1. Accounting
  2. Taxation
  3. Legacy Tax
  4. United Arab Emirates Tax Topics
  5. United Arab Emirates Tax Audit File

United Arab Emirates Tax Audit File

The United Arab Emirates tax authority, Federal Tax Authority (FTA), audits businesses at its discretion to ensure accurate and timely tax declarations. As part of the audit process, business are required to provide accounting information to validate their submitted tax declarations.

The FTA VAT Audit File, also known as FAF, is an export of accounting entries in comma separated values (CSV) file format specified by the FTA. The file is based on general ledger chart of accounts entries, master file data for customers and suppliers, and details of invoices, payments, and adjustments.

Prerequisites to Generate the UAE FAF Report

Before you can successfully generate the UAE FAF report, you must first complete the following tasks:

  1. Enable Account Numbers

    1. Go to Setup > Accounting > Preferences > Accounting Preferences.

    2. On the General subtab, check the Use Account Numbers box.

    For more information, see General Accounting Preferences.

  2. Set Up your Chart of Accounts

    Use the standard chart of accounts in NetSuite. To set up your chart of accounts, go to Setup > Accounting > Manage G/L > Chart of Accounts . For more information, see Chart of Accounts Management.

    For NetSuite OneWorld, use the statutory chart of accounts if the standard chart of accounts does not comply with regulatory requirements.

    Use the statutory chart of accounts in the following situations:

    • The standard chart of accounts is shared with other subsidiaries

    • The parent company requires a subsidiary to use account names and numbers that are not in the formats required for statutory compliance in the subsidiary’s country.

    To set up statutory chart of account names and numbers, see Statutory Chart of Accounts for Tax Audit Files.

    Note:

    You can use CSV import to set up or update the statutory chart of accounts.

  3. Enable GL Audit Numbering and Run the GL Numbering Sequence

    1. Go to Setup > Company > Setup Tasks > Enable Features (Administrator).

    2. Check the GL Audit Numbering box.

    3. Run the GL numbering sequence before generating the UAE FAF report.

    For more information, see GL Audit Numbering.

    Important:

    Before generating the UAE FAF report, make sure that the GL Audit Numbering feature has been enabled, and you have run the GL numbering sequence. Otherwise, file generation and download will fail.

To generate the UAE FTA VAT Audit File, see Generating a Tax Audit File.

UAE FTA VAT Audit File (FAF) Scheme and Key Data Elements

The UAE FAF consists of seven sections or tables in a single comma separated value (CSV) file:

Company Information Table

The Customer Information Table consists of information relevant to the taxable person, tax period, and product details.

FAF Field

Description

NetSuite Field

Default Value/Notes

TaxablePersonNameEn

Name of the taxable person in English

Company or Subsidiary > Legal Name

If Legal Name is blank, Name is used.

 

TaxablePersonNameAr

Name of the taxable person in Arabic

Not supported

Blank

TRN

Business’ tax registration number

Company or Subsidiary > VAT Registration No.

Blank

TaxAgencyName

Name of the tax agency in case filing is done by a tax agency

Not supported

Blank

TAN

Tax agency number

Not supported

Blank

TaxAgentName

Name of the tax agent in case filing is done by a tax agent

Not supported

Blank

TAAN

Tax Agent Approval Number

Not supported

Blank

PeriodStart

Start of the period covered in the FAF

Reports > TAX > Audit Files > UAE FAF > Period

 

PeriodEnd

End of the period covered in the FAF

Reports > TAX > Audit Files > UAE FAF > To

 

FAFCreationDate

FAF creation date

Reports > TAX > Audit Files > UAE FAF > Audit Files > Date Created

 

ProductVersion

Accounting software name and version

NetSuite account type +NetSuite version

 

FAFVersion

FTA Audit File (FAF) version number

 

FAFv1.0.0

Supplier Purchase Listing Table

The Supplier Purchase Listing Table consists of information relevant to the supplier, and associated details for source documents such as purchase invoices, imports, credit notes, and payments.

FAF Field

Description

NetSuite Field

Default Value/Notes

SupplierName

Name of the supplier

Vendor > Primary Information > Company Name

Blank

SupplierCountry

Country of the supplier (Emirate if Country is UAE)

Item Line:

Bill > Expenses and Items > Expenses > Emirate

Expense Line:

Bill > Expenses and Items > Items > Emirate

If country is not UAE:

Vendor > Address list > Country (billing address)

Blank

SupplierTRN

TRN of the supplier

Vendor > Financial > Tax Reg. Number

Blank

InvoiceDate

Date of the transaction

Bill > Date

Blank

InvoiceNo

Invoice number

Bill > Reference No.

