DLS Dubai Free Zone company renewal and audits

[mandleband]

Hi


I have a Dubai Free Zone company which I got setup with DLS Dubai.


I never ended up using it for any business purposes except for the VISA but it seems DLS Dubai now no longer exists


A friend yesterday mentioned to me that now there are audits requires on Free zone companies,which I knew nothing about.


I wondered if anyone knows what would be the best way for me to renew this such as other services who could take over it, or whether anyone knows anything about whether I'm supposed to be getting audits done (Even though there is no business activity)


Thanks

 

[JackAlabama]

mandleband said:
Hi


I have a Dubai Free Zone company which I got setup with DLS Dubai.


I never ended up using it for any business purposes except for the VISA but it seems DLS Dubai now no longer exists


A friend yesterday mentioned to me that now there are audits requires on Free zone companies,which I knew nothing about.


I wondered if anyone knows what would be the best way for me to renew this such as other services who could take over it, or whether anyone knows anything about whether I'm supposed to be getting audits done (Even though there is no business activity)


Thanks
Click to expand...

afaik no audit for ifza only if you want to close. Best you get in touch with them directly.

 

[mandleband]

So does IFZA do the same services which DLS Dubai did previously, and therefore no need to get a new intermediary?

I am considering just closing it depending on how much the renewal is and how much admin is now involved with all this tax stuff I've read about

 

[JackAlabama]

mandleband said:
So does IFZA do the same services which DLS Dubai did previously, and therefore no need to get a new intermediary?

I am considering just closing it depending on how much the renewal is and how much admin is now involved with all this tax stuff I've read about
Click to expand...

no, not the same. but basic tasks they will do and advise.

 

[EliasIT]

try @EmiratesSetup they are the same as DLS Dubai @Fred who went out of business last with some sort of depression or something, he never made it back again!

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[J55k]

EliasIT said:
try @EmiratesSetup they are the same as DLS Dubai @Fred who went out of business last with some sort of depression or something, he never made it back again!
Click to expand...

@EmiratesSetup was lat online december 8th. Dont think you´ll get much out of it.

 

[DeepDrilling]

J55k said:
@EmiratesSetup was lat online december 8th. Dont think you´ll get much out of it.
Click to expand...

Yeah looks like most in the UAE are gone for good with their businesses.

 

[Mekan Gurbanov]

J55k said:
@EmiratesSetup was lat online december 8th. Dont think you´ll get much out of it.
Click to expand...

We are only online and working. You can always reach out by email or whatsapp.

DeepDrilling said:
Yeah looks like most in the UAE are gone for good with their businesses.
Click to expand...

Not really. The business is fine.

mandleband said:
Hi


I have a Dubai Free Zone company which I got setup with DLS Dubai.


I never ended up using it for any business purposes except for the VISA but it seems DLS Dubai now no longer exists


A friend yesterday mentioned to me that now there are audits requires on Free zone companies,which I knew nothing about.


I wondered if anyone knows what would be the best way for me to renew this such as other services who could take over it, or whether anyone knows anything about whether I'm supposed to be getting audits done (Even though there is no business activity)


Thanks
Click to expand...

Truth. There is a new requirement to submit financial audit within 3 months after renewal of the license. We can help you out with it.

Reach out by email, so we can take a closer look.

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Mekan Gurbanov - Senior Consultant
EmiratesSetup Dubai - www.emiratessetup.ae
Business Set-Up in Dubai

 

[Clank]

Mekan Gurbanov said:
Truth. There is a new requirement to submit financial audit within 3 months after renewal of the license. We can help you out with it.
Click to expand...

This is only for IFZA, right?

Other free zones such as RAKEZ are not asking for this.

 

[JackAlabama]

Mekan Gurbanov said:
We are only online and working. You can always reach out by email or whatsapp.


Not really. The business is fine.


Truth. There is a new requirement to submit financial audit within 3 months after renewal of the license. We can help you out with it.
Click to expand...

is there a reason why ifza dont inform their clients about this?
Last time I had contact with ifza there was 0 talk about financial audit but providing financial records.

