VAT Return Form 201 in UAE: Filing Process, Documents and Details

UAE has strict VAT compliances to ensure businesses run smoothly and comply with government rules and regulations. Accordingly, VAT-registered businesses in the UAE must file VAT Return Form 201 to report their taxable supplies, purchases, and VAT liabilities to the Federal Tax Authority (FTA). It is a standardized document designed for a specific period to calculate the amount of VAT payable or receivable for business entities, making it essential for compliance. 

This guide covers everything you need to know about the VAT Form 201  in UAE, including who needs to file it, a step-by-step process, key components, and important deadlines. Whether you're filing for the first time or need clarity on specific sections, this guide will help ensure a smooth and error-free submission.

What is VAT Return Form 201?

VAT return form 201 is an official document that VAT-registered businesses must file with the FTA quarterly or monthly. 

Every VAT-registered entity, whether filing quarterly or monthly returns, needs to submit a VAT return form 201 within 28 days from the end of the tax period. It includes details of VAT collected on sales, VAT paid on purchases, and any adjustments required.  Form 201 in VAT returns summarises a business’s taxable sales and purchases and helps determine the VAT liability or refund for a specific period. 

When to file VAT Return Form 201?

The deadline for filing a VAT return is the 28th from the month’s end, depending upon quarterly or monthly returns. Further, the frequency of the VAT return filing depends upon an entity’s taxable supplies in a particular tax period. This is as follows: 

• Quarterly returns: Businesses whose taxable supplies in the previous 12 months didn’t cross AED 150 million can file their returns every quarter. For example, the due date to file form 201 for the Jan-March quarter will be 28th April. 
• Monthly returns: Businesses whose taxable supplies in the previous 12 months have crossed the threshold of AED 150 million have to file their VAT return monthly. For example, the due date for the January month will be 28th February. 

Who Needs to File VAT Return Form 201? 

Every business entity registered under VAT should mandatorily file the VAT return form 201 UAE. These include: 

• Businesses with an annual turnover exceeding the mandatory VAT registration threshold of AED 375,000.
• Businesses that voluntarily register for VAT.
• Businesses that make taxable supplies in the UAE, even if they are not based in the UAE.

Components of VAT Return Form 201 

The following table discusses the key components of a VAT return form 201. 

Step-by-Step VAT Return Form 201 Filing Process

VAT-registered businesses in the UAE have to file their VAT Return Form 201 through the EmaraTax system, which is the FTA’s online tax portal. Below is a simplified step-by-step guide to ensure a smooth filing process.

• Register on EmaraTax – New businesses must first complete registration on the FTA’s online tax portal.
• Log in to EmaraTax – Access your account to begin the VAT return process.
• Go  to "VAT Return" – Select the relevant tax period (monthly or quarterly).
• Enter Taxable Sales & Purchases – Report sales and expenses, specifying VAT categories.
• Declare Input VAT & Adjustments – Provide details on VAT paid and any necessary corrections.
• Review VAT Calculation – The system determines VAT payable or refundable.
• Make Payment or Request Refund – Pay electronically if VAT is due or submit a refund request if applicable.
• Verify & Submit – Review all details and submit the VAT return through EmaraTax.

Details to be filled while Filing VAT Form 201 : The form consists of several sections where you must enter the following details:

• Taxable Sales: Report the total value of sales for the tax period, categorized by VAT rates (5% standard, 0% zero-rated, or exempt).
• Taxable Purchases: Enter the total value of business expenses, specifying whether the VAT paid is fully, partially, or non-recoverable.
• Input VAT on Purchases: Declare the VAT amount paid on purchases that qualify for recovery.
• Adjustments (if applicable): Include any necessary corrections, such as bad debts or reverse charge transactions.

Submit Payment or Refund Request

• If VAT is due, make the payment electronically using an approved method on EmaraTax.
• If VAT is refundable, log in to the portal and submit a refund request to the FTA.

Documents Required to File VAT Return (Form 201)

Before filing your VAT return, it’s essential to gather the necessary documents to ensure accuracy and timely submission. These include:

• VAT Registration Certificate – This document contains your Tax Registration Number (TRN), which is crucial for using the EmaraTax system.
• Financial Records – Gather all relevant financial documents, including bank statements, debit/credit notes, vouchers, invoices, and import/export records. 
• Customs Documents (for Import/Export Businesses) – If your business deals with imports or exports, customs documentation is required to calculate VAT on imported goods.

Things to Consider While Filing the VAT Return Form 201

When filling out the VAT Return Form 201, ensure that you:

• Enter all figures in United Arab Emirates Dirhams (AED)
• Round amounts to the nearest fils (up to two decimal places)
• Fill in all mandatory fields as required
• Use "0" in fields where no values need to be reported

Conclusion

For VAT-registered business entities in the UAE, the filing of VAT Return Form 201 is an important requirement to ensure transparency and compliance. Businesses file VAT return form 201 to share a consolidated report of the taxable sales, purchases, and VAT liabilities or refunds, if any. 

The returns must be filed through the EmaraTax portal within the guidelines and time limit . Failure to file timely VAT returns can result in penalties ranging from AED 1,000 to AED 40,000, making it crucial for businesses to understand the process and ensure timely submission.