Corporate Tax Accounting in UAE
Corporate Tax Accounting in UAE
UAE Corporate Tax
The UAE corporate tax will be applied to all businesses and commercial activities in the UAE, except the commercial activities of the extraction of natural resources, which comes under the emirate specific taxation. The corporate tax will apply to taxable income above AED 375,000. 9% tax rate applicable for taxable income above AED 375,000. The tax rate will be different for large multinational companies that meet certain criteria. The new tax regime will apply for the first time to the financial year 2023 to 2024. The Federal Tax Authority will be the responsible government entity for the administration, collection and enforcement of the corporate tax regime in the UAE. The Ministry of Finance will continue to be the competent authority for purposes of international tax agreements, treaties and the exchange of information for tax purposes.
Individual income through private or public sector employment is exempted from being taxed under the corporate tax. Capital gains earned from personal investment and personal property will not come under the corporate tax. And also, for the businesses registered in the free zones in UAE, the corporate tax exemption is granted subject to fulfilment of certain conditions.
The Importance Corporate Tax Accounting in UAE
Corporate tax payment is relevant for any business entity in the UAE. Errors in the accounting process may lead to a business loss. So those who are in the field of business must be vigilant while going through the taxation processes. Availing proper corporate tax accounting company in UAE ensures the business firms comply with tax laws by filing tax returns.
A corporate tax accounting company in UAE will help in the following aspects as well.
- They conduct the impact study of the corporate tax accounting and assess these to the business.
- They initiate proper corporate tax planning and advise management about the latest updates/pronouncements and do the proper actions for the company.
- Categorize business activities according to the requirements especially for the free zone companies.
- Corporate tax accounting company will help to identify the tax payable position at regular intervals.
- Corporate tax accountants helps in maintaining proper books of accounts which is required by the FTA.
- Their corporate tax accounting services will be helpful to increase creditworthiness & goodwill in the market.
Major Corporate Tax Accounting Services Provided By Corporate Tax Accountants
- Advice on corporate tax accounting
- Corporate impact study at the beginning and corporate tax planning.
- Preparation of the proper balance sheets, profit and loss and other reports according to the requirements of the CT law
- Filing of corporate tax returns
- Answers to the queries raised by the relevant authorities
- Assisting in tax audit matters.
Why To Choose MAATS As Your Corporate Tax Accounting Company In UAE
Consulting the right company for your corporate tax accounting in UAE can help you prepare, analyse, and file tax returns, without committing any mistakes. Just like bookkeeping and auditing services, corporate tax accounting service is going to be an important aspect of any business firm in the UAE. MAATS has been providing expert services in the accounting and auditing field for many years. We can help you to deal with the tax structure of your business in a professional way. Our corporate tax accountants will help you with tax issues and find suitable solutions that benefit the nature and needs of your business. We provide you with effective tax management advice to plan your tax payments and give assistance in filing corporate tax returns. At MAATS, we give priority to customer satisfaction and we offer onsite and offsite accounting solutions at the convenience of our clients.
