Best Auditing Services In Dubai and Sharjah: RBS Auditing

Professional Auditing Services in Dubai

RBS Auditing offers professional auditing services in Dubai and Sharjah providing an extensive range of auditing and assurance services to clients from various industries. We are a team of qualified and experienced professionals who are committed to delivering excellent quality services to our clients. 

Our company’s mission is to provide comprehensive and effective auditing services to clients in the UAE. 

Audit Firms In UAE
Audit Firms In UAE

Our Services 

We provide a wide range of auditing and assurance services to our clients. Our services include: 

  • External Audit Services: Our external audit services are aimed at providing an independent opinion on the financial statements of our clients. We follow International Financial Reporting Standards (IFRS) and Generally Accepted Accounting Principles (GAAP) in our audit process. 

Our audit approach is tailored to the specific needs of our clients and we provide comprehensive and cost-effective solutions. 

  • Internal Audit Services: Our internal audit services are designed to provide our clients with an independent and objective assessment of their internal controls and risk management processes. We help our clients to identify areas of improvement in their internal controls and recommend appropriate measures to mitigate risks. 
  • VAT Consultancy Services: Our VAT consultancy services are aimed at providing our clients with expert advice on VAT compliance and implementation. We help our clients to understand the VAT laws and regulations in the UAE and assist them in the preparation and filing of their VAT returns.
  • Accounting Services: Our accounting services include bookkeeping, preparation of financial statements, and other accounting-related services. We help our clients to maintain accurate and up-to-date financial records and provide them with regular financial reports. 
  • Due Diligence Services: Our due diligence services are aimed at helping our clients to assess the risks and opportunities associated with a potential investment or acquisition. We provide our clients with comprehensive due diligence reports that cover all aspects of the transaction. 

Benefits of our Services 

  • Quality Services: We are committed to delivering high-quality services to our clients. We have a team of qualified and experienced professionals who are dedicated to providing the best possible services to our clients. 
  • Tailored Solutions: We understand that each client has unique needs and requirements. Therefore, we provide customized solutions that are tailored to the specific needs of our clients. 
  • Cost-effective: Our services are designed to be cost-effective, and we offer competitive prices to our clients. We believe in transparency and provide our clients with detailed cost estimates before commencing any work. 
  • Timely Services: We understand the importance of timely services, and we strive to complete our work within the agreed timelines. We work closely with our clients to ensure that our services are delivered on time. 
  • Expert Advice: Our team of professionals has extensive knowledge and experience in their respective fields. We provide our clients with expert advice on a wide range of issues related to auditing, accounting, and VAT compliance. 

Conclusion 

As one of the top Audit Firms In UAE, we are committed to delivering high-quality services to our clients and providing them with customized solutions that meet their unique needs and requirements. Our team of qualified

and experienced professionals is dedicated to providing expert advice and timely services to our clients. 

We believe in transparency and offer cost-effective solutions to our clients. If you are looking for the best auditing services in Dubai and Sharjah, look no further than RBS Auditing. Contact us today to learn more about our services and how we can assist you with your auditing and assurance needs.

Top-Notch Auditing Services in Dubai and Sharjah – Your Key to Business Success

Auditing Services in Sharjah
RBS Auditing is a renowned Auditing Services in Dubai and Sharjah that provides a wide range of auditing services to businesses of all sizes and industries. Our team of experts has the knowledge and experience to handle even the most complex auditing requirements, making us the go-to choice for many businesses in the region.

At RBS Auditing, we believe in delivering the best possible services to our clients. That’s why we continuously invest in training and development programs for our team, ensuring that they are up-to-date with the latest technologies and techniques in the auditing industry.

According to a recent survey, RBS Auditing has a 97% customer satisfaction rate, making us one of the leading auditing companies in Dubai and Sharjah. Our clients trust us for our expertise, reliability, and professionalism.