Blank

PermitNo

Cargo clearance import permit number

Not supported

Blank

TransactionID

Any reference ID identifying the transaction

GL Impact > GL#

Blank

LineNo

Number of invoice line

Item Line:

Bill > Expenses and Items > Expenses > Expense Line Number

Expense Line:

Bill > Expenses and Items > Items > Item Line Number

Blank

ProductDescription

Description of the product

Item Line:

Bill > Expenses and Items > Items > Item

Expense Line:

Bill > Expenses and Items > Expenses > Account

Blank

PurchaseValueAED

Value of purchase excluding VAT in Arab Emirate Dirham

Item Line:

Bill > Expenses and Items > Items > Amount

Expense Line:

Bill > Expenses and Items > Expenses > Amount

0.00

VATValueAED

Value of VAT in Arab Emirate Dirham

Item Line:

Bill > Expenses and Items > Items > VAT Amt

Expense Line:

Bill > Expenses and Items > Expenses > VAT Amt

0.00

TaxCode

Tax code for lookup in tables

See Tax Code Lookup Table for UAE FAF

Blank

FCYCode

ISO 4217 currency codes of foreign currency

Bill > Primary Information > Currency

XXX

PurchaseFCY

Value of purchase excluding VAT in foreign currency(if applicable)

Item Line:

Bill > Expenses and Items > Items > Amount

Expense Line:

Bill > Expenses and Items > Expenses > Amount

0.00

VATFCY

Value of VAT in foreign currency(if applicable)

Item Line:

Bill > Expenses and Items > Items > VAT Amt

Expense Line:

Bill > Expenses and Items > Expenses > VAT Amt

 

Supplier Purchase Listing Total

The Supplier Purchase Listing Total table shows the total purchase and VAT amounts of the supplier purchase listings in Arab Emirate Dirham.

FAF Field

Description

Formula

Default Value/Notes

SupplyTotalAED

Sum of purchases in this table in Arab Emirate Dirham

SUM(PurchaseValueAED)

0.00

VATTotalAED

Sum of value of VAT in this table in Arab Emirate Dirham

SUM(VATValueAED)

0.00

TransactionCountTotal

Total count of transactions in this table

Total transaction count

0

Customer Supply Listing Table

The Customer Supply Listing Table consists of information relevant to the customer, and associated details for source documents such as sales invoices, credit notes, and payments.

FAF Field

Description

NetSuite Field

Default Value/Notes

CustomerName

Name of the customer

Customer > Primary Information > Company Name

Blank

CustomerCountry

Country of the customer

(Emirate if Country is UAE)

Transaction Record > Emirate

If Emirate is blank:

Customer > Billing Address > Country

Blank

CustomerTRN

TRN of customer

Customer > Financial > Tax Reg. Number

Blank

InvoiceDate

Date of the transaction

Transaction > Date

Blank

InvoiceNo

Invoice number

Invoice > Invoice#

Blank

TransactionID

Any reference ID identifying the transaction

GL Impact > GL#

Blank

LineNo

Number of invoice line

Invoice > Items > Items > Item Line Number

Blank

ProductDescription

Description of the product

Invoice > Items > Items > Item

Blank

SupplyValueAED

Value of supply excluding VAT in Arab Emirate Dirham

Invoice > Items > Items > Amount

0.00

VATValueAED

Value of VAT in Arab Emirate Dirham

Invoice > Items > Items > Tax Amt

0.00

TaxCode

Tax code for lookup in tables

See Tax Code Lookup Table for UAE FAF

Blank

Country

Destination of goods being exported

First source is Transaction record, then Customer record.

Transaction record > Shipping country

If Shipping country is blank:

Transaction record > Billing country if supplied

Customer record:

Customer record > Shipping country

If Shipping country is blank:

Customer record > Billing country if supplied

Blank

FCYCode

ISO 4217 currency codes of foreign currency

Invoice > Accounting > Currency

0.00

SupplyFCY

Value of purchase excluding VAT in foreign currency (if applicable)

Invoice > Items > Items > Amount

0.00

VATFCY

Value of VAT in foreign currency (if applicable)

Invoice > Items > Items > Tax Amount

0.00

Customer Supply Listing Total

The Customer Supply Listing Total shows the total supply and VAT amount in Arab Emirate Dirham.

