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1. What are the requirements for the preparation and submission of accounting and audit reports in the UAE?
2. Our services
3. Which companies in the UAE need accounting and reporting?
4. How to effectively organize accounting?
5. How to get a taxpayer identification number (TIN/TRN) in the UAE?
6. What is the cost of accounting and preparation of the balance sheet?
7. Price list for accounting services in our company
8. FAQ

Accounting services, financial reporting, and auditing are services that include consulting, registration of a company with the tax authority, obtaining a tax number, accounting services for a company in the UAE, and conducting an audit. Additionally, these services include the preparation and submission of all necessary reports and forms to the Federal Tax Authority and other relevant authorities. Although there is no personal income tax, the UAE does have a corporate tax (9% from 2023 on profits exceeding a certain threshold) and VAT. Accounting and auditing requirements vary depending on the location of incorporation (mainland or free zone) and the terms of the specific license. Our company provides consultations and a full list of accounting services on an outsourcing basis for all types of legal entities in the UAE.

Preparing client reports for the timely submission of the balance sheet and VAT declaration requires specific knowledge and the qualifications of an accountant who prepares the reports for your resident or non-resident company in accordance with all necessary regulations and the country's legal framework.

What are the requirements for the preparation and submission of accounting and audit reports in the UAE?

Regarding current laws and regulations regarding reporting and auditing, the obligation to maintain accounting records is established by the UAE Federal Law on Commercial Companies, as well as tax legislation (Corporate Tax and VAT). An audit is required in cases stipulated by the rules of a specific jurisdiction or license conditions.

• In some free economic zones, there is a requirement for mandatory annual audit submission to the FTZ administration; otherwise, the license will not be renewed. At the same time, even if the company did not conduct any activity during the reporting financial period, it is still necessary to submit reports, which, in this case, will be zero reports.
• If a commercial enterprise falls under the obligation to pay Value Added Tax (VAT), then, accordingly, it is subject to tax registration with subsequent submission of quarterly VAT returns to the UAE Federal Tax Service. https://www.tax.gov.ae/en/

Our company offers accounting support services on an outsourcing basis for legal entities registered in all Emirates of the UAE – Dubai, Sharjah, Ras al Khaimah, Ajman, Abu Dhabi, Umm Al Quwain, and Fujairah.

Our services:

• initial consultation and answers to questions on current taxes and fees, and all constituent elements, as well as documentation and reporting requirements in the UAE;
• verification of primary accounting documents: invoices, acts, bills, receipts, advance payments, contracts, statements from the settlement account, goods and materials, accounting certificates, acts of completed/rendered works, and other primary documents;
• analysis of the existing financial and management accounting system and its maintenance;
• development of an optimal accounting reporting system taking into account all the requirements of the UAE legislation;
• assistance in preparing/issuing invoices and preparing other financial documentation;
• accounting—on a monthly/quarterly/annual basis, and preparation of documents for the filing of the annual balance sheet;
• preparation of interim financial statements for the required period;
• preparation of accounting documentation for subsequent audit, including cash flow statement, changes in working capital, etc.
• submission/filing of all necessary reports/declarations to the Federal Tax Service and other authorities;
• assistance in drafting documents for hiring employees, accounting/calculation of wages and deductions, and other matters related to the registration and salary payments to employees;
• conducting an annual audit and submitting reports to the tax authority;
• if the company is subject to taxation in the UAE, state registration of a legal entity with the Federal Tax Authority, obtaining a taxpayer identification number (TIN / TRN), accounting of taxes, submission of tax declaration, payment, and carrying out offsets/refund of taxes and payments;
• obtaining certificates of UAE tax residency for companies in the UAE Ministry of Finance;
• Consultations on optimization of reporting processes and preparation of documents for audits.

In addition to services for the preparation of financial flow reports, financial flow statement forms, audits, and tax returns for regulatory authorities, there are also other reasons for the preparation of this tax documentation:

• For internal purposes—for shareholders so that they can evaluate the efficiency of the business, to prepare documents for obtaining financing, to confirm the source of origin of shareholders' funds, etc.
• For banks, when transferring funds from the company's accounts in the UAE (as well as from accounts to foreign banks), banks can request an interim balance sheet of the company and/or shareholder resolution on the payment of dividends. These documents are also prepared by our specialists.