Auditing Services in Dubai
Auditing Services in Dubai

Our Products and Services :

At RBS Auditing, we offer a variety of auditing services to meet the unique needs of our clients. Our services include:
● Internal Auditing
● External Auditing
● Financial Auditing
● Tax Auditing
● Compliance Auditing

Benefits of Our Products and Services :

● Providing accurate and up-to-date information about your financial status
● Enhancing the transparency and accountability of your financial transactions
● Detecting and preventing fraudulent activities
● Complying with the regulations and laws of the local authorities

● Improving the overall financial health of your business

Internal Auditing :
Internal auditing is an essential component of any business. It helps you to identify any weak points in your internal controls and processes, ensuring that your business runs smoothly. At RBS Auditing, our internal auditors use the latest technology and techniques to provide you with a comprehensive and accurate assessment of your internal controls.

External Auditing :
External auditing is mandatory for all businesses operating in Dubai and Sharjah. Our team of experienced auditors will provide you with a thorough and independent assessment of your financial statements, ensuring that they are accurate and comply with the local regulations.

Financial Auditing :
Financial auditing is critical to the success of any business. It provides you with valuable insights into the financial health of your company and helps you to make informed decisions. At RBS Auditing, our financial auditors use the latest techniques and technologies to provide you with a comprehensive analysis of your financial statements.

Tax Auditing :
Tax auditing is a complex process that requires a deep understanding of local regulations and laws. Our team of tax auditors has the expertise and experience to help you comply with the local tax laws and regulations, ensuring that your business operates within the legal framework.

Compliance Auditing :
Compliance auditing is critical to the success of any business. It helps you to comply with the local regulations and laws, ensuring that your business operates within the legal framework. At RBS Auditing, our compliance auditors use the latest techniques and technologies to provide you with a comprehensive assessment of your compliance with
the local regulations and laws.

Conclusion :
RBS Auditing is your trusted partner for all your auditing needs. Our team of highly skilled auditors has the knowledge and experience to provide you with the best auditing services that cater to all your needs. With years of experience and a commitment to providing the best services, RBS Auditing is your one-stop solution for all your auditing requirements.
If you are looking for the best Auditing Services in Sharjah and Dubai, look no further. Contact RBS Auditing today to schedule a consultation and find out how we can help your business succeed. Trust us to provide you with the information and support you need to make informed decisions and achieve your business goals.

 

 

Uncovering the Secrets of Efficient Auditing with RBS Auditing

best auditing services in Dubai
RBS Auditing is a leading provider of auditing services for businesses operating within the Dubai Free Zone and DSO. With a team of experienced and professional auditors, RBS Auditing has become a trusted name in the industry.
In this blog, we will delve into the world of auditing and the benefits that come with working with RBS Auditing.
Auditing is a critical aspect of any business. It helps companies to identify areas of improvement and maintain transparency in their financial records. For businesses operating in Dubai Free Zone and DSO, it is mandatory to have their financial records audited by a Free Zone approved auditor. RBS Auditing provides a comprehensive range of auditing services that are tailored to meet the unique needs of businesses in these areas.
Benefits of RBS Auditing Services:
best auditing services in Dubai
best auditing services in Dubai
Free Zone Auditing:
As a Dmcc Free Zone Approved Auditor and Dso Free Zone Approved Auditor, RBS Auditing has the expertise and knowledge to carry out efficient and effective Free Zone auditing. Our team of auditors is well-versed in the regulations and laws that govern the Free Zone and DSO, ensuring that all audits are carried out in compliance with these regulations.
Experienced Auditors:
At RBS Auditing, we believe that our strength lies in the expertise of our auditors. Our team of auditors has a wealth of experience in carrying out audits across a range of industries. This experience allows them to identify areas of improvement and provide valuable insights that can help businesses to streamline their operations and improve their financial performance.
Comprehensive Auditing Services:
RBS Auditing provides a comprehensive range of auditing services that are tailored to meet the unique needs of businesses in the Free Zone and DSO. Our services include financial statement audits, operational audits, and compliance audits, among others. By working with RBS Auditing, businesses can be assured that their financial records are thoroughly examined, and all areas of improvement are identified.

 

Customer-Centric Approach:
At RBS Auditing, we are dedicated to providing our clients with the highest level of service. Our team of auditors takes a customer-centric approach to their work, ensuring that all clients receive personalized attention and support throughout the auditing process.

