Bookkeeping and daily revenue audit
POS, PMS, delivery app and card settlement reconciliations.
Hospitality Accounting, Audit and VAT for Hotels and Restaurants in Dubai and the UAE
Hotels, restaurants and cafés in the UAE need daily revenue controls, food and beverage cost tracking, correct VAT on service charges and government fees, IFRS 16 lease accounting and large-team payroll. SGA World provides accounting, audit, VAT and corporate tax for hospitality businesses in Dubai and Abu Dhabi.
- Ministry of Economy and Tourism approved auditor
- 500+ clients
- Dubai & Abu Dhabi
Hospitality at a glance
- Revenue
- Daily POS and PMS reconciliations
- F&B
- Food cost and wastage control
- VAT
- On service charges and fees
- Leases
- IFRS 16 for sites
- Staff
- Payroll, tips and WPS
Hotels, restaurants and cafés handle cash, cards and delivery-app payments every day, buy perishable stock, employ large teams and add service charges and government fees to bills. Hospitality accounting has to turn all of that into reliable daily figures, controlled costs and correct VAT.
SGA World provides accounting, audit, VAT and corporate tax for hotels, restaurants, cafés, cloud kitchens and catering businesses in Dubai and Abu Dhabi, with practical controls that stop revenue leaks and food cost creep.
- Revenue and cash reconciled every day
- Daily
- Food and beverage cost control
- F&B
- Service charges and fees treated correctly
- VAT
- Large teams, tips and WPS
- Payroll
At a glance
Hospitality Accounting and Audit: Key Points
- Revenue: POS, PMS, delivery apps and card settlements must be reconciled daily.
- VAT: VAT is generally charged on the full bill, including service charges; treatment of government fees needs care.
- F&B costs: food and beverage cost percentages and wastage should be tracked weekly.
- Leases: restaurant and hotel leases are usually on balance sheet under IFRS 16.
- Payroll: large teams, tips and service charge distributions run through WPS.
- Corporate tax: 9% on profits above AED 375,000; small operators may use small business relief.
Our services
Which Services Do We Provide for Hotels and Restaurants?
F&B cost control
Recipe costing, stock counts and wastage reports.
Annual audit
Audits for licence, owners, lenders and operators.
VAT
VAT on bills, service charges, fees, vouchers and delivery sales.
Payroll
Payroll, tips, gratuity and WPS for large teams.
Internal audit
Cash handling, purchasing and stock controls.
Key rules
Which Rules and Standards Matter Most in Hospitality?
| Area | Rule or standard | What it means for you |
|---|---|---|
| VAT on bills | 5% on taxable supplies, including service charges | Bills and POS settings must calculate VAT correctly. |
| Government fees | Municipality and tourism fees vary by emirate | Check how each fee is shown and treated for VAT. |
| Revenue | IFRS 15 | Room, F&B, packages and loyalty points allocated correctly. |
| Leases | IFRS 16 | Site leases recognised as assets and liabilities. |
| Inventory | IAS 2 | Food and beverage stock counted and valued. |
| Employment | WPS and end-of-service rules | Payroll compliance for large teams. |
How we work
How Do We Work With Hospitality Clients?
Step01
Connect systems
POS, PMS, delivery apps and bank feeds into the books.
Step02
Daily and weekly controls
Revenue, cash, card and F&B cost reconciliations.
Step03
Monthly reporting
Profit by outlet, food cost percentage and labour cost.
Step04
VAT and payroll
VAT returns, WPS payroll and gratuity.
Step05
Audit
Year-end stock counts and audited accounts.
Why SGA World
Why Choose SGA World for Hospitality Accounting and Audit?
Operators' view of the numbers
We report food cost, labour cost and outlet profit the way hospitality managers use them.
Ministry-approved audit firm
SGA World is a Ministry of Economy and Tourism approved audit firm, so our reports are accepted where it matters.
Audit and tax in one team
Auditors, VAT, corporate tax and transfer pricing specialists work together, so nothing falls between advisers.
Qualified chartered accountants
A team of chartered accountants qualified in India and the UK, focused on UAE rules.
500+ clients
Mainland and free zone companies, from start-ups and SMEs to regional groups.
Listed with major UAE banks
Our audit work is recognised by major UAE banks for facilities and account reviews.
Worked example
Example: A Restaurant Group With Three Outlets and Delivery Sales
A Dubai restaurant group runs three outlets and sells through two delivery apps.
- Daily revenue audit: POS sales are matched to cash, card settlements and delivery app reports every morning; differences are investigated the same day.
