🧾 VAT Classification 📋 VAT201 Filing 💎 Profit Margin Scheme 💱 Forex Adjustment 🔍 Audit Reports

File VAT Returns
with Confidence.

VigorBooks is an FTA-compliant accounting platform that automates your entire VAT workflow — from classifying transactions to generating audit-ready VAT201 returns — so you stay compliant without the complexity.

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VAT Return Summary

FTA Ready

Standard-Rated (5%)

AED 1.84M

Zero-Rated Sales

AED 360K

Output VAT

AED 92K

Input VAT

AED 31.5K

Auto-Classified 248 transactions · This Month

FTA Submitted ✓ Q4 2024 VAT Return

✅ Auto Classification

Every Transaction Classified Correctly, Every Time

Guarantee VAT compliance with VigorBooks by automatically applying the correct VAT classifications to your sales and purchase transactions as you create them — standard-rated, zero-rated or exempt — with no manual effort required.

Automatic 5% VAT on standard-rated sales and purchases at point of entry
Zero-rated classification for exports, international services and designated supplies
Exempt classification for financial services, residential property and more
Input VAT and output VAT tracked separately on every transaction
Reclassify any transaction with full audit trail of the change

Start Classifying Watch Demo

VAT Classification Auto

Standard-Rated Sales 5% AED 1,840,000

Zero-Rated Exports 0% AED 360,000

Exempt Supplies — AED 200,000

Purchases (Input VAT) 5% AED 630,000

Reverse Charge (RCM) 5% AED 48,000

248 transactions classified this quarter 100% Auto ✓

VAT201 Return — Q4 2024 FTA Ready

Standard-Rated Sales (5%) AED 1,840,000

Output VAT Collected AED 92,000

Zero-Rated Supplies AED 360,000

Exempt Supplies AED 200,000

Input VAT Recoverable AED 31,500

Net VAT Payable to FTA AED 60,500

Export VAT201 for Filing

📋 VAT Returns

File Your VAT Return in Minutes, Not Days

VAT returns and audit reports will be available for your company in full compliance with the Federal Tax Authority (FTA) standards and specifications using VigorBooks — enabling accurate and smooth tax filing every quarter.

Automatic VAT201 return populated from your live transaction data
Output VAT (on sales) and input VAT (on purchases) calculated precisely
Net VAT payable or refundable computed and ready for FTA submission
Detailed supporting schedules for each VAT box — drill down to any transaction
Export the complete return package to PDF or Excel for your records
Corporate Tax report generated with a single click per year

Generate VAT Return See How

💎 Profit Margin Scheme

VAT on Profit Only — For Second-Hand Goods

Choose the Profit Margin Scheme in VigorBooks to calculate VAT only on the profit amount, rather than the total sale price. This system is particularly important for companies dealing with second-hand goods, antiques and old collectibles.

Activate Profit Margin Scheme per product or category — no workarounds needed
VAT calculated on margin (selling price minus purchase cost) not gross sale value
Supports second-hand goods, antiques, collectibles and works of art
Separate tracking of scheme transactions vs standard-rated sales in one return
Fully aligned with UAE FTA Profit Margin Scheme guidelines

Enable Scheme Learn More

Profit Margin Scheme Active

Antique Brass Coffee Pot (1920s)

Purchase Cost AED 800

Sale Price AED 1,500

Profit Margin AED 700

VAT (5% of Margin) AED 35

Standard 5% would have been AED 75

You saved AED 40 in VAT on this item ✓

Forex Exchange Summary Base: AED

Currency Rate Amount P&L

🇺🇸 USD 3.6725 $48,000 +AED 1,240

🇬🇧 GBP 4.6310 £18,500 −AED 820

🇪🇺 EUR 3.9850 €22,000 +AED 680

🇮🇳 INR 0.0441 ₹920,000 +AED 315

Net Forex P&L (Quarter) +AED 1,415 Gain

💱 Forex & Base Currency

Lock Rates, Isolate Forex Gains & Keep Records Clean

Fix fluctuating exchange rates with a VigorBooks base currency adjustment. Single out the profit or loss from every foreign exchange deal and make sure that all your financial information remains intact and audit-ready.

Set AED as your base currency with automatic rate-locking per transaction
Live exchange rate updates or custom manual rates for each deal
Forex gain and loss isolated from operational P&L for clean reporting
Multi-currency invoices, bills and payments all converted to AED in real time
Year-end unrealised forex revaluation computed automatically for accurate books

Set Base Currency See Demo

🔍 VAT Audit Reports

Audit-Ready Reports That Satisfy the FTA

VigorBooks generates complete VAT audit reports aligned with Federal Tax Authority standards — giving your auditors everything they need to verify your returns, trace every transaction, and confirm full compliance.

Full transaction-level VAT report — every invoice, bill and credit note listed
Output and input VAT separately itemised for auditor review
Reconciliation of VAT return figures to your general ledger
Drill down from any VAT box on the return to the underlying transactions
Export audit package as PDF or Excel — FTA audit-submission ready

View Audit Reports See Demo

VAT Audit Log FTA Standard

INV-1042 — Standard-Rated Sale

Output VAT: AED 2,375 · Al-Rashid Trading

5% ✓

EXP-2024 — Zero-Rated Export

Output VAT: AED 0 · London Buyers Ltd

0% ✓

BILL-0891 — Input VAT Claim

Input VAT: AED 1,250 · Emirates Supplies

5% ✓

RCM-044 — Reverse Charge

Self-assessed VAT: AED 900 · EU Service

RCM ✓

CN-055 — Credit Note Issued

VAT Adjustment: −AED 475 · Sharjah Co.