Cost-Effective:
RBS Auditing is committed to providing cost-effective auditing services that do not compromise on quality. We work closely with our clients to understand their unique needs and budget constraints, ensuring that our services are tailored to meet their specific requirements.

Conclusion :
RBS Auditing has a proven track record of delivering best auditing services in Dubai Free Zone and DSO for over 10 years. With a team of highly experienced auditors boasting a collective 50 years in the industry, RBS has successfully conducted over 500 audits in the last financial year. The results of our services are evident, as a staggering 96% of clients have reported improved financial performance. It is clear that RBS Auditing continues to be a leader in the auditing industry, providing valuable insights and solutions to its clients. So why wait? Contact us
today and take the first step towards maximizing your business potential

Federal Decree- Law No. (18) of 2022 (‘’the Amendment of VAT Law w.e.f January 01, 2023’’)

VAT

Federal Decree- Law No. (18) of 2022 (‘’the Amendment of VAT Law w.e.f January 01, 2023’’)

Summary of VAT amendments:

Article Number Title VAT Amendments
Article 1  Definitions New definitions have been introduced for –

Relevant Charitable Activity, Pure Hydrocarbons, Tax Evasion, Tax Audit, Tax Assessment and Voluntary Disclosure.
Article 5 Supply of Goods Entry into a contract between more than two parties entailing the transfer of Goods at a later time will be considered as supply of goods as per new amendment.
Article 7 Other out-of-scope transactions A new clause inserted which allows the Executive Regulations to stipulate any other transactions that can be considered outside the scope of VAT.
Article 15 Registration Exceptions Exception to register from tax is now extended to include registered persons having 100% zero rated supplies, in addition to non-registered persons.
Article 21  Cases of Tax Deregistration New amendment grants the Federal Tax Authority, the right to deregister any registered person if they assume that the taxable person’s VAT registration may cause any harm to the tax system.
Article 26 Special Date of Supply The date of supply under Clause 1 now includes the date on which one year has passed from the date on which the goods or services are provided.
Article 27 Place of Supply of Goods (continuous supply) As per new clause, place of supply of goods that include export or import will be inside UAE if Article 26(1) applies AND the ownership of the goods has been transferred inside the UAE.
Article 30 Place of Supply in Special Cases (transport-related services) Clause is extended to include transport related services in the rule of special place of supply. Place of supply means place where transportation starts.
Article 33  Place of residency (Agent/Principal) The place of residence of principal will be the place of residence of the agent as per changed clause.
Article 36 Value of Supply and Deemed Supply for Related Parties Where a deemed supply occurs between related parties, the value of supply would be determined by the market value, as per amended law.
Article 45 Supply/Import of Goods and Services that are Subject to Zero Rate Import of following added to the zero-rated list

·         means of transportation and goods related to means of transportation

·         rescue planes and ships

·         crude oil and natural gas

·         Related basic healthcare goods.

·         investment precious metals (if they are supplied or imported for investment purposes.)
Article 48 Reverse Charge Reverse charge will apply to “Pure Hydrocarbons” instead of “any form of hydrocarbons”
Article 55 Recovery of Recoverable Input Tax in the Tax Period (Imports) The first condition of the Article for recovery of input tax as per the reverse charge mechanism is amended with the addition to keep invoices and import documentation (i.e. for goods only) for the importation of goods or services.
Article 57 Recovery of tax by Government Entities and Charities Government entities can recover tax if incurred for the provision of sovereign activities.

charitable organisation can recover tax if incurred for the provision of relevant charitable activities.
Article 61 Instances and Conditions for Output Tax Adjustments (additional case) Clause inserted which requires taxable person to adjust output tax after the date of supply not only if the tax was charged in error but also if the application of the tax treatment was incorrect (e.g., where it was treated as exempt/zero rated instead of taxable at 5%)
Article 62 Mechanism for Output Tax Adjustment Tax credit note must be issued within 14 days from the date of occurrence.
Article 65 Conditions and Requirements for Issuing Tax Invoices (obligation to pay VAT) It has made mandatory for the taxable person to pay the VAT to the Federal Tax Authority in cases where such person issues a tax invoice stating VAT on it or receives an amount as VAT.
Article 67  Date of Issuance of Tax Invoice (for continuous supplies) Now it has been specified that the date of issuance of tax invoice under continuous supply will be 14 days from the date of the supply.
Article 79 bis Statute of Limitations (new article) ·         The statute of limitation of 5 years not applicable where FTA has issued a notice to audit, provided audit is completed within 4 years from notice date.

