Download Free UAE VAT Debit Note Format in Excel, OpenOffice Calc, Google Sheet, and PDF to report oversupply of goods or underbilling of the previous invoice.
This template consists of an Auto-numbering system. Thus, you can easily manage the sequence of debit notes. It also consists of Debit Note Register which records debit notes issued during the month.
Moreover, you can report goods sent in excess but not billed as well as rate differences of undercharged invoices. It also consists of a Printable Debit Note Format.
Table of Contents
Debit Notes Under UAE VAT
When a supplier makes an excess supply of goods forget to report in the Tax Invoice or mentions less price (underbills), it is a form of taxable supply.
The supplier levies VAT at the regular rate against a Tax Invoice. When the supply made is not reported in the invoice, the VAT for those products needs to be collected from the customer.
Under the basic accounting principles, a debit note is issued to the customer. But with the effect of VAT, a Tax Debit Note will be issued to customers against non-reporting of goods or undercharged prices of goods.
Law for Issuance of Tax Debit Notes
There is no perpetual law for debit notes in the VAT Decree-Law or the Executive Regulations. The rules applicable will be the same as the Tax Invoice.
A debit note is considered the same as a tax invoice as it is missed for collection VAT from the customers. The supplier can either issue a debit note or a new tax invoice for the non-reported or underbilled products.
VAT Regulations For UAE VAT “Tax Debit Note”
With the implementation of VAT since January 2017, every registered person has to issue a VAT compliant Tax Invoice to customers.
Federal Tax Authority has issued some regulations and notifications for Tax invoices. These regulations are given below for your easy reference.
According to Article 59 of Executive Regulations under Cabinet Decision No. 52, Point number 1 a Tax invoice must contain the following details:
- The word “Tax Invoice” is displayed on the invoice.
- The name, address, and Tax Registration Number of the Registrant making the supply.
- The name, address, and Tax Registration Number of the Recipient where he is a Registrant.
- A sequential Tax Invoice number or a unique number enables identification of the Tax Invoice and the order of the Tax Invoice in any sequence of invoices.
- The date of issuing the Tax Invoice.
- “Date of supply” if it is different from the date the Tax Invoice was issued.
- A description of the Goods or Services supplied.
- For each Good or Service, the unit price, the quantity or volume supplied, the rate of tax, and the amount payable must be expressed in AED.
- The amount of any discount offered.
- The gross amount payable must be expressed in AED.
- The Tax amount payable must be expressed in AED together with the rate of exchange applied where the currency is converted from a currency other than the UAE dirham.
- Where the invoice relates to a supply under which the Recipient of Goods or Recipient of Services is required to account for Tax, a statement that the Recipient is required to account for Tax, and a reference to the relevant provision of the Decree-Law.
Effect of Debit Note on VAT Liability
A Tax Debit Note increases the tax liability and also increases the amount of input tax.
A debit note is a document that a supplier issues in response to underbilling of products or excess supply of goods in the original VAT invoice. Due to Debit Notes, the amount of VAT paid to the government is increased.
Because the value of the goods or services provided has been increased by that amount, underbilling and excess supply increases your tax burden.
VAT on Sales + VAT on Debit Notes – VAT on Credit Notes = VAT Payable
Download UAE VAT Debit Note Format (Excel, OpenOffice Calc, Google Sheet & PDF)
Keeping in mind the rules mentioned above, we have created a UAE VAT Debit Note Template with predefined formulas and functions. This template helps issue a VAT compliant Debit Note and maintain records of debit notes issued.
Download by clicking below on the desired format:
You can download the Fully Automated UAE VAT Invoice Template from the link below:
Furthermore, feel free to contact us for the customization of this template as per your requirement. We also design new templates based on your needs. You can hire us for our services on Fiverr or directly contact us at email@example.com.
Components of UAE VAT Debit Note Template
This template consists of 4 sheets: Setup File, UAE VAT Debit Note Template, Debit Note Register, and Printable UAE VAT Debit Note Format.
Let us understand the working of each file in detail.
The purpose of this file is to insert one-time data to save you time while issuing a Tax Debit Note. It consists of the 3 sections: Supplier Information, Client Information, and Product Information.
Supplier information consists of the following:
Customer Information consists of the following columns:
The Product Information section includes the following:
Price/Rate per Unit
You can pre-define everything in this sheet and the UAE VAT Debit Note template automatically fetches the data from this sheet.
UAE VAT Debit Note With Autonumbering
UAE VAT Debit Note Format consists of 4 sections: Supplier Information, Customer Information, Product Information, and Other Information.
The template fetches the supplier details like company name, company address, and VAT Registration from the setup file. As per the rules, it displays the heading “Tax Debit Note”.
In the Customer Information Section, insert the Debit Note number only for the first time. Later it will automatically generate the preceding number in the sequence. The template displays the current date with the help of the TODAY Function.
Insert the Tax Invoice number previously issued to the customer along with taxable value and VAT amount. Moreover, select customer ID from the dropdown list and it auto-updates all of the following details:
Select the type of Debit note from the dropdown list. It can be either local or exported. If you select “local”, then 5% VAT will be applicable. Whereas, if you select the type as export, 0% will be applicable.
Furthermore, the Product Information section consists of the following columns:
The serial number column auto-populates. Select product ID and it fetches all details except the quantity. Manually insert the quantity and it will automatically populate the taxable value and amount column.
In case of price difference manually insert the value in the Taxable Value column. The template automatically calculates the amount for you.
Other Information Section
The Other Information section displays the summary of the debit note.
Moreover, the other information section displays the Debit Note amount in words using the Spellnumber Function manually inserted in the file.
Furthermore, it consists of a signature section, company stamp section, and Notes along with greetings.
Click on the print button and the template will open the Save as PDF dialog box.
The template executes the print command. The Debit Note number automatically jumps to the next number in the sequence.
UAE VAT Debit Note Register
After you issue a Debit Note to your customer, it is necessary to maintain client-wise records. Hence, we have created a UAE VAT Debit Note Register to record your invoices.
This sheet consists of the following details:
Debit Note No.
Insert date and Debit Note number. Select the customer ID and it will fetch the TRN number of the customer. Enter the Taxable Value and VAT Amount. The Amount column is auto-populated.
Printable UAE VAT Debit Note Format
Click on the image to enlarge and print the Printable UAE VAT Debit Note Format or Click on the button below to download as PDF:
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