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Expenses & purchases

Every dirham you spend, with the VAT you can recover

Enter supplier bills and expenses with VAT included or added on top, apply the reverse charge on services from abroad, and pay suppliers against their bills.

Supplier bill BILL-2026-00014

Northwind Software Ltd · Ireland

Annual software subscriptionReverse charge 5%10,000.00
Amount10,000.00
VAT · Reverse charge 5%500.00
Payable to supplierAED 10,000.00

VAT 201: box 3 — AED 500.00 due · box 10 — AED 500.00 recoverable

Illustration with sample figures

What you can do

  • Supplier bills

    Bills to pay later, with due dates and a payables ageing report.

  • Expenses paid at once

    Receipts paid by card or cash, posted straight to the bank or cash account.

  • VAT included or on top

    Enter the amount the way it is printed on the document; Ledgr splits net and VAT to the fils.

  • Reverse charge

    For services imported from abroad: output and input VAT are posted together and reach the right VAT 201 lines.

  • Payments to suppliers

    Pay one or several bills in one payment and see what is still due.

  • Suppliers

    Supplier cards with TRN, documents and balance.

How it works

  1. Enter the bill

    Supplier, date, lines and VAT treatment. A draft does not post anything.

  2. Post

    Expense, recoverable VAT and payable are posted; the bill appears in VAT for its quarter.

  3. Pay

    Record the payment; the supplier's balance updates.

How the reverse charge is posted

Example: a AED 10,000 software subscription from a supplier outside the UAE.

EntryDebitCredit
Expense10,000.00
Payable to supplier10,000.00
Input VAT (recoverable)500.00
Output VAT (reverse charge)500.00

Coming next

  • Soon

    Receipt scanning

    Photograph a receipt; Ledgr reads the fields and you confirm them.

  • Soon

    Bank feeds

    Match card and bank transactions to expenses.

Frequently asked questions

What if part of the VAT is not recoverable?

Each bill line can mark VAT as not recoverable; then it is added to the cost and is left out of recoverable VAT on the return.

Try Ledgr with your own company

Ledgr is in its testing period: create a company in a few seconds, no payment and no card needed.