The United Arab Emirates is all set to introduce the first Direct Tax in its history, Corporate Income Tax, honoring International Taxation Practices and diversifying income sources. It is time for business entities to prepare themselves for the change. We, at Nex Consultants, will be grateful to assist you to incorporate your venture. So, incorporate your business in this city with utmost confidence.
The Federal Tax Authority of the United Arab Emirates has now opened its official VAT registration portal, allowing eligible businesses to register for VAT starting 1st of October, 2017. VAT will be effective from 1st of January, 2018 at the rate of 5%. It is mandatory for businesses that are resident and operating in the UAE to register for VAT if they make taxable supplies in excess of the VAT registration threshold of AED 375,000 per year. Voluntary registration shall be available to businesses which make taxable supplies above AED 187,500 per year. The Authority shall issue an Administrative Penalties Assessment for taxable businesses failing to submit a registration application by 31st of December, 2017.
Are you looking for Accounting and bookkeeping service in Dubai, UAE that can help you in growing your business ? Accounting and bookkeeping are the spinal cord of an organization and it plays a major role to track the income and expenses. For the hassle free operation of your business, a right accountant and bookkeeper is always important. It’s helps you to generate accurate financial statement of the company. We Nex Consultants offering comprehensive accounting and bookkeeping services to make hassle free administrative of your organization.
1. What is financial accounting?
Financial accounting is the process of recording, classifying, summarizing and interpreting financial information of an organization to provide stakeholders with accurate and relevant information for decision-making.
2. What are the financial statements?
The financial statements include the income statement, balance sheet, and statement of cash flows. These documents provide information on the company’s financial performance, financial position, and cash flow.
3. What is the difference between the income statement and balance sheet?
The income statement reports the company’s profits and losses during a specific period, while the balance sheet shows the company’s assets, liabilities, and equity at a specific point in time.
4. How do companies prepare their financial statements?
Companies prepare their financial statements by recording and summarizing their financial transactions in accounting software, applying accounting principles and standards, and producing reports based on this information.
5. What is auditing?
Auditing is the process of examining a company’s financial records, systems, and processes to ensure they are accurate and comply with accounting principles and standards.
6. What is the role of a financial accountant?
A financial accountant is responsible for recording, classifying, summarizing, and interpreting financial information for an organization. They use this information to prepare financial statements, conduct audits, and provide financial analysis and advice to stakeholders.
7. What are the accounting standards in Dubai?
Dubai adopted International Financial Reporting Standards (IFRS) as the accounting standards for public and private companies.
8. What is VAT?
VAT stands for Value Added Tax, which is a tax on goods and services that are consumed or utilized in a country. In Dubai, VAT is currently at a rate of 5%.
9. What is the role of accounting software in financial accounting?
Accounting software is used to automate accounting processes, track financial transactions, generate financial statements and reports, and create invoices and bills. It helps to streamline financial accounting and reduce the risk of errors.
10. What are the key skills required for a financial accountant?
Key skills required for a financial accountant include knowledge of accounting principles and standards, analytical skills, attention to detail, strategic thinking, computer skills, and effective communication.