 

[uplana]

There has been an incredible amount of uncertainty about the tax rules in Dubai / UAE in general over the last 20 months - it's as if those desert rats really want to do something but then again don't want to, or are trying to postpone everything as long as they possibly can.

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[JackAlabama]

uplana said:
There has been an incredible amount of uncertainty about the tax rules in Dubai / UAE in general over the last 20 months - it's as if those desert rats really want to do something but then again don't want to, or are trying to postpone everything as long as they possibly can.
Click to expand...

The tax is not even the most pressing issue although pretty unpleasant. At the end of the day its just extra cost which the clients pay in the end anyway.

Its these constant changes and then no one really informs you about anything and if I ask 3 people I get 5 answers. So effectively I don't really know what to do (except moving my açç).

I provide an example (out of the many):
The recent thing/rumor is like you need to register your fzco vehicle according to your license date this year for tax and not before 2025 (when tax and filing is due) like it was stated back and forth. But how can I know this is now true or not?

Since Ifza is a gov authority, I really dont get it why they cannot just email their clients in a brief text with all requirements.


Take for example Panama. They introduced also a change recently in how things are handled (its handing in accounting records and a form). But there Ive been informed in a timely manner well before any deadlines by my agent even.

Last edited: Mar 4, 2024

 

[Mekan Gurbanov]

JackAlabama said:
is there a reason why ifza dont inform their clients about this?
Last time I had contact with ifza there was 0 talk about financial audit but providing financial records.
Click to expand...

They do inform during renewal process:

« * As of January 2024, all IFZA Licensees will be required to submit financial reports to remain compliant with licensing regulations. Companies have a three-month preparation period to prepare their accounts following the completion of a financial year. While we continue to process license renewals, we strongly advise promptly preparing the financial report and submitting it once available as the requirement may come to an effect at any given time. »

As per the UAE law every company should have books of accounts ready, so that theoretically doesn't change much.

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EmiratesSetup Dubai - www.emiratessetup.ae
Business Set-Up in Dubai

 

[JackAlabama]

Mekan Gurbanov said:
They do inform during renewal process:

« * As of January 2024, all IFZA Licensees will be required to submit financial reports to remain compliant with licensing regulations. Companies have a three-month preparation period to prepare their accounts following the completion of a financial year. While we continue to process license renewals, we strongly advise promptly preparing the financial report and submitting it once available as the requirement may come to an effect at any given time. »

As per the UAE law every company should have books of accounts ready, so that theoretically doesn't change much.
Click to expand...

Thanks. So you wrote above:

"There is a new requirement to submit financial audit within 3 months after renewal of the license. We can help you out with it."

But from your quote, its not clear: Do my financial reports need to be audited by some auditor or is it good enough as is?

 

[Mekan Gurbanov]

JackAlabama said:
Thanks. So you wrote above:

"There is a new requirement to submit financial audit within 3 months after renewal of the license. We can help you out with it."

But from your quote, its not clear: Do my financial reports need to be audited by some auditor or is it good enough as is?
Click to expand...

As we were advised by IFZA Accountants, your financial reports are fine. Does not have to be audited.

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EmiratesSetup Dubai - www.emiratessetup.ae
Business Set-Up in Dubai

 

[JackAlabama]

Mekan Gurbanov said:
As we were advised by IFZA Accountants, your financial reports are fine. Does not have to be audited.
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thanks. That was also my answer a few months ago.

 

[JoeyMess]

So is anyone who opened business with Fred DLS-Dubai still in contact with him in any form? Or is anyone in that Inner Circle he talked about?

 

[Moonlighter]

Audits are required if you have > 50M AED turnover or fall under the qualified free zone activities. Aside from that you'll need to register for corporate tax this year (guidance) even if you will not pay any tax or qualify under the small business relief.

 

[hanoib]

So everyone that has not yet registered for Corporate Tax needs to apply in 2024.

So lets say you have to renew your license in April.

Does it mean you have to register for Corporate Tax before June 30, 2024?

Thanks!

 

[cryptotree]

hanoib said:
So everyone that has not yet registered for Corporate Tax needs to apply in 2024.

So lets say you have to renew your license in April.

Does it mean you have to register for Corporate Tax before June 30, 2024?

Thanks!
Click to expand...

That's correct