FAF Field

Description

Formula

Default Value/Notes

SupplyTotalAED

Sum of supplies in this table in Arab Emirate Dirham

SUM(SupplyValueAED)

0.00

VATTotalAED

Sum of value of VAT in this table in Arab Emirate Dirham

SUM(VATValueAED)

0.00

TransactionCountTotal

Total count of transactions in this table

Total transaction count

0

General Ledger Table

The General Ledger Table consists of the accounts with their associated debit and credit account records for source documents. Examples of source documents are accounts receivable, accounts payable, cash book entries, and journal entries.

FAF Field

Description

NetSuite Field and Notes

Default Value/Notes

TransactionDate

Date of payment

Transaction > Date

Blank

AccountID

GL code for individual account

Setup > Accounting > Chart of Accounts > Account > Number

Blank

AccountName

Name of individual GL account

Setup > Accounting > Chart of Accounts > Account > Name

If Accounting Context is used for the account:

Accounting > Chart of Accounts > Account > Localization > Name

Blank

TransactionDescription

Description of the transaction

Transaction > GL Impact > Memo

Blank

Name

Name of the entity involved in transactions where applicable

Reports > General Ledger > Name

Blank

TransactionID

A unique number that can group related double entries together

GL Impact > GL#

Blank

SourceDocumentID

Source document number to which line relates

Reports > General Ledger > Document Number

Blank

SourceType

Refers to the type of transaction

Reports > General Ledger > Type

Blank

Debit

Debit amount

Reports > General Ledger > Debit

0.00

Credit

Credit amount

Reports > General Ledger > Credit

0.00

Balance

Balance amount

Reports > General Ledger > Balance

0.00

General Ledger Table Total

The General Ledger Table Total shows the sum of all debit and credit entries in the General Ledger Table.

FAF Field

Description

Formula

Default Value/Notes

TotalDebit

The total of all debit amounts in this table

Sum of all entries in the Debit field

0.00

TotalCredit

The total of all credit amounts in this table

Sum of all entries in the Credit field

0.00

TransactionCountTotal

The count of transactions in this table

Total count of transactions

0

GLTCurrency

ISO 4217 currency code of currency used in General Ledger table

Currency symbol

AED

Tax Code Lookup Table for UAE FAF

The Tax Code Lookup Table for UAE FAF shows the NetSuite provisioned tax codes and their corresponding FAF tax codes.

The expected FAF tax codes shown on the Supplier Purchase Listing and Customer Supply Listing tables are based on following tax code properties according to the requirements from the Federal Tax Authority:

Important:

Any defined tax code with the same properties listed in the table will show the equivalent FAF tax code in the UAE FAF report. The system provisions the UNDEF tax code which has the same properties as the zero-rated supplies. If you have transactions that use the UNDEF tax code, the FAF tax code is equivalent to ZR.

Provisioned Tax Codes

Properties

FAF Tax Codes

ZS-GCC

Rate 0%

Reverse Charge Code

GCC member state

Available on Sales Transactions

IG

Z-UAE

Rate 0%

Available on Both

ZR

X-UAE

Rate 0%

Exempt

Available on Both

EX

S-UAE

Rate 5%

Available on Both

SR

RCP-UAE

Rate 0%

Reverse Charge Code

Notional Rate Derived From S-UAE (5%)

Applies to Service Items

Available on Purchases Transactions

Import

RC

RC-UAE

Rate 0%

Reverse Charge Code

Notional Rate Derived From S-UAE (5%)

Applies to Service Items

Available on Sales Transactions

Import

RC

IMZ-UAE

Rate 0%

Reverse Charge Code

Notional Rate Derived From IMG-UAE (5%)

Available on Purchase Transactions

Import

RC

IMS-UAE

Rate 0%

Reverse Charge Code

Notional Rate Derived From IMG-UAE (5%)

Applies to Service Items

Available on Purchase Transactions

Import

RC

IMG-UAE

Rate 5%

Available on Purchase Transactions

Import

SR

EX-UAE

Rate 0%

Export

Available on Sales Transactions

ZR

General Notices