·         statute of limitation will be extended by one year if taxable person files voluntary disclosure in 5th year.

·         Voluntary disclosure cannot be filed by the taxable person after the lapse of 5 years.

 

Key benefits of outsourcing accounting services!

accounting services in Sharjah

Outsourcing is the practice of giving some of your work to a company other than your own to advance professionally. Outsourcing accounting services in Sharjah may be the finest choice for complicated financial reporting and accounting services. The following are the main advantages of outsourcing accounting.

 

  1. High profitability: The delays, errors, and review requirements of the internal accounting staff led to a great deal of dissatisfaction among businesses. By expecting efficient work that was jointly agreed upon and firmly enforcing regulations, outsourcing services may be helpful. To boost your company’s profitability, you may outsource while keeping your resources to a minimum and focusing on your strengths.
  2. Lower prices: One of the key benefits of outsourcing accounting services is the cost-effectiveness of the services. Savings on expenses can be substantial. Through outsourcing, you may select only the services you need. The business will be able to reduce some wasteful expenses.
  3. Reduced risk: Financial transaction reviews may be time-consuming, and reporting mistakes can be quite costly. A group of experts who work for outsourcing firms can manage all documents efficiently and with the fewest mistakes.
  4. Fraud check: In fact, outsourcing accounting services to trustworthy companies can help avoid and reduce employee fraud. If accounting tasks are managed internally, internal employee fraud is a possibility.
  5. Help in decision making: Delivering higher quality accounting information more quickly, effectively, and efficiently might take some time. Working with accounting professionals may help you obtain more reliable information that may speed up the process of making better business decisions.

Services - Accounting Services in Dubai, Sharjah, Abu Dhabi, Ajman from Dubai United Arab Emirates | ID - 2724532

Why outsource accounting services from RBS?

An accounting department should be included in every business organization. Organizations look for accounting solutions that are affordable while still hoping to add value to enhance results. Outsourcing accounting services might help you identify the primary areas of activity for your company.

Outsourcing accounting services in Dubai, United Arab Emirates is a sensible way to handle accounting duties because skilled accounting professionals are readily available there. RBS is a reliable accounting company that can handle all accounting tasks and assist with establishing financial transactions.

 

RBS maintains client accounting records in a way that allows MIS to be generated from the accounting system to check on the health of the company regularly. To free up the client to concentrate on their main business, we handle the bank, vendor, and customer reconciliation process. Another one of our services is assisting you in hiring your accounting team. Due to our extensive accounting work expertise, you will profit.

 

We are a reputable accounting business in Dubai, United Arab Emirates, with years of service. We have developed relationships with various business leaders in the UAE. RBS offers our clients a comprehensive package of services including financial consulting, business establishment, tax services, UAE free zone company liquidation, and more, making accounting and bookkeeping easier for SMEs. We are regarded as one of the top audit firms in UAE. Like accounting firms, our goal is to set up accounting procedures for our clients in compliance with their rules and specifications as well as with regional accounting regulations.

 

 

 

 

Are you looking for an audit and accounting solution in Dubai?

Auditing

Businesses in Dubai are required to keep a consistent Book of Accounts. If your company lacks a professional team to manage its records and finances, you may get charged with incorrect Bookkeeping and VAT return filing. Regardless of your business size, accounting is critical for decision making, budget and cost planning, and monitoring economic performance. And hence you need Accounting Firms In Dubai.

What are the Accounting Procedures?

