ERPNext - VAT in Oman

[alibinhd]

Hello Everyone,

I am a new ERPNext user from Oman in the printing industry. I would like to ask questions in regards to VAT as it is coming to Oman in Early April.

I have researched online & have found that there is something called UAE VAT 201 Reporting, but when I tried to search for it in my ERP it is not there .Can some one clarify if the items in this is available for everyone or do I have change my region?

This is the article:
https://docs.erpnext.com/docs/user/manual/en/regional/united_arab_emirates/uae-vat-201-report

[MartinHBramwell]

ERPNext has generic handlers for sales and purchase taxation.

Unless Oman is doing something really bizarre, you should be able to find all you need by creating a Sales Taxes and Charges Template

[shareeef]

@alibinhd can you please provide VAT info coming up in Oman? Just want to see how we can configure it. Thanks.

[alibinhd]

Hello

Thank you.

The VAT will be early April, 5% on all goods except food items will be exempted.

Filing will need to be done every quarter.

[Muzzy]

Don’t worry. It’s the same format as other GCC countries. Exception is KSA which has 15% VAT against 5% in other countries. Use the sales and purchase tax templates as mentioned by @MartinHBramwell Practice a bit and you will do fine.

[alibinhd]

Thank you Muzzy.

What about the link I posted above is there a module for regions that specifies the details or is that old?

[Muzzy]

You will have to create a similar report as per Oman regulations. Long back we had made for Bahrain.

[centaur]

hi @alibinhd , @shareeef @Muzzy @MartinHBramwell

Here is the link the VAT tax in Oman. Hope this helps in how we can configure it ??

https://tms.taxoman.gov.om/portal/web/taxportal/vat-tax

[umair]

Hi,

Thanks for assisting others.

Do you have standardized some report for Bahrain? If yes, would you be open to contribute it?

[umair]

Thanks for the replies.

We have a roadmap item for bootstrapping of Accounts / ledger and sales taxes and charges template as per the Oman govt. VAT regulation.

We will be great to learn about more specific fields and flags which will be needed in the master and transactions, so that VAT complaint report can be availed from ERPNext. Will highly appreciate if someone can help us with requirements like we did for UAE VAT.

Making ERPNext ready for UAE VAT

Hello, From January 2018, the United Arab Emirates will fall under VAT (value added tax) regime. ERPNext is pretty much compatible to manage VAT transactions, however we can further simplify it for the regional user by adding more specific features (like Chart of Accounts with default VAT account). Please suggest the features to be added/localized in the ERPNext to make it VAT ready for UAE. Following are the few queries which I would like raise in the same regards. Will there be multiple VA…

[alibinhd]

Hello Umair,

Thanks for your kind reply.

Please note the following minimum information must be included in a VAT invoice. There is also an option for a simplified invoice

• Supplier name, address and VAT identification number (VATIN)
• “Tax Invoice” clearly indicated on the invoice
• Date of invoice
• Date of taxable supply of goods or services
• A unique sequential invoice numbers
• Customer details – name and address
• Details of supply – quantity of goods etc
• Gross value of supply in OMR
• VAT calculation
• Net value of supply

[umair]

Hi…

Most of the requirements can be captured in the masters and fetch on the invoice level. Can you or @Muzzy highlight at the specific fields level information which we might have to include in ERPNext, so that we can bootstrap VAT configuration and reporting for Oman customers?

For example: UAE vat regulations requires additional fields like:

• Company TRN
• Customer tax ID
• Address , with Emirate
• Exemption details on item and invoice level?
  and bunch of additional fields.

Based on this information collected on invoice level, we make a standard report for UAE customers. Here is the detailed requirement analysis for this report, which was later added.

[Proposal] UAE Tax Report

Hi, ERPNext has the features which allows generation of invoices complaint to UAE VAT taxation. However, it doesn’t provide the VAT return report (VAT 201?) which is pre-defined by the UAE govt. We have already connected with one of the ERPNext user in UAE and learnt about the data source for each point in the report. We will highly appreciate your input where confirmation or correction is needed, so that we can make a feature which covers the all possible scenarios. 1. Emirates-wise Sales I…

If one of the community members can help us get the specific details, we at Frappe can try and delivery it in the core ERPNext application.

[alibinhd]

Dear Umair,

Thanks for your kind reply, as noted the additional fields are:
Tax ID (VATIN Number)
VAT Calculation between bought & sold

[Tufan_Kaynak2]

We have developed a monthly total VAT of sales and purchases agianst the VAT#'s. If they are above a certain value, which is parametric BTW, we report the total sale and/or purchase with the total number of related documents and send to the other party for approval. Are you looking for sth like this?

[umair]

Would certainly request you to share more details / repo? on this. If this is generic enough, could become part of product and benefit community at large.

[umair]

Still looking for the structured requirements. Will be happy to get on a call with the accounting experts in the Oman region, who can help us with the requirements.

[Muzzy]

pos_bahrain/pos_bahrain/pos_bahrain/report/vat_return at master ·...

You can find the VAT report here. I believe it can be generic for all GCC countries. User can set tax template and this report can fetch information.

[alibinhd]

Could be true, from what I know, Oman still did not publish the way the VAT report format and will be published soon.

First report is expected to be submitted by July by companies.

[umair]

Thanks @Muzzy

Possible that we set up a small “group call” so that we can freeze the scope for Oman VAT and plan its execution. We have added this task in the roadmap for this quarter but honestly can’t move it execution only because there is no clarity on the requirement.

If yes, we can plan one tomorrow at 3 pm IST. Looking forward to your support.

[Muzzy]

Hi @umair I am not based in Oman. I am from Bahrain hence can’t really give any information with any form of expertise. My team has done work for Bahrain and KSA VAT.

What I understand is the mechanism of GCC countries (KSA, UAE, Bahrain, Kuwait & Qatar) are similar. There is plan to make Tax similar to EU. Once I pay VAT in UAE and ship item to Bahrain I do not need to pay tax again at Bahrain customs. But that is for future.

Broadly there are 3 types of taxation

1. Standard rate 5% in Bahrain and UAE. 15% in KSA

2. Zero rated. Tax displayed as 0%. Items that fall under this category is each government dependent. Like in Bahrain no VAT on rent, medicine etc. however it’s charged in KSA I think. Maybe in future the items list may be expanded or reduced.

3. VAT Exempt. These will not be charged in future. Like government fees, new construction etc.

Tax invoice print formats are of 2 types.

1. Simplified. Regular POS invoice print. Good for cash and carry walk-in customer.
2. Tax invoice. More detailed like name, address and tax ID of buyer etc . Sales Invoice A4 size is usually used. Used for B2B sales mostly.

Tax reporting structure can be found here for Bahrain. It is similar for other countries as well. But it needs to be checked.

pos_bahrain/pos_bahrain/pos_bahrain/report/vat_return at master ·...

UAE has the most comprehensive tax structure so I think most of the features can be copied from there.

I would be happy to assist if needed. However, for Oman highly recommend that someone from there is available. Feel free to reach out to me.