Ras Al Khaimah Economic Zone is one of the most significant economic Zones in the UAE, it serves a compelling role in the UAE’s economy. The economic zone offers businesses a firm financial foundation and supports a wide range of commercial operations. Ras Al Khaimah Economic Zone companies are required to submit their financial statements annually to approved Audit Firms in the UAE to enforce legal compliance on business conduct.
What does the Ras Al Khaimah Economic Zone offer?
Ras Al Khaimah Economic Zone offers overseas investment in free zone areas, enticing corporate and personal tax rates, and reinstatement of profits and capital. Further, it offers reduced financial operating costs than the regional average. The Ras Al Khaima economic zone has an increasing portfolio of foreign direct investments, particularly in the high-tech, artificial intelligence, and lifestyle manufacturing sectors.
Is Auditing an Essential Requirement for Businesses in Ras Al Khaimah Economic Zone?
Auditing is significantly essential for businesses operating in the RAKEZ. Approved auditors in the Ras Al Khaimah Economic Zone can effectively guide your business through the auditing process, in full compliance with the set regulations and standards. Registered businesses are obliged to adhere to regional and global laws such as the International Financial Reporting Standards (IFRS), Anti-Money Laundering (AML), and Combating Financing of Terrorism (CFT).
What Are the Benefits of Having an Approved Auditor in RAKEZ?
There are several benefits of availing Approved Audit Services for your business:
- Approved Auditors can assist your business with enforcing compliance and providing expert guidance when it comes to financial reporting and auditing.
- RAKEZ-approved auditors conduct audits to determine whether the business has accurate financial statements. The auditor also confirms that the business’s accounts and its financial statements and returns are accurate.
How Should Businesses Set Up & Keep Financial Records for Auditing?
In order to justify transactions, accounting records must be accompanied by supporting documentation. The documents must fairly and accurately reflect the company’s financial statements. Moreover, the financial statements need to be IFRS compliant and provide a reasonable representation of the revenue and loss for the particular year