It is crucial for any UAE-based company to conduct corporate due diligence as it is highly probable that the current and the future legal environment of the UAE will change in relation to corporate tax, VAT legislation and other related financial regulations. Any company willing to operate in the UAE must abide by the laws of the country and also prepare its accounts as per the UAE accounting standards.
Role of corporate due diligence
Corporate due diligence is an evaluation of a company’s financial, operational and legal position. They are useful when searching for any possible threats, opportunities or gaps that could impact the company’s performance or its compliance level. Because of the rapid changes in the UAE laws and especially in issues to do with corporate tax and VAT, it would therefore be most appropriate if your company hires the services of chartered accountant firms in Dubai.
Corporate Tax Due Diligence
The assessment of the UAE’s new corporate tax means that companies must pay attention to their level of legal exposure and legal obligations. Corporate tax due diligence entails a verification of the company’s tax status, scrutiny of previous tax returns as well as compliance with tax reporting requirements. One of the benefits of engaging a professional accounting firms in Abu Dhabi is that they can offer professional advisory on issues to do with corporate tax and possible risks or non-compliance within the UAE’s corporate tax laws and UAE audit standards.
VAT Compliance and Due Diligence
The UAE’s VAT laws also entail that companies need to keep proper records of their sales, purchases, imports, and exports. Therefore, hiring chartered accountants in Dubai can assist in guaranteeing that your company has a correct VAT legal compliance. Top chartered accountants in Dubai can help in the filing of VAT returns, registration for VAT and the computation of input and output VAT.
An experienced accounting firms in Dubai & FTA approved tax consultants in Dubai can also perform a VAT audit to review all records of VAT, and ensure that you do not incur penalties from the Federal Tax Authority (FTA). This is important to keep a check and balance and make sure that your company’s VAT policies are correct as per the UAE laws.
Financial Accounting and Bookkeeping Due Diligence
In financial accounting due diligence, the company records have to be checked, scrutinized to reflect the company performance accurately and in conformity with the UAE accounting standards.
Hiring accounting and bookkeeping firms in Abu Dhabi means that you will be working with a professional who will ensure that all your financial data is well recorded and sorted in accordance to the standard accounting practices. It also assists in the preparation of the audits as well as ensuring the overall accuracy of the financial records
Legal and Regulatory Compliance
Another aspect that is considered in corporate due diligence in the Abu Dhabi include the compliance with legal requirements of the country. This includes the laws that govern formation of companies, labor laws and other standard legal requisites. Hiring the best auditing companies in UAE or tax consultants in Abu Dhabi can be of great assistance in terms of legal issues by reviewing your companies’ contracts, agreements and licenses. They can offer legal consultation regarding any risks or liabilities that may be associated with your business while keeping your company on the right side of the UAE laws.
Why Engage an Accounting Firm Based in Dubai?
At this point, it becomes pertinent to work with top chartered accountant firms in Dubai because of the many issues that relate to corporate due diligence and these include corporate tax, VAT compliance, financial accounting, and regulatory compliance. UAE accounting firms have extensive knowledge of the UAE laws and will be in a position to offer your business a solution that you need.
A due diligence service provided by UAE corporate tax consultants can include financial audit, tax advisory and VAT compliance. They have the knowledge on how to anticipate any risky situations that may arise and provide the best advice on how to avoid such incidences hence protecting your business from legal complications or financial losses. When you hire tax consultants in Abu Dhabi, you will be able to run your business as usual and leave all the complications involved with due diligence to the professionals.
Conclusion
Corporate due diligence is an essential requirement for every organization operating in the UAE. It helps in following the legal provisions related to corporate tax and value added tax, record keeping of finances and managing the legal and financial risks. The only way to overcome such complications is by hiring the best charted accountants in Dubai from the list of charted accountants in UAE. Jaxa Charted Accountants, UAE have the required knowledge and experience to ensure that you are fully compliant, obtain the best tax advantage and ensure that all your records are clean. Do not risk your corporate due diligence uncertainly – hire Jaxa Charted Accountants, UAE now to protect your business’ future.
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