Adj ✓

🚀 Simple Process

From Transaction to Filed Return in 4 Steps

VigorBooks automates your entire VAT workflow so filing is no longer a burden — just a routine quarterly task that takes minutes.

Record Transactions

Create your invoices, bills and expenses in VigorBooks. VAT is classified and calculated automatically at the point of entry — no extra work needed.

Review Classifications

Check your VAT classification summary any time. Override individual transactions if needed — every change is logged in the audit trail.

Generate VAT Return

Select your VAT period and click Generate. VigorBooks populates your complete VAT201 return with all boxes filled from your live data.

Submit to FTA

Export your return and audit package, log into FTA's EmaraTax portal and file. Your VigorBooks records remain as your supporting documentation.

⭐ What Our Customers Say

Trusted by UAE Businesses for VAT Compliance

From startups to established enterprises, VigorBooks makes VAT filing simple and stress-free across the UAE.

★★★★★

"VigorBooks made VAT filing feel effortless. Every transaction is auto-classified and the VAT201 is pre-filled — I just review the numbers and export. What used to take two days now takes 20 minutes."

Nour Hassan

Accountant, Nexus Trading · Sharjah

★★★★★

"The Profit Margin Scheme feature is exactly what our antique business needed. We pay VAT on profit, not the full sale price — VigorBooks handles all the calculations automatically. It's saved us thousands."

Khalid Al-Murri

Owner, Heritage Antiques · Dubai

★★★★★

"We deal in multiple currencies and tracking forex P&L used to be a nightmare. VigorBooks locks our AED base rate and separately shows the forex gain or loss — our books have never been cleaner."

Sara Al-Hashimi

Finance Director, Global Traders · Abu Dhabi

★★★★★

"Our FTA auditors were impressed by the level of detail in our VigorBooks audit reports. Every transaction, every VAT figure, reconciled and ready. We passed the audit without a single query."

Ahmed Al-Suwaidi

CFO, Suwaidi Holdings · RAK

★★★★★

"I was nervous about UAE VAT compliance as a new business. VigorBooks classified every transaction correctly from day one. I've filed four quarterly returns now and never had an issue with the FTA."

Fatima Al-Zaabi

Founder, Zaabi Boutique · Ajman

❓ FAQ

Frequently Asked Questions

Everything you need to know about VAT Returns and tax compliance in VigorBooks.

VigorBooks is built to align fully with UAE Federal Tax Authority (FTA) VAT standards and specifications. The system generates VAT returns (VAT201), audit reports and transaction schedules in the format and structure required by the FTA, making your filing process smooth and compliant. For official FTA registration requirements, you should always verify directly with the FTA portal.

When you create an invoice, bill or expense in VigorBooks, the system automatically assigns the correct VAT treatment based on the type of transaction — standard-rated (5%), zero-rated (0%) or exempt. You can also set default VAT rates on your products, services and supplier accounts so every new transaction is pre-filled correctly. You can override any classification and the change is logged in the audit trail.

The Profit Margin Scheme is an FTA-approved VAT treatment for businesses that buy and resell second-hand goods, antiques, collectibles or works of art where the original purchase did not include recoverable VAT. Under this scheme, VAT is charged only on the profit margin (selling price minus purchase cost) rather than the full sale price. This significantly reduces the VAT liability for eligible businesses. VigorBooks lets you activate this scheme per product or category.

VigorBooks uses AED as the base currency for all VAT calculations, as required by the FTA. When you record a transaction in a foreign currency, the system converts the VAT-applicable amounts to AED using the exchange rate you specify (either live or manual). Forex gains and losses from exchange rate movements are tracked separately, so your VAT figures remain accurate and your P&L is not distorted by currency fluctuations.

VigorBooks generates a full suite of VAT audit reports including: a detailed VAT transaction report (every invoice and bill with its VAT code and amount), an output VAT schedule, an input VAT schedule, a VAT return reconciliation to your general ledger, and a summary VAT201 return. All reports can be exported as PDF or Excel and are structured to meet FTA audit requirements.

Yes. VigorBooks provides a dedicated module for generating your Corporate Tax report for the year with a single click. The module computes taxable income from your accounting records, applies the applicable UAE Corporate Tax rates and produces a structured report that can be used for your annual CT filing. This keeps all your tax obligations — VAT and Corporate Tax — managed within one platform.

File VAT Returns
with Confidence.

Everything for UAE VAT Compliance

Auto Classification

VAT201 Returns

Profit Margin Scheme

Forex & Base Currency

VAT Audit Reports

Every Transaction Classified Correctly, Every Time

File Your VAT Return in Minutes, Not Days

VAT on Profit Only — For Second-Hand Goods

Lock Rates, Isolate Forex Gains & Keep Records Clean

Audit-Ready Reports That Satisfy the FTA