In the past few decades, there has been significant growth in the number of businesses being set up in the Middle East. This increase in the number of enterprises has also resulted in the demand for more reputed and qualified Accountants and Auditors. The importance of both Accountants and Auditors in a business cannot be stressed enough. With the proper assistance from a reputed Accountant and Auditor, a company can reach its full potential.
The Future of Auditing and Accounting in the UAE
The future of professionals such as Accountants and Auditors looks very bright in the Middle East. The recent drop in the oil prices has led the UAE government on the road to diversify its operations. This means that the government was now ready to welcome foreign businesses with open arms which have not only helped the growth of the economy of the Middle East but has also generated new opportunities for the Accounting and Auditing industry.
The Finance industry in the United Arab Emirates was also stirred due to the recent introduction of the Value Added Tax. This Value Added Tax (or Vat) had a tremendous and profound effect on the industry as now the businesses had to keep accurate records of all the transactions done by a company. It means that now the companies in UAE required good and detailed Bookkeeping and Accounting Services.
The reasons because of which the future of the Accounting and Auditing professionals will be bright are explained below:
The Increasing number of Businesses coming in the country
There has been a significant increase in the number of foreign businesses that have entered the United Arab Emirates to plant their feet in the market. With so many different industries coming into the country, there is a growing need for proper accounting and auditing firms. Having a good accountant and auditor will not only provide a better understanding of the company but will also help the management to make viable strategies for the future.
The effort of the government to diversify the economy
In the last couple of decades, the government of UAE has understood that the economy of the country can not only depend upon the revenue from the oil industry and other hydrocarbons. One of the most significant steps taken by the government is the establishment of free zones. Each of the various free zones is dedicated to a separate industry. This will be a significant cause for the boost in the requirement of reputed auditors and accountants, especially in the Free Zones.
The introduction of the Value Added Tax
The Value Added Tax (VAT) was implemented on 1st January 2018. With the implementation of VAT, there has emerged an enormous requirement of both an accurate accountant and a responsible auditor. Now every company requires to have precise and detailed records of all the transactions which are conducted. For which they will need good accountants and bookkeepers.
The companies will also require to file VAT returns or else they may have to face specific penalties. To take care of these things, it is necessary that a company takes the assistance of a reputed auditor.
Advancements in Technology
The recent advancements in technologies have not only helped these professionals to do their work more accurately bust has also allowed them to do more work in lesser time. The most significant example in case of the accounting is that instead of taking a sample population to prepare a report, the accountants can now take the reading of the entire population which will give out a better and accurate result to the people.
In the case of auditing, the technologies utilized by these professionals have become so advanced that the audit process which used to take days can now be conducted in just a 1 or 2 days.
The Future of Accountancy and Auditing – Artificial Intelligence
Machine Learning and Artificial Intelligence are compelling tools which, when utilized by the Accounting and Auditing professionals can bring in tremendous results. The results provided by using artificial intelligence are very accurate and are so detailed that it is not possible for a human to offer so much information. Machine learning is the method by which the machines are supplied with data, and they can learn on their own. In future all the time, intensive tasks will be performed by Artificial Intelligence. The use of these techniques are not much prevalent right now, but in the near future, these will change the way how the fundamental process of Auditing and Accounting are done.
If you need accurate accounting and bookkeeping services or you are looking for highly detailed auditing services, you must look into the services provided by JAXA Chartered Accountants. JAXA delivers services which are competent and precise and can help the management of your company to make growth strategies for your company. For more details on the services provided by JAXA, Contact Us. We will be happy to help you.