VAT Return Form 201 is the official return form for the UAE VAT registered businesses. The form will be filed quarterly (or monthly for some businesses). It contains the details of the supplies made by a business, VAT paid, VAT refund eligibility and total VAT liability of that business.
The VAT Return Form 201 has 7 major heads, including expenses, sales, VAT, etc. One of these sections is ‘Standard Rated Supplies’ under the ‘VAT on Sales and All Other Outputs’ head. This field contains the details of the supplies made at the standard VAT rate of 5 per cent. In this article, we will discuss the process of furnishing details in the Standard Rated Supplies section of the VAT UAE return form.
Table of Contents
How to File ‘Standard Rated Supplies’ details in the VAT Return Form?
There are 8 sub-sections under the ‘VAT on Sales and All Other Outputs’ head, in which the taxpayer has to provide the details of supplies (sales) made by them during that particular tax period.
- We will review each sub-section one by one.
Standard Rated Supplies
This section contains 7 rows, one for each of the Emirates, and multiple columns, including supply amount, VAT amount, and Adjustment.
Here are the details to be filed in each of the columns.
Amount (AED): The actual amount/value of supply (excluding VAT) will be mentioned in this field, for respective Emirate.
VAT Amount (AED): The amount of VAT levied on these supplies will be furnished here, for respective Emirates.
Adjustment (AED): Any adjustments to be made in the output VAT, including adjustments for sales of commercial property, bad debts, etc need to be mentioned here. If you do not have any such adjustment, insert ‘0’ here.
Here’s how you should file the details of standard rate supplies, including VAT paid on these supplies, for the following Emirates.
- 1a. Standard rated supplies in Abu Dhabi
- 1b. Standard rated supplies in Sharjah
- 1c. Standard rated supplies in Umm Al Quwain
- 1d. Standard rated supplies in Dubai
- 1e. Standard rated supplies in Ajman
- 1f. Standard rated supplies in Ras Al Khaimah
- 1g. Standard rated supplies in Fujairah
There are 7 Emirates in the UAE, as mentioned above. The taxpayer is required to provide the details of net supply amount/value (excluding VAT), VAT amount (applicable output VAT) and tax adjustments if any.
This section will only contain the details of supplies on which VAT is levied at the standard rate of 5%.
The details of supplies made in different Emirates is required to be mentioned in the respective fields. In case if the supplies are made from fixed establishments (places of business) in the UAE, the details should be mentioned in the respective Emirate where the establishment is located. For supplies without a fixed establishment, the details should be mentioned in the respective Emirate where the recipient of the supply is located.
Type of Supplies to be Reported under the ‘Standard Rated Supplies’ section
All the following types of supplies should be included in this section.
- Standard rated sales – Mention the net value of supplies (Amount) on which VAT was charged at 5% along with output VAT amount at respective Emirate level.
- Standard rated supplies at a discounted rate – Mention the net value of supplies after reducing the discount rate, if any.
- Advance received – If you have received any advance amount against a taxable supply, it needs to be reported here along with 5% VAT amount.
- Credit note – If any credit note was issued to you, reduce its value from the standard rate of supply and mention only the net value of supply.
- Sales through vending machines – The supplies made through a vending machine need to be reported here for the tax period in which the funds were received.
- Deemed supplies – Supplies such as business gifts above the permitted limits, private use of business assets and goods/services owned by the taxpayer at the time of deregistration need to be included here.
- Supplies under Profit Margin Scheme – if you are selling goods under the profit margin scheme, report the full value of such goods excluding the VAT on the margin.
- Supplies receive from Non-resident persons – Supplies made a by a registered non-resident person to an unregistered person.
- Designated Supplies consumer in Designated Zones – Details of supplies made within designated zones and consumed within designated zones.
- Sale of Commercial Property – If you sold a commercial property for which VAT was paid by the buyer, you need to mention the details here including the output tax liability in the adjustment column.
- Errors to correct in previous tax returns – If you made an error in the previous tax periods, the net value of supplies and output tax should be adjusted according to the error amount.
Designated zone supplies not consumed with designated zones – This section will not contain the details of sales which are made within the designated zones but not consumed within these zones.
The ‘Standard Rated Supplies’ also do not include zero-rated supplies, including the exports made outside the UAE and other zero-rated goods/services.