- Delivery apps: payouts are net of commissions, so sales and commissions are recorded separately, with VAT on both.
- F&B cost: weekly stock counts show food cost rising from 28% to 33% at one outlet, traced to over-portioning.
- VAT: the service charge and VAT are calculated correctly on every bill.
- Leases: the three site leases are recorded under IFRS 16.
The group cut food cost and found AED 40,000 of unreconciled card settlements in the first quarter.
What to prepare
What Do We Need for Hospitality Accounting?
Sales systems
POS and PMS reports, delivery app statements.
Payments
Card settlement and bank statements, cash records.
Purchasing
Supplier invoices and goods received notes.
Stock
Stock counts and recipe costings.
People
Rosters, payroll data and tips policy.
Leases
Site lease and management agreements.
Fees and timing
What Affects the Cost of Hospitality Accounting?
Fees depend on the number of outlets or rooms, transaction volume, delivery channels, headcount, the systems used and whether we provide daily revenue audit, monthly accounts, payroll and the annual audit. We agree fixed monthly fees per outlet or property.
Avoid problems
Common Hospitality Accounting Mistakes
Recording delivery payouts as net sales
Revenue and VAT understated
No daily reconciliation of card settlements
Lost cash goes unnoticed
VAT not applied to service charges
VAT errors
Monthly-only stock counts
Food cost problems found too late
Leases kept off balance sheet
Not compliant with IFRS 16
Tips paid outside payroll records
WPS and audit issues
Talk to us
Control Revenue, Costs and VAT Across Every Outlet
Tell us about your business and what you need. We will propose a clear scope and a fixed fee.
We handle
- Daily revenue audit
- F&B cost control
- VAT
- Payroll and WPS
- Annual audit
Location: Dubai & Abu Dhabi
Talk to Our Team
Our offices in Business Bay, Dubai and Al Bateen, Abu Dhabi support clients across the UAE.
Dubai
Office 1923, The Exchange Tower, Business Bay, Dubai
Abu Dhabi
Khalidiya Towers M-B6, W10, Al Bateen, Al Khalidiyah, Abu Dhabi
Talk to an auditor
Tell us your company type, jurisdiction and deadline. We will confirm the scope, timeline and fee.
- WhatsApp us+971 50 627 3556
- Call us+971 4 570 1795
- Email us[email protected]
- Book an appointmentChoose a time that suits you
Prefer a form? Send us a detailed enquiry.
Who prepared this page
Written and reviewed by SGA World's audit and tax team
This guide is prepared by chartered accountants at SGA World Auditing Accounting L.L.C S.P.C in Business Bay, Dubai, a Ministry of Economy and Tourism approved audit firm, and checked against Federal Tax Authority legislation and guidance. It is reviewed whenever the rules change.
- Last reviewed 14 October 2026
- Chartered accountants from India and the UK
- FTA representation through Saif Chartered Accountants
Have a question about your company?
Tell us your activity, jurisdiction and deadline. A chartered accountant will reply.
Ask an expertFrequently asked questions
Hospitality Accounting and Audit – FAQs
Short answers to the questions UAE businesses ask us most. Still unsure?
Talk to our team01.Is VAT charged on restaurant service charges?
Service charges are generally part of the taxable consideration, so VAT at 5% applies to them.
02.How should delivery app sales be recorded?
Record the full sale and the app's commission separately, with VAT treated on each, rather than only the net payout.
03.What is a daily revenue audit?
A daily check that POS or PMS sales match cash, card settlements and app reports, with differences investigated.
04.What is a good food cost percentage?
It varies by concept, but many restaurants target roughly 25% to 35%. The key is tracking it weekly against your own target.
05.Do restaurant leases go on the balance sheet?
Usually yes, under IFRS 16, as a right-of-use asset and lease liability.
06.How are municipality and tourism fees treated for VAT?
It depends on the emirate and how the fee is charged; we review each fee and how it appears on the bill.
07.Can a small café use small business relief?
Yes, a resident company with revenue up to AED 3 million can elect it, for tax periods ending on or before 31 December 2029.
08.Do hotels need an annual audit?
Owners, lenders, operators and licensing authorities usually require audited accounts.
09.Can you work with our POS and PMS systems?
Yes, we work with common POS, PMS and delivery platforms and connect their reports to the books.
10.Which services does SGA World provide to hospitality businesses?
Bookkeeping and daily revenue audit, F&B cost control, VAT, payroll, internal audit and annual audits.
References:Federal Tax Authority · UAE Ministry of Finance · Dubai Department of Economy and Tourism — reviewed 14 October 2026
