In preparing VAT return, to convert foreign currency to AED values,which currency rates to be used? Confirming - is it that prevailing on the date of supply.
You need to apply Central Bank prescribed exchange rates as on the date of supply. This is not just for preparing return, your foreign currency invoices should display the equivalent AED value as per the applicable rates. Refer the below link for the rates: https://www.centralbank.ae/en/fx-rates1 Like