Established in 2002, the Dubai Multi Commodities Centre (DMCC) falls under the UAE free zones. Ever since it was founded, DMCC has continued to increase in terms of growth. One good thing about DMCC is that doing business in its Free Zone in 2023 comes with tons of benefits.
- For instance, a DMCC corporation doesn’t have to pay income tax.
- The corporation doesn’t have to worry about any import or export duties within the Free Zone.
- Another good thing is that DMCC Free Zone is that it provides businesses with the ease to repatriate both profits and capital abroad.
But here’s a burning question; do DMCC corporations need to conduct audits? Read on to discover the answer to this question and a few others.
Is it important for DMCC corporations to conduct audits
There’s no denying that running your business in the DMCC Free Zone comes with a lot of benefits. But do these benefits also extend to zero audits?
The simple answer is no! According to the DMCC Company regulations, auditing is pretty important for all businesses running under the Dubai Multi Commodity Centre Free Zone. Unfortunately, failing in this aspect can always attract a penalty.
- One penalty attached to the failure to submit your audited financial statements is “non-renewal of your trade license”.
- In addition to your trade license getting revoked, you may also be fined for failing to carry out DMCC Free Zone audits.
Are there any goodies attached to conducting your audits?
Of course, there are tons of benefits attached to having your DMCC audits conducted. Apart from having your trade license renewed, below are a few other things you stand to benefit:
- Auditing will ensure your corporation complies with the DMCC regulations.
- Auditing will also help your company to understand its financial position.
- Furthermore, auditing is also vital as it helps to boost your shareholder’s confidence.
- It’ll also boost your credibility in associating with the government, banks, and top potential investors.
- Auditing also enables you to enjoy all the goodies attached to running your business in the DMCC Free Zone.
Can you hire any audit firm for this exercise?
The answer to this DMCC audit-related question is no! According to the DMCC regulations, you can only hire DMCC-approved auditors to audit your corporation. Check the DMCC Approved Auditors List (AAL) to find the right auditor to work with.
One exception, however, is that if your company is registered in DMCC as a branch company, you may not need to consider the DMCC Approved Auditors List. Instead, all you need is to work with your group auditor.
That said, one of the approved companies you can rely on for your DMCC audits is AMAJ, which is also known as Abdulmannan Al Janahi Auditing in Dubai.
At what point should you submit your DMCC financial reports?
Unlike before, the latest regulations say a company registered with the DMCC Free Zone needs to submit its audited financial reports within 180 days following the end of the financial year. For the submission of your audited financial statements, you can always rely on Abdulmannan Al Janahi Auditing or any other audit service provider in Dubai.
Are there any requirements you need to meet during the auditing process?
The simple answer is yes, you need to meet certain requirements for your audits to be considered successful.
The auditing process is pretty simple. First, you must keep records of your financial statements for the last five years. Of course, these records need to be audited regularly. That said, below are the requirements you need to meet:
- Bank account Statements
- All your financial transaction confirmation slips (both credit & debit slips).
- Copies of your entire bills & invoices.
- You need all statements of deposits, which are available on the official DMCC portal.
- MOA or Memorandum of Association
- AOA or Articles of Association
- Copy showing your latest trade license.
- Registration details relating to VAT and excise tax.
Why consider hiring Abdulmannan Al Janahi Auditing today?
As you already know, for you to meet the latest DMCC regulations, you need to work with DMCC-approved auditors. Hiring Abdulmannan Al Janahi Auditing in Dubai will allow you to meet the minimum requirements for condition audits for your corporation.
Of course, there are several other reasons why hiring Abdulmannan Al Janahi Auditing in Dubai is worth it:
- We have a proven track record of helping many companies in the DMCC Free Zone.
- In addition, we have a team of chartered accountants who understand all that matter to ensure a successful auditing process.