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Corporate tax in the UAEDownload the guide
With the deadline fast approaching, businesses are scrambling for solutions that can help comply with the latest regulations while also improving efficiency and productivity.
A pivotal aspect of this tax framework can be found in Article 56, which encompasses two crucial clauses:
Clause 1 obliges a Taxable Person to keep all documents and records that support the information provided in the Tax Return or any other document filed with the Authority, and that enable the Taxable Income of the Taxable Person to be readily ascertained by the Authority. Clause 1 further requires these records and documents to be maintained for seven years following the end of the relevant Tax Period to which they relate.
Clause 2 requires an Exempt Person to keep any information, accounts, documents and records to enable the Exempt Person’s status to be readily ascertained by the Authority. Similar to a Taxable Person, an Exempt Person should also keep such records for seven years following the end of the Tax Period to which they relate.
Failure to comply with the conditions set out in Clauses 1 and 2 may result in penalties being imposed in accordance with the provisions of the Tax Procedures Law.
The introduction of VAT in the UAE back in 2018 caused a surge in demand for accounting and tax compliance services, as businesses struggled to adapt to the new regulations. A survey conducted in 2019 revealed that nearly 40% of businesses were not yet fully compliant with VAT regulations. As the implementation of Corporate Tax takes center stage, there is a pressing need to learn from past experiences and turn to innovative solutions that can simplify the compliance process.
IFZA has recently partnered with Zoho, a global technology company that offers award-winning online productivity, collaboration, and compliance to provide its worldwide network of Professional Partners and Clients with leading-edge digital tools.
Zoho One is a cloud-based platform that enables businesses to perform all their functions on a single interface, accessible from anywhere. This also includes access to FTA-accredited tax accounting software, Zoho Books, which facilitates business transactions, manages customers and vendors, issues tax-compliant documents, generates reports, and files tax returns effortlessly.
The IFZA-Zoho partnership is a testament to the importance of embracing digital solutions to stay competitive in the current business landscape. With the Corporate Tax deadline looming, it is more important than ever for businesses to adopt modern tools that can help them stay compliant, save time, and reduce costs.
Whether you are a small business or a large corporation, Zoho One offers the right tools you need to succeed in today’s digital-first world. So, if you’re looking for ways to streamline your operations and stay ahead of the curve, now is the time to explore the benefits of Zoho One. All IFZA registered companies can access an exclusive promotion that includes a complimentary 3-month subscription. To learn more about this exciting offer, get in touch with your dedicated IFZA Professional Partner.