There are two main types of accounting:

 

1. The Accrual Accounting Method

Revenue is recognised as it is earned, and expenses are recognised as they are incurred. The accrual method is considered the most theoretically correct, but it requires extensive accounting knowledge, so it is more likely to be used by larger organisations. Nevertheless, this method is ideal for publicly traded companies and businesses that want to have their financial statements audited.

 

2. Cash Accounting Method – Revenue is recognised when customers pay in cash, and expenses are recognised when suppliers pay in cash.

 

There is also a hybrid accounting method, which combines the accrual and cash methods. In exceptional circumstances, this may be acceptable, but it will not result in auditable financial statements.

 

Why Choose RBS Auditing Firm?

inexpensive Services – When you hire Accounting Services In Dubai, you will only have to pay a fixed monthly fee that is tailored to your company’s specific needs. This is more cost-effective than hiring a dedicated or full-time accountant in-house. You will spend this money on their monthly salary, travel expenses, OT benefits, etc.

Adaptability and time savings – By outsourcing your accounting and bookkeeping functions to RBS Auditors, you can focus on more important tasks like business development, saving you valuable time. In addition, we can come to your office and work on your book of accounts based on your preferences and schedule.

Advantage of Expertise – You benefit from the expertise of RBS’s team of professionals who are certified accountants.

scalability – When faced with increased production, your company can grow within the context of business strategy without being hampered by its structure or available resources.

 

Contact us if you are professionally or personally considering a thriving future. Regarding Audit Firms In UAE, accounting, taxes, or business consulting, we have a team of dedicated accounting specialists on hand, and one phone call can make all the difference.

Get benefits of Vat and excise services in Dubai!

Excise Tax Registration And Return Filing

Businesses must select the right firm for Vat & Excise Consulting In UAE, based on various factors such as the tax consultant’s experience, finance, IT, operations, VAT computation, VAT refunds, and tax filing. A VAT consultant who is well-versed in all technological advancements in the field can easily verify reports, claim refunds, fill out forms, and handle any complex VAT issues.

RBS Auditing has a qualified team of VAT consultants who have local knowledge of VAT accounting, VAT filing, VAT refunds, and all other VAT laws and regulations in the UAE. In addition, RBS Auditing was Established in 2014 as a traditional accounting firm to provide accounting and outsourcing services in Dubai, UAE. Later, the firm was liquidated after establishing a full-fledged accounting and auditing firm known as RBS & Abdulrahman Auditing.

 

VAT Consultants in Dubai Provide the Following Major VAT Compliance Services:

 

-Ensure that VAT returns and reconciliation are submitted on time.

-VAT records, returns, and reconciliation

-Advising on client clarifications on FTA notifications

-Representing clients in tax matters before the FTA

-Source document review and customization

Documents Required for UAE VAT Registration

The following documents get required for applying for VAT Registration in the UAE:

-a copy of the trade licence

-Copy of the business owner’s and partners’ passports

-Copy of the owner’s and partners’ Emirates ID

-The company’s Memorandum of Association and Articles of Association.

-Contact information and address for the company

-Account information

-The FTA format monthly income statement for 2017 to date

-The nature of the business and the activities carried out

-Turnover is expected in the next 30 days.

-Customs registration information (if applicable)

-Signatories with authority Emirates identification, passport, and authorization documents

 

Hiring the Best VAT Services in Dubai will help you steer your business smoothly.

 

Businesses in the UAE are having difficulty preparing for VAT and the ever-changing tax laws and regulations. If you are looking for the best VAT Consultants in UAE to assist you with VAT consistency, look no further. Connect with RBS Auditing, the best FTA registered tax agent with a strong presence throughout the country. 

We provide the best Vat & Excise Advisory In UAE and a wide range of TAX Services tailored to the client’s specific business needs. We have a specialized team with extensive knowledge and expertise in VAT rules and regulations.

 

If you are also looking for Excise Tax Registration And Return Filing, RBS Auditing does that also! So, Get in touch with us right now!

Why should you trust Auditing firms in Dubai?

Professional Auditing Services In Dubai

Auditing is simply the process of double-checking and verifying books of accounts and recorded financial data prepared by an organization’s accountant against the source documents from which they were designed, as well as examining whether the organization is operating following industry standards and another stated purpose. Professional Auditing Services In UAE analyses, the company’s financial data to ensure that the financial statements and reported data are accurate and transparent to the relevant stakeholders.

