Accounting software for electronics traders in UAE handling the device reverse charge

Electronics trading runs on thin margins and fast stock turns, with currency risk on every container. HelloBooks gives traders this structure.

• Stock by category: phones, laptops, tablets, accessories, parts
• Sales: local reverse charge sales, local standard-rated sales, exports
• Reverse charge VAT payable and recoverable
• FX gains and losses on USD purchases and sales
• Freight, warehousing and warranty claims

From 30 October 2023, the liability for VAT on supplies of electronic devices between registrants moved from the supplier to the recipient. The FTA’s clarification covers wireless mobile phones, all types of computers, servers and car engine control units, and tablets, but not e-readers without other features, together with their parts. It applies where the recipient buys for resale or for manufacturing; devices bought for the recipient’s own use, such as phones for employees, are taxed normally.

Exports outside the GCC implementing states are zero-rated with the right evidence, and sales to unregistered customers or end users are standard-rated at 5%. HelloBooks lets each invoice line carry its own treatment, and the agent asks whether a buyer is purchasing for resale when it is not clear.

Supplier invoices in USD are read line by line, converted and added to stock with any serial numbers noted. When you sell 300 phones to a registered reseller, the agent drafts the invoice under the reverse charge; when a walk-in buyer takes two laptops, it charges 5%. Customs exit documents for exports are attached to the invoice.

Ask “what margin did we make on laptops in September after FX?” or “which reverse charge sales lack a confirmed TRN?” Your accountant reviews the reverse charge figures before the return is filed.

Margin by category after FX, stock ageing, receivables from trade customers and sales split by VAT treatment are the regular set. A container of phones bought at USD 180,000 and sold over six weeks can swing by thousands of dirhams in FX alone, which the report shows.

Invoice wording for reverse charge sales, AI rules for each supplier and approval steps for credit sales above a limit can be configured. Email hello@hellobooks.ai or book at /book-a-demo.