No company can do without an accountant. At the same time, instead of hiring your full-time chief accountant in the Emirates, you have the opportunity to use the accounting outsourcing services provided by us. Thus, you will receive all the necessary scope of accounting support on outsourcing and at a favorable cost. For your tasks, our firm will appoint one of our accountants who will keep your company's accounts and promptly answer any possible questions.

Our employees who conduct accounting/maintenance and preparation for the audit of company documents in Dubai and other Emirates of the UAE (Abu Dhabi, Sharjah, Ajman, Ras Al Khaimah, Fujairah, and Umm Al Quwain) have the required professional qualifications, sound practical experience, and understanding of customer requirements in terms of these types of professional services.

Accounting services are provided using modern software, in accordance with local regulations of the United Arab Emirates and applicable international financial reporting standards (IFRS).

The scope and nature of accounting and administrative services for companies in the United Arab Emirates offer the widest choice, from small targeted matters to a full package of accounting services for companies, including various financial document management and auditing. The external audit is conducted directly by our partners in accordance with the principles of independence.

Which companies in the UAE need accounting and reporting?

First of all, onshore companies in certain free trade zones are required to submit an annual report. In addition, if your company is subject to VAT (currently the VAT rate is 5%), it is necessary to submit quarterly VAT declarations to the tax inspectorate and make appropriate payments. The amount of VAT collection is calculated on a quarterly basis.

Also, very often, especially recently, banks require financial reporting. In addition, the regulations of some of the FZEs specify that all companies must maintain and keep financial statements. Accounting is mandatory for all companies in the UAE. Auditing is required depending on the jurisdiction's incorporation requirements and licensing conditions.

How to effectively organize accounting?

As in any other country, for effective accounting, you have two solutions: hire your own accountant, which is associated with constant monthly expenses and administrative costs, or, by contracting our company, get an outsourced accountant. If you choose the option when our company provides you with a full package of accounting services, you save your time, get the necessary service at the best price, and have all your financial statements prepared promptly and in accordance with local and international Financial Reporting Standards (IFRS).

How to get a taxpayer identification number (TIN/TRN) in the UAE?

If your company is subject to registration with the UAE Federal Tax Service, you just need to contact our staff, and we will prepare and submit all the necessary documents for registration and obtaining a TIN / TRN for your company. The time it takes to register with the Federal Tax Service (FTA) and obtain a TRN depends on the workload of the agency and the completeness of the submitted documents and usually ranges from 2 to 6 weeks.

What is the cost of accounting and preparation of the balance sheet?

The cost of accounting and audit services depends on the type of activity of the legal entity, turnover/revenue, amount of transactions/volume of documents, whether the company is subject to VAT payment, frequency of reporting, and the need for additional services and consultations. Also, important factors for determining prices are the client's requirements for the urgency of processing and preparation of documents, the software used, the number of employees in your company, etc.

For this reason, there is no fixed price list, and the price is calculated based on the data provided to us by you as the client. It is important to note that our company's fees are more than competitive. At the same time, they should not be compared with the costs of similar services, for example, in India or the Philippines—in general, prices for this type of service in the UAE are on average higher since this is due to the relatively high salaries of accountants in the UAE. Contact our consultants, and we will evaluate the scope of work and send you a detailed offer with all the details of our services and their costs/fees.

Price list for accounting services in our company

There is no fixed price list in our company. Prices for accounting services depend on various parameters, such as:

• the form of provision of primary documentation by the client;
• number and type of bank payments;
• yearly turnover;
• the scope and nature of the necessary additional consultations, etc.

The cost/fees of services with monthly payment are affected by the number of transactions per month, the volume of service packages, the frequency of provision, and the difficulty and complexity. As well as the degree of standardization of the client's accounting, how detailed the accounting is conducted in the company.

The cost of accounting and audit services is determined individually, depending on the volume of transactions, jurisdictional requirements, and the nature of the company's activities. In order to receive a price offer with a detailed description of the cost of each of the services for your tasks, write to us, and we will provide you with all the information based on your specific requirements.

FAQ

Is there a need to submit tax returns for individuals living in the UAE?

