VAT (UAE) — Health Check
Most businesses only look closely at their VAT position when the FTA already has — a health check reverses that, reviewing past returns, invoicing practices and documentation before an audit forces the issue. Errors caught in a proactive review can often be corrected through voluntary disclosure on better terms than if the FTA finds them first. FMCA runs the review and, if an audit notice does arrive, represents the business through it.
Reviewed by FMCA's Senior Tax Advisory Team — registered FTA tax agents serving clients across the UAE and Saudi Arabia.
Four areas of work, from the historical review through to representation if an audit does arrive.
Past VAT returns reviewed against the underlying records to catch errors before the FTA does, not after.
Invoicing practices, tax invoice content and supporting documentation checked against what the FTA actually requires.
Where an error is found, a voluntary disclosure prepared and filed on terms generally more favourable than the FTA discovering it independently.
If an audit notice does arrive, representation through the process by a registered tax agent, not left to face it alone.
Errors don't announce themselves — they surface later, usually when an FTA audit forces the discovery.
Errors sitting unreviewed in past returns compound the longer they go unnoticed, and surface at the worst possible time — an FTA audit.
A business that only discovers an error once the FTA flags it loses the more favourable treatment a voluntary disclosure usually receives.
Facing an FTA audit without a registered tax agent leaves a business navigating a formal process it doesn't have the standing to challenge effectively.
The same discipline continues after the review — see VAT Return Filing for the ongoing obligation.
Both examine the same VAT position — but who initiates the review changes everything about the outcome.
Our Approach
Most VAT exposure sits quietly in past returns until an audit forces the discovery. FMCA reviews the position proactively, on the business's own timeline, and handles any correction through the channel that actually gets more favourable treatment.
How We Work
Illustrative scenarios based on the kind of work we do — not descriptions of specific named clients.
A proactive review ahead of a financing application surfaced and corrected a minor invoicing error before a lender's own due diligence could flag it.
A registered tax agent represented the business through a full FTA audit process after an audit notice arrived unexpectedly.
A predecessor's filing errors were identified during a health check and corrected through voluntary disclosure before the FTA discovered them independently.
Related Insights
FAQ
A review of past returns, invoicing practices and supporting documentation against what the FTA actually checks in an audit.
No — it's a formal correction mechanism, generally treated more favourably than the FTA discovering the error independently.
Typically as far back as the FTA's own audit window can reach, though the specific period depends on the business's filing history.
Audits can be triggered by inconsistencies in filed returns, industry-wide reviews, or routine compliance monitoring.
Yes — many businesses do this proactively, especially ahead of a financing round, sale, or simply as periodic due diligence.
Tell us where things stand and a senior consultant will get back to you directly — not a call centre.
