Updated Audit Requirements from DCCA
In order to ensure better compliance with Federal Law No.4 of 2002 Regarding Anti-Money Laundering and Combatting Financing of Terrorism, and its related amendments and executive orders, Dubai Creative Clusters Authority will be requiring from both FZLLCs and branch offices to prepare and submit audited financial accounts for the 2018 financial year, and for subsequent years thereafter. This means that the first submission of audited accounts will need to be made in 2019.
Licence renewal and continuation will be linked to submission of audited financial accounts, subject to the following process:
- Companies which have a licence renewal date that falls in the period between 1st January to 30th April will have until 1st May in each year – from 2019 onwards – to submit their audited financial accounts for the previous year. Please note that if audited financial accounts are not filed by 1st May, the license will be automatically suspended.
- For Companies with a license renewal date that falls in the period between 1st May to 31st December, audited financial accounts will need to be filed as part of the annual licence renewal process.
The requirement for audited financial accounts for an FZLLC are set out in Regulations 63-68 of the DCC Private Companies Regulations 2016.
- A branch office may choose to submit the consolidated audited financial accounts of its parent, or a stand-alone extract of the financials of the branch office operation only.
- It will not be required to submit the original audited financial accounts in hard copy; an electronic submission of a copy of the original audited financial accounts will be sufficient. It is anticipated that business partners will be able to submit these documents online via the ‘axs’ services portal.
Who we are
Re/think is a boutique accounting, audit, advisory, compliance and tax advisory firm with offices in Dubai and Abu Dhabi (ADGM). Our audits aim to help clients mitigate risk, improve operational efficiencies, and safeguard their business by providing clarity on issues that matter. Our audit assignments are led by independent auditors with a commitment to the highest standards. Throughout the entire audit process, we work alongside clients to understand the underlying business, address critical issues, and recommend improvements to increase control, reduce the potential for fraud, and assure stakeholders as to the accuracy of the accounts.
How can we help
Re/think provides VAT Advisory, tax optimization, VAT implementation and training services in the UAE and throughout the GCC. Our team of senior qualified tax advisors, finance experts and tax accountants will ensure a timely and cost effective VAT services for SMEs. In addition to advisory and implementation services, our teams will be available after 1 January 2018 (“go-live” date) to perform VAT compliance and ongoing advisory, as your business grows and rules regarding VAT framework become more complex.
About DCCA
Dubai Creative Clusters Authority is mandated to promote Dubai as one of the world’s most attractive cities for creative businesses. DCCA regulates licensing, visa and zoning rules for free zones such as Dubai Internet City, Dubai Outsource City, Dubai Media City, Dubai Studio City, International Media Production City, Dubai Knowledge Park, Dubai International Academic City, Dubai Science Park and Dubai Design District (D3).
For further information and assistance with VAT, Customs or Excise registration in the UAE or KSA, please contact tax@rethink-hq.com.
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