Manage Excise Tax Efficiently with Smart Business Creation’s Audit Assistance
In the UAE, excise tax is applied to both imported and domestic goods that are harmful to human health or the environment, such as tobacco and carbonated drinks. Businesses must manage production, inventory, tax declarations, and compliance to avoid severe penalties for non-compliance.
A surprise audit in such a scenario can add significant pressure, especially if your company is unprepared. Smart Business Creation offers seamless excise tax audit assistance services, ensuring that you can confidently meet all audit requirements, even in the case of an unexpected audit.
Scope of Excise Tax Audits in the UAE
The Federal Tax Authority (FTA) has the right to conduct audits on any company that deals with excise goods. The FTA can visit your premises to collect samples or request that you visit their offices with the necessary documentation.
The purpose of the audit is to verify that:
- Tax calculations are correct
- Your tax liabilities are accurately reported
- Payments are made in accordance with the latest regulations within the legal timeframes
The FTA can send an auditor to your business without prior notice when they believe an audit is necessary.
Excise Tax Audit Procedure
An excise tax audit begins when an auditor arrives at your business. The auditor will gather and examine specific documents and records, including:
- Trade invoices
- Copies of bills of lading
- Inventory counts
- Samples of excisable finished goods
- Internal correspondence
They will verify the total tax liability against the excise tax you’ve paid to ensure there are no errors or non-compliance.
Powers of a Tax Auditor During an Excise Tax Audit
During an audit, tax auditors can access crucial information, including original trade invoices, bills of lading, inventory records, and product samples. They have the legal authority to request any record or document that relates to your excise tax liability.
How Smart Business Creation’s Team Can Assist with Excise Tax Audits
At Smart Business Creation, we help you prepare for audits by working with you to ensure your business is fully compliant with excise tax laws. Our experienced excise tax professionals assist in the following ways:
Error-Free Documentation: We review all documents related to excise goods—such as production, import, and export records—to ensure they meet all regulatory requirements.
Accurate Tax Calculations: Our tax experts double-check your self-prepared tax calculations to make sure there are no shortfalls that could lead to penalties during an audit.
Inventory Verification: We physically inspect inventory counts at your facilities to confirm stock levels and ensure everything aligns with your records.
Overall Audit Readiness: We help your team prepare for audits by gathering necessary data and providing staff training, ensuring you can demonstrate compliance with confidence.
Need Help Preparing for Excise Tax Audits?
Partner with Smart Business Creation to manage your excise tax obligations effectively and stay fully compliant. Our experts ensure your business is always ready for a tax audit, so you can avoid penalties and focus on growth.
