Workforce & operations

Accounting for car workshops and garages in the UAE

For garages and car service centres in the UAE, Aqid ERP turns an accepted quote into a tax invoice with parts and labour at 5% VAT, keeps spare parts stock at weighted average cost, adds freight and customs duty to imported parts, and pays technicians through a WPS salary file.

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In short

For garages and car service centres in the UAE, Aqid ERP turns an accepted quote into a tax invoice with parts and labour at 5% VAT, keeps spare parts stock at weighted average cost, adds freight and customs duty to imported parts, and pays technicians through a WPS salary file. Aqid ERP lays out the FTA's VAT 201 from the books, generates every invoice as signed PINT AE XML for the 2027 e-invoicing mandate and runs payroll in dirhams with a WPS salary file and end-of-service gratuity. The Growth plan fits, at AED 109 a month, with a 60-day free trial. Not built yet: Aqid ERP has no job-card module and no booking calendar, so vehicle check-in and bay scheduling stay in your workshop tool or on paper.

At a glance

ForCar workshops
E-invoicingPINT AE: signed UBL XML kept with each invoice; sending through an accredited service provider is not yet live (the mandate starts in 2027)
VAT5% standard rate; the VAT 201 is laid out from the books, sales by emirate
PayrollA WPS salary file, end-of-service gratuity, GPSSA pension for Emirati staff, payslips in Arabic and English
StockOn Growth and Premium, at weighted average cost
Recommended planGrowth: spare parts inventory with landed cost, and payroll with no employee limit.
PriceAED 109 a month before VAT · 60-day free trial today, no card
Not built yetAqid ERP has no job-card module and no booking calendar, so vehicle check-in and bay scheduling stay in your workshop tool or on paper.

How it runs

The customer approves the quote by link

Email the quote or share it on WhatsApp from your phone. The customer opens the link and accepts it without an account, so the work starts on a written approval rather than a phone call. When the car is ready, the quote becomes the invoice.

Parts and labour on one tax invoice

Add parts from stock and labour as service lines on the same invoice. The parts leave stock and their cost of sales posts when you issue it. A walk-in driver who is not VAT-registered can be given a simplified tax invoice.

Spare parts across branches

Keep filters, pads, batteries, oils and tyres in one or several stores at weighted average cost. Move parts between branches and count them when you need to; parts can carry a barcode for the till and the count.

Imported parts at their real cost

Spread freight and customs duty over an imported shipment with landed cost, so each part carries what it cost to bring in. The 5% import VAT stays out of that cost: it is declared in the VAT 201 and recovered where the normal rules allow.

A month at a car workshop in Sharjah (example)

  1. Say a customer brings an SUV to your workshop in Sharjah for brakes. You send a quote: four pads at AED 95 each, two discs at AED 260 each and AED 350 of labour. That is AED 1,250 plus AED 62.50 VAT (5%), AED 1,312.50 in total, and the customer accepts it on the link.
  2. When the car is ready the quote becomes a simplified tax invoice, since the driver is not VAT-registered. The pads and discs leave stock at their average cost, cost of sales posts, and the customer pays through the payment link once you have connected a payment provider.
  3. You import 300 oil filters at AED 18 each, AED 5,400, and pay AED 540 for freight and AED 270 of customs duty. Landed cost spreads the AED 810 over the shipment, so each filter goes into stock at AED 20.70. The import VAT is declared in Box 6 of the VAT 201, not added to the filters' cost.
  4. A delivery company sends eight vans for servicing. You invoice AED 7,600 plus AED 380 VAT, AED 7,980 in total, with Sharjah as the emirate of supply. Because the customer is a business, this is the kind of invoice that will travel through an accredited service provider once your e-invoicing date arrives.
  5. Payroll for seven technicians and a service advisor is AED 31,500, gratuity accrual included. The WPS salary file is produced for your bank with a payday no later than the 1st, and the cost is allocated to the Sharjah branch.

The parts you will use

Sales

Quotes accepted by link, tax and simplified tax invoices, credit notes for returned parts, payment links once a payment provider is connected, email reminders and statements for fleet accounts.

Inventory

Spare parts as stock items in several stores, transfers between branches, stock counts and weighted average cost, with cost of sales posted on each invoice. Growth and Premium.

Purchasing

Purchase orders to parts suppliers become bills. Large orders can wait for a second approver, and landed cost spreads freight and customs duty over imported parts.

Payroll

Monthly payroll in AED with a WPS SIF file, gratuity accrued every month, overtime priced on the basic wage, and notices before visas and work permits expire.

Fixed assets

Lifts, diagnostic machines, alignment rigs and tools as fixed assets, with depreciation run each month in one click.

VAT and e-invoicing for car workshops in the UAE

Parts and labour in the example carry VAT at 5%. A simplified tax invoice is allowed when the customer is not VAT-registered or the sale is AED 10,000 or less. Each invoice records the emirate of supply, because the VAT 201 splits standard-rated sales by emirate in boxes 1a to 1g; you enter the figures on EmaraTax.

Sales to individual drivers are outside the e-invoicing phases announced so far. Invoices to fleet operators and other businesses are not: under AED 50M of revenue, you appoint an accredited service provider by 31 March 2027 and transmit from 1 July 2027. Your provider also receives your parts suppliers' e-invoices. Aqid ERP generates each invoice as signed PINT AE XML today; its connection to a provider is in progress and not yet live.

When you import parts as a registered business, the import VAT is declared in Box 6 and, where the normal rules allow, recovered in Box 10. Check Box 6 against the figure the FTA pre-fills from customs data.

Plans for Car workshops

Starter

For small businesses that need compliant invoicing

77 د.إ / month

  • Compliant tax invoices
  • Customers & quotes
  • Payroll and WPS file for up to 5 employees
Start now for free

Premium

For companies with branches, devices and volume

214 د.إ / month

  • Everything in Growth
  • Branches & devices
  • Your own versioned metrics, consolidation & API
Start now for free

Compare the plans in detail

Questions

Can parts and labour go on the same invoice?

Yes. Add parts from stock and labour as service lines on one tax invoice. The parts leave stock and cost of sales posts when you issue it.

Does Aqid ERP have job cards or a booking calendar?

No. There is no job-card or booking module. Keep check-in and scheduling in your current tool, and use Aqid ERP for quotes, invoices, stock, VAT and payroll.

Do invoices to individual drivers need to go through e-invoicing?

Not under the phases announced so far: sales to consumers are outside them, and a simplified tax invoice by email or WhatsApp is fine. Invoices to fleet operators and other businesses do fall under the mandate, from 1 July 2027 for businesses under AED 50M of revenue.

How are imported parts costed?

At weighted average cost, with freight and customs duty added through landed cost. The 5% import VAT is not part of the cost: you declare it in Box 6 of the VAT 201 and recover it in Box 10 where the normal rules allow. FIFO and serial numbers are not supported.

Does payroll produce the WPS file for our technicians?

Yes. Each run produces a WPS SIF file for your bank, accrues end-of-service gratuity and warns you if the payday is after the 1st or an employee has no IBAN. No bank has yet accepted an Aqid ERP file, so test the first one with yours. Starter covers up to five employees.

Can you help us move our parts list and customers across?

Yes. Customers, items and open invoices come in through the import, with free migration help during the offer to 31 December 2026, and you can start with a 60-day free trial.

Appoint your provider before 31 March 2027. Start the books today.

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