Auditing services:

RBS Auditing offers various audit services for both small and large organizations. Among the benefits are:

Internal auditing – refers to assessing the company’s internal position and control.

Internet audits assure businesses that their risk management strategies, corporate practices and methods, and internal control processes are effective. In addition, it improves the credibility of financial reports and reports to shareholders and management.

External auditing – This is auditing a company’s financial records to ensure the transparency, dependability, and accuracy of financial data. An external audit gets performed by a third party who has no affiliation with the organization and aids in discovering any frauds, misstatements, or miscalculations. In addition, external auditors will report on the business’s progress to management, assisting them in making future decisions and strategies.

Statuary Audit- This type of audit gets required by law and communicates financial information to all stakeholders such as investors, shareholders, the general public, and so on. This audit aims to reassure the government and other stakeholders that all financial data representation is accurate and honest.

Why do Abu Dhabi businesses require Auditing Firms?

  • Audit firms and Best Auditing Services In Dubai assess your company’s market reputation and dependability. Firms with successful audit reports will appeal to stakeholders because they will be assured of the business’s performance and transparency.
  • The business operations will be guaranteed to pressure groups such as the government.
  • Hiring audit firms gives the company access to specialized teams and individuals who can assist the company in various areas such as taxation, profit and loss analysis, fraud prevention, etc.
  • It contributes to the stakeholders’ continued trust.

Why choose RBS Auditing?

RBS Auditing is a top professional Accounting, Tax, and Auditing firm with a full-fledged professional team with qualifications and experience in Accounting, Auditing, Taxation, Management Consultancy, and Business Advisory Services. RBS Auditing is a leading service provider with a fully qualified professional team ready to assist clients in risk management and operations improvement. So, if you are looking for Professional Auditing Services In Dubai, You have just landed on the right page. Get in touch with RBS Auditing now!

Best Audit Firms UAE for your Business

Audit-firms-in-UAE

RBS auditing delivers top-notch audit, outsourced accounting & payroll, consulting and tax services with a spotlight on client-focused, business-centric solutions. On RBS Audit firms in UAE, Organisations trust our team of skilled advisers for high-value recommendations grounded on world experience and native insight.

Audit firms in UAE
Audit firms in UAE

Mutually of the most important freelance audit, accounting, consulting and tax corporations within the UAE. RBS auditing presently has several partners with many employees members severally specialising in audit and assurance, entry strategy, company formation, risk consultatory, tax consulting & compliance, outsourced accounting & payroll, consulting, business consultatory and company finance.

RBS auditing is the leading accounting, auditing, management and money consulting company in United Arab Emirates’ capital, UAE. Managed by skilled accountants and auditors, consultants altogether aspects of the auditing and money consulting services have helped RBS auditing to supply applicable and useful auditing services and advice for your business. we tend to be the simplest, most trusty and leading professionally managed audit and business practice firm in United Arab Emirate’s capital.

With expertise in our field of operations, RBS auditing has emerged as a pacesetter among accountants and accounting corporations in UAE and incorporates vast people to corroborate this reality. the right combination of non-public attention with due diligence, resources and skill have helped RBS auditing stand out from the group of chartered accountants in UAE. Our main ability is having the ability to reply to shopper needs quickly and resolutely.

RBS auditing offers a comprehensive variety of services within the areas of Audit & Accounting, Business consultatory, company consultatory, Family workplace, Finance & disposition Services, money Services, rhetorical Accounting, service industry, consultatory services, IT services, Payroll services Superannuation Solutions, and Taxation Consulting.

Based mostly in UAE, the corporate has a workplace in United Arab Emirates’s capital with enlargement plans to the remainder of UAE. The firm’s excellence in giving accounting, audit services that include: statutory, internal and management audits and a bunch of monetary practice services has created RBS auditing a distinguished audit firm within the UAE.

 

Our Services

RBS auditing provides skilled Auditing Services In Dubai to purchasers everywhere in the UAE. As a city & United Arab Emirate’s capital based mostly and registered audit & business firm, RBS auditing’s audit, accounting and tax consultants ideally placed to assist purchasers accommodate all domestic and statutory audit & tax laws in city and United Arab Emirates’s capital.

UAE to introduce 9% corporate tax on business profits from June 1, 2023

corporate-tax

Ministry of Finance to introduce federal corporate tax on business profits, effective for financial years starting on or after 1 June 2023

ABU DHABI, 31st January, 2022 (WAM) — The Ministry of Finance has announced that the UAE will introduce a federal corporate tax on business profits that will be effective for financial years starting on or after 1st June 2023. Businesses will become subject to UAE corporate tax from the beginning of their first financial year that starts on or after 1st June 2023.

The UAE corporate tax regime has been designed to incorporate best practices globally and minimise the compliance burden on businesses. Corporate tax will be payable on the profits of UAE businesses as reported in their financial statements prepared in accordance with internationally acceptable accounting standards, with minimal exceptions and adjustments. The corporate tax will apply to all businesses and commercial activities alike, except for the extraction of natural resources which will remain subject to Emirate level corporate taxation.

With a standard statutory tax rate of 9 percent and a 0 percent tax rate for taxable profits up to AED375,000 to support small businesses and startups, the UAE corporate tax regime will be amongst the most competitive in the world.

No corporate tax will apply on personal income from employment, real estate and other investments, or on any other income earned by individuals that does not arise from a business or other form of commercial activity licensed or otherwise permitted to be undertaken in the UAE.

“As a leading jurisdiction for innovation and investment, the UAE plays a pivotal role in helping businesses grow, locally and globally. The certainty of a competitive and best in class corporate tax regime, together with the UAE’s extensive double tax treaty network, will cement the UAE’s position as a world-leading hub for business and investment”, said Younis Haji Al Khoori, Undersecretary of the Ministry of Finance.

Younis Haji Al Khoori further adds that “with the introduction of corporate tax, the UAE reaffirms its commitment to meeting international standards for tax transparency and preventing harmful tax practices. The regime will pave the way for the UAE to address the challenges arising from the digitalisation of the global economy and the other remaining BEPS [Base Erosion and Profit Shifting] concerns, and execute its support for the introduction of a global minimum tax rate by applying a different corporate tax rate to large multinationals that meet specific criteria set with reference to the above initiative.”

Recognising the contribution of free zones to the UAE’s economy and competitiveness, the UAE corporate tax regime will continue to honour the corporate tax incentives currently being offered to free zone businesses that comply with all regulatory requirements and that do not conduct business with mainland UAE.

Given the position of the UAE as a global financial centre and an international business hub, the UAE will not impose withholding taxes on domestic and cross border payments, or subject foreign investors who do not carry on business in the UAE to corporate tax.

As an international headquarter location, a UAE business will be exempt from paying tax on capital gains and dividends received from its qualifying shareholdings, and foreign taxes will be allowed to be credited against UAE corporate tax payable.

The UAE corporate tax regime will have generous loss utilisation rules and will allow UAE groups to be taxed as a single entity or to apply group relief in respect of losses and intragroup transactions and restructurings.

The UAE corporate tax regime will ensure the compliance burden is kept to a minimum for businesses that prepare and maintain adequate financial statements. Businesses will only need to file one corporate tax return each financial year and will not be required to make advance tax payments or prepare provisional tax returns. Transfer pricing and documentation requirements will apply to UAE businesses with reference to the OECD Transfer Pricing Guidelines.

“The introduction of a corporate tax regime will help the UAE achieve its strategic ambitions and incentivise businesses to establish and expand their activities in the UAE,” said Younis Haji Al Khoori.

UAE businesses will be given ample time to prepare for the introduction of corporate tax in the UAE. The UAE Ministry of Finance plans to issue further information on the UAE corporate tax regime toward the middle of the year to help businesses get ready and be fully compliant.

*For further information, please visit the Federal Tax Authority website: https://tax.gov.ae/en

Courtesy:-  https://wam.ae/en