Offer: Accounting & Audit in UAE
Any legal entity registered in the UAE (regardless of its type or legal form) is obliged to keep proper accounting records that are sufficient to enable the financial position of the legal entity to be determined and reflect up-to-date information about its assets and liabilities.
Offshore companies in the UAE do not have an obligation to file their financial statements with government authorities. Nevertheless, they are obliged to keep documents related to their economic activities and have them detailed enough to make it possible for the directors to determine the company’s financial position with reasonable accuracy at any time. We recommend to our clients to prepare and keep management accounts for their offshore companies. Being basically a simplified version of financial statements, management accounts cost less both in time and fees, but without any doubts are considered sufficient for accurate determination of the company’s financial position. Our professionals will find no difficulty in preparing such accounts for your offshore company in the UAE.
For mainland companies and Free Zones companies in the UAE there is an obligation to prepare financial statements annually (but in some Free Zones there is no requirement to undergo audit and file accounts with state authorities).
In most Free Zones such financial statements are subject to mandatory audit and are to be submitted to Free Zone authorities along with an auditor’s report. Among the Free Zones, that made it mandatory to have the company’s financial statements audited, are:
|Emirate||Free Zone||Audit requirement|
|Abu Dhabi||Abu Dhabi Global Market (ADGM)||Audit is required, however the companies that simultaneously meet both conditions stated below are exempt from this requirement:
– turnover – not more than 13 500 000 USD;
– number of employees – not more than 35.
|Abu Dhabi||Khalifa Industrial Zone Abu Dhabi (KIZAD)||Audit is required.|
|Dubai||Jebel Ali Free Zone (JAFZA)||Audit is required.|
|Dubai||Dubai Internet City (DIC)||Audit is required.|
|Dubai||Dubai Multi Commodities Centre (DMCC)||Audit is required.|
|Dubai||Dubai South (former Dubai World Central / DWC)||Audit is required.|
|Ras Al Khaimah||Ras Al Khaimah Economic Zone (RAKEZ)||Audit is required.|
|Sharjah||Hamriyah Free Zone (HFZA)||Audit is required, however there are exemptions for some types of licenses.|
|Sharjah||Sharjah Airport Free Zone (SAIF)||Audit is required.|
|Umm Al Quwain||Umm Al Quwain Free Trade Zone (UAQ FTZ)||Audit is required.|
The following Free Zones are the ones with no mandatory audit:
|Emirate||Free Zone||Audit requirement|
|Ajman||Ajman Free Zone (AFZA)||No audit is required.|
|Dubai||International Free Zone (IFZA)||No audit is required.|
|Fujairah||Fujairah Creative Сity (FCC)||No audit is required.|
|Fujairah||Fujairah Free Zone (FFZ)||No audit is required.|
|Sharjah||Sharjah Media City (SMC)||No audit is required.|
For every company registered in the UAE mainland, financial statements shall be prepared each year and approved by an independent auditor. The requirements are quite similar to those existing in Free Zones with mandatory audit, with the exception that no mainland company is exempt from having its financial statements audited.
If a Free Zone or mainland company holds shares of 50% or more in other entities, it would be required to prepare consolidated financial statements for the whole group.
Being thoroughly familiar with the requirements of the Emirati law, international standards of accounting as well as best practice of local and international business, our dedicated team of accountants will provide you with hands-on support and assistance throughout the financial year (on a daily / weekly / monthly basis dependent on the specific needs of your business).
|Keeping accounts and records of your company as a structured archive of financial documents (they will be available to you at any time upon request)||AED 660 (USD 180) / hour|
|Drafting financial statements, arranging for an auditor’s approval, submission to government authorities||AED 330 (USD 90) – AED 1 320 (USD 360) / hour|
|Fee for an audited financial statement with a minimal number of transactions (for a dormant company)||AED 5 455 (USD 1 485)|
The total fee for closing a financial year will depend on the quality, quantity, and complexity of the source documents you provide. We charge on a time-spent basis, with hourly rates ranging from 90 to 360 USD depending on the exact nature of work and the qualifications of the professional you would prefer to have assigned to it.