09/06/2026
📊Common VAT issues in practice
VAT compliance challenges are often less about the rules and more about how transactions are managed in day-to-day operations.
Some of the common issues include:
🖊️ Lack of supporting documents/ Incorrect tax invoice formats
🖊️ Misclassification of certain taxable supplies
🖊️ Failure to claim input tax within the prescribed time limits (12 months for local purchases and 24 months for imports)
🖊️ Issuing tax debit/credit notes against invoices raised for non VAT registered customers
🖊️ Exceeding the 6-month time limit for issuing VAT credit and debit notes
💡 In most cases, these issues arise due to timing gaps and documentation practices.
