Country Specific Functionality (CSF) United Arab Emirates

Overview

As your business grows and expands into the United Arab Emirates, the UAE CSF helps to keep your Epicor Financials system compliant from day one to save time and expense. The CSF package contains the most used financial and operational functionalities in the country including:

• Value Added Tax (VAT) calculation
• Filing VAT Returns
• FTA Audit File generation (FTF)

It also supports the Arabic language for the solutions included in the CSF.

VAT Returns

The FTA expects taxable persons to file their returns either on a monthly or quarterly basis. The VAT Returns functionality allows to prepare and file the VAT returns accordingly by selecting the proper start and end periods. The VAT Returns functionality covers multiple scenarios:

Goods and services delivered that are subject to:

• Standard VAT
• VAT exemption
• Reverse charge provisions

Purchases and expenses that are subject to:

• Standard VAT
• VAT exemption
• Input tax recovery

FTA Audit File (FAF)

The FTA (Federal Tax Authority) audit process usually requires businesses to submit certain accounting information in order to verify the information submitted in their tax declarations.

The FTA Audit File (FAF) is a detailed breakdown of a taxable person’s business transactions. It must be submitted in an electronic format to the FTA upon request. The UAE CSF helps provide this file in comma separated values (CSV) format.

Tax Invoice/Credit Memo

A Tax invoice is an important document for VAT. It is mandatory for a taxable person to generate a Tax Invoice/Credit Memo as per the format specified by the FTA, otherwise they are not be eligible for the Input Tax Credit (ITC) claim.

The UAE CSF supports the following document types:

• Regular invoice—for transactions within the UAE. The term ax Invoice is shown in the invoice header.
• Intra GCC invoice—for cross border supply of goods and services with the place of supply taking place in another Gulf Cooperation Council (GCC) member state. The header also includes the statement that The supply is a cross-border supply between the UAE and another GCC implementing state.
• Foreign currency invoice—for exporting from the GCC. Here, the amounts are shown both in UAE Dirham and in the respective foreign currency.
• Credit memo—the terms are shown on the header.

Certification

The Epicor Financials UAE CSF package is certified by the Federal Tax Authority (FTA) and listed by the FTA's Tax Accounting Software Register (TASR).

Exclusions

The UAE CSF currently does not include the following reports:

• FTA Excise Tax audit file - Epicor does not have any customers affected by this requirement
• Self-billed invoices - Epicor does not have any customers affected by this requirement