There is no personal income tax in the UAE. However, individuals may be subject to other obligations (such as VAT when conducting business or tax obligations in other countries, depending on their tax residency), and registration with the UAE Federal Tax Service is also not required. Accordingly, no personal income tax reports/declarations for residents need to be submitted to the tax service; income tax is not subject to calculation or collection/payment.

Is there a legal requirement for a legal entity in the UAE to have its own chief accountant?

In some countries, there is a legal requirement that each company has its own chief accountant, duly registered and entered in the register of companies. There are no such legal requirements in the UAE. Due to the absence of a legal requirement to have a full-time chief accountant, a company has the right to outsource accounting to a specialized organization.

What are the deadlines for submitting tax reports/declarations?

The timeframe for preparing and submitting audit reports is determined by the requirements of the specific jurisdiction (mainland or free zone) and the terms of the license; in some free economic zones, the report is submitted within 3–6 months after the end of the financial year. The standard financial year of most companies in the UAE corresponds to a calendar year, unless the company has decided otherwise. Regarding the submission of VAT declarations, they are subject to submission on a quarterly basis. The VAT declaration and payment of tax must be made within 28 days after the end of the relevant tax period established by the FTA.

What are the accounting outsourcing services?

Outsourcing of accounting services in the UAE is a partial or complete transfer of accounting to a professional accounting company instead of hiring your own accountant and paying them a monthly salary.

An outsourced accountant provides several advantages:

• cost savings;
• the availability of a whole team that conducts all financial reporting for you and answers your questions;
• There are no problems compared to the situation when, for example, your own accountant is ill, on vacation, or quits.

At the same time, this decision is often confused with the decision to periodically hire a freelance accountant.

Outsourcing is the fulfillment of accounting tasks on a regular basis, vs. the involvement of a freelance specialist, which is a one-time solution. In the case when a professional outsourcing company provides you with all accounting services in Dubai, in such a company, in addition to the employee who is assigned to the management of your company's affairs, there are other employees. For this reason, you always have a contact person to solve all your questions. In addition, such a company that outsources for you, in addition to knowledge and qualifications directly on the issues of public services, has other professional qualifications. They can also be very useful to you when doing business in various countries, including the United Arab Emirates.

What do our accounting services include, and why is accounting outsourcing from our company the best choice?

The list of services provided by our company includes the entire cycle from consultation to the provision of the entire service of accounting services, including the registration of legal entities in the Federal Tax Service and the preparation and submission of all reports.

• General accounting: accounting transactions related to regular business operations; trial balance reporting; expense schedules; accounting of fixed assets and depreciation; reports on the movement of cash; general ledger accounts with all accounting entries reflecting the financial statements.
• Financial statements: statement of financial position (balance sheet) at the end of the period; turnover balance sheet; statement of profit and loss and other comprehensive income for the period; statement of changes in equity for the period; cash flow statement for the period; notes, including a summary of the basic principles of accounting policy and other explanatory notes.
• Comparative information provided by the applicable standard: reconciliation of bank accounts.
• Comparison of the balances in the client's accounting on the cash account with the relevant information in the bank statement/extract.
• Accounts payable: summary information about suppliers for the period, together with a report on the dates of accounts payable.
• Accounts receivable: summary information about customers for the period, together with a report on the timing of accounts receivable.
• Payroll calculation: a summary table summarizing employee data by each month; calculations of the allowance for the payment of benefits and vacation pay.
• Audited financial statements: ensuring that accounting books reflect correct financial statements in accordance with IFRS standards and the current legislation of the UAE; submission of the draft audit report and, after approval by the client, submission of the final audit report of the financial statements. The audit/auditing includes a detailed audit of the financial activities of a legal entity based on financial reporting documents; an audit report is prepared based on the results of this procedure.
• Registration of VAT numbers and submission of VAT reports.

Outsourcing from our company in Dubai is a professional service from qualified specialists who have many years of consulting experience. Our specialists will offer a package of services that meets legal requirements and the specific needs of your company. Our company in Dubai is a well-known participant in the consulting services market in the UAE; we will provide the best service based on customer requests.

What should I do if I have questions about taxes in the UAE that I have not found answers to?

In this case, you just need to contact us, and you will receive all the answers to your questions from our consultants.