International Tax (VAT) Services
The introduction of VAT in the GCC and the Kingdom of Bahrain in 2018 has significantly transformed the business landscape. As you prepare for VAT implementation, it’s crucial to consider several key factors to ensure smooth compliance and integration:
- Understanding VAT Laws and Regulations: Familiarize yourself with the specific VAT rules applicable in Bahrain and the GCC.
- Accurate Recovery and Accounting: Ensure precise recovery of Input Tax and proper accounting of Output Tax.
- Cash Flow Management: Develop strategies to manage cash flow effectively under the new VAT regime.
- Up-to-date Financials and Reporting: Keep your financial records current and adhere to reporting deadlines.
- Periodic Audits: Prepare for regular audits from tax authorities.
- Technology and Operational Adjustments: Upgrade your technology platform, revise operational transactions, and train your teams accordingly.
Our Approach to VAT Implementation
At iJawda, we offer a structured, comprehensive solution to VAT implementation, tailored to your specific business needs. Our approach is segmented into distinct Delivery Modules to ensure a seamless transition. The three phases of our approach are:
1. Business Review & Impact Assessment
- Strategic Discussions: Engage in in-depth discussions with top management to align on VAT strategies.
- Functional Team Meetings: Collaborate with your functional teams to understand the impact on different business areas.
- Impact Assessment: Conduct thorough assessments to evaluate the business impact of VAT and plan the way forward.
2. Design and Implementation Support
- Scenario Analysis and Risk Evaluation: Analyze various scenarios to understand risks and benefits, and develop mitigation strategies.
- Contractual and Policy Review: Review and revise contractual agreements and policies to align with VAT requirements.
- ERP & IT Support: Provide support for ERP and IT system adjustments to accommodate VAT changes.
- Related Party Transactions: Offer advice on handling VAT for transactions involving related parties.
- Legislative Updates: Keep you informed about updates in VAT legislation and advise on compliance.
3. Initial Compliance and Ongoing Support
- Training and Awareness: Provide comprehensive training to ensure your team is aware of VAT compliance requirements.
- Post-Implementation Review: Conduct reviews after implementation to ensure ongoing compliance and address any issues.
- Communication and Compliance Support: Maintain clear communication and provide continuous support for VAT compliance.
At iJawda, we are dedicated to guiding you through the complexities of VAT implementation, ensuring that your business remains compliant and thrives in the new tax environment. Let us be your partner in navigating this significant transition with confidence and ease.