Overview
A fast-growing e-commerce company in Dubai enlisted the CAS Services to help it with accounting and VAT compliance support. The company had expanded its operations to the GCC region; therefore, it was overwhelmed by the complexities of UAE VAT law and various reporting requirements for finance. They required expert advice so that they would be fully compliant while financial processes would be optimized to give support to further growth.
Challenges
Accounting and VAT compliance challenges range from a couple of issues that the client faces, including:
- Complex VAT Regulations: Under the UAE VAT, frequent updations in the laws make them change from time to time; therefore, the intricacies of the same are difficult to be understood by the clients.
- Inaccurate Financial Records: Due to rapid growth, the system of accounting of the client became completely unorganized, leading to errors in financial reporting and VAT filings.
- Limited Resources: The in-house team was not skilled or large enough to handle increasing accounting and VAT responsibilities that were falling upon the company.
- Penalty Risk: The client had a fear of financial penalties for VAT non-compliance regimes through reduction of ability to run business operations.
Our Solution
- CAS Services has delivered an attuned solution against the challenges related to accounting and VAT faced by the client:
- VAT Compliance Audit: The group made use of the client’s available VAT filings and financial records for an actual in-depth audit for discrepancies and areas of improvements.
- System Overhaul: The team restructured the Client’s accounting system, introducing automated processes to ensure accuracy and timeliness in financial reporting and related VAT filings.
- Training and Support: We provided ongoing training and support to the in-house team to enable them to efficiently manage VAT compliance.
- Outsourced Accounting Services: In this regard, we offered outsourced accounting services to substitute for the in-house team. We did all financial reporting, calculations of VAT, and filings on behalf of the clients.
- Continuous Monitoring: A properly working continuous monitoring system was in place to keep ourselves updated on any changes in VAT and to ensure that the client remained fully compliant at all times.
Result
- Full VAT Compliance: The client-maintained 100 percent compliance with UAE VAT regulations, thus avoiding any likely penalties.
- Accurate Financial Reporting: The new accounting system ensured error-free financial reporting for a clear picture of the financial health of the company.
- Operational Efficiency: The outsourcing of accounting tasks would allow the client’s internal team to focus on strategic programs for growth.
- Sustained Business Growth: With optimized financial compliance, the client could now pursue business expansion plans for the GCC region, leaving concerns about VAT and accounting issues in the background.
