How To File Vat Returns In Uganda

What Is Vat?

A value-added tax, known in some countries as a goods and services tax, is a type of tax that is assessed incrementally. It is levied on the price of a product or service at each stage of production, distribution, or sale to the end consumer.

How To File Vat Returns In Uganda

This is a monthly declaration made by a VAT taxable person for tax outstanding or claimable for a tax period. The return shall be in the format prescribed by the Commissioner-General and shall state the tax payable, tax claimable and any other information prescribed.A taxable person is one who is eligible to be registered to pay taxes; This is a person who is either registered for VAT or one who is not yet registered but is required to be registered. Such person may be any of the following: an individual, partnership, company, trust, Government as well as public or local authority e.g. town council.​The return should be filed by the 15th of the month following the month of transaction. A VAT return must be filed whether there has been transactions in a given month or not.  Upon application in writing by a taxable person, the CG may, where the taxpayer shows good cause, extend the period to in which to lodge a return.The taxable person should fill the Input tax and output tax schedules for all returns. Where a taxable person fails to submit a return by the due date, is liable to a penalty whichever is greater of the following:o Shs 200,000 or o 2% per month compounded of the amount on the return, for the period the return is outstanding.

Preparation Process Of VAT Returns

Preparation Of Draft VAT Return

Documentation Delivery
  • The Client delivers the VAT documentation via e-mail or via post no later than the 5th day of the current month for the preparation of VAT return for the previous month.
VAT Return Consists Of:
  • KUF – which is the book of input invoices and it is used for recording all input invoices of the Client after receiving invoices for recording VAT prepayment at the ITA during the reporting period (one calendar month). In case that the Client has been represented by a tax representative, suppliers can directly send the original documentation to the tax representative since VAT control is carried out with the tax representative. In practice, input invoices can be included in the VAT return for the tax period (month) from which they bear the date of issue or from previous tax periods;
  • KIF – which is the book of output invoices and serves as a basis for recording all output invoices that have been originated during the tax period (month) for which the VAT return is prepared;
  • P PDV form which is used for reporting VAT liability or VAT prepayment. Verified by the business seal of the Client, i.e. the VAT representative, it is filed to the Indirect Tax Authority (ITA) no later than the 10th day of a current month for the VAT return for the the previous month (with certain exceptions − see the last point);
  • D PDV form, which is a form filed electronically to the ITA for a more detailed overview of the transactions presented in the P PDV form.

Deadline For Filing VAT Returns

  • Filing of P PDV and D PDV forms can be done no later than the 10th day of the current month for the previous month. If the 10th day of the month is Saturday, Sunday or a public holiday, the deadline for filing P PDV form is carried forward to the following working day. The deadline for paying the VAT liability for the current month (tax period) is the 10th day in the following month. If the 10th falls on Saturday, Sunday or public holiday, payment must be made no later than one day before the scheduled date.

How Do I Submit My VAT Return Online?

Getting online

an online account – sign up for an online account and select ‘ VAT submit returns’ a VAT number – log in to your online account and apply for a VAT number.

Can I Submit VAT Return Myself?

There are a number of ways in which you can submit your VAT return, including: submitting your own VAT return online, using VAT return software or using accountants or tax agents. As you can see, it does not matter who submits the return, as long as it is done on time and provides all necessary information.

Where Do I File VAT Return With Tax?

Revenue District Office

File the Monthly VAT declaration, together with the required attachments, and pay the VAT due thereon with any Authorized Agent Bank (AAB) under the jurisdiction of the Revenue District Office (RDO)/Large Taxpayers District Office (LTDO) where the taxpayer (head office of the business establishment) is registered.

What Documents Are Needed To Register For VAT?

  • Copy of Certificate of Incorporation.
  • Copy of Trust Deed And Authority Letter.
  • Copy of Original ID.
  • Original banking statements (going back three months)
  • Original letter from your banker / Original stamped statement from the bank.
  • Latest month invoices as proof of trading.

How Much Does It Cost To Register For VAT?

There is no VAT registration cost: you can use an accountant to complete your return, or file it yourself. Before you begin, you will need the following information to hand in order to register for VAT: National Insurance (NI) number or ‘tax identifier’ – a unique taxpayer’s reference.

Can You Submit A VAT Return Over The Phone?

VAT regulations provide that where HMRC are satisfied that it is not reasonably practicable for a person to file online or by telephone for reasons of age, disability, remoteness of location or any other reason, they may be authorised to file on paper.