free of cost. It is free online VAT course designed in the interest of the UAE residents. All you have to do is log in to the website  www.reachaccountant.ae for further details. The study material contains 31 videos providing practical demo, the course will very shortly be going live. Keep visiting the site for updates on free online VAT course and avail its benefits.

Zoho Books VAT Software

Zoho Books is a VAT compliant accounting software that lets you send invoices, reconcile bank transactions, manage expenses, track inventory and generate insightful reports effortlessly.

Features of  the Software

Filing Of VAT Returns

VAT-compliant invoice

Generate financial reports

Reconciliation

Multi-currency

Data Security

Sales and Purchase report

FIFO report

Pricing

AED 29 per  month per

Comparison between Reach VAT Software and Zoho Books VAT Software

Reach accountant proves to be your best companion to resolve and   tackle all business issue pertaining to financial reports, auditing ,reformation of business structure in lines with new taxation regime and for business success and growth.