Monthly Tax Compliance – VAT

Companies are required to account for value added tax (VAT) and withholding tax (WHT) on a monthly basis.

Monthly obligations pertaining to VAT include the following:

Issuing VAT invoices to your customers pertaining to the sales of products or provision of services to them (output tax);
Obtaining VAT invoice from your vendors pertaining to goods purchased or services received from them (input tax);
Offsetting one month’s output tax against all allowable input tax and determining whether your company has underpaid or overpaid tax for that month;
Settling underpaid tax for that month if any; and
Preparing and filing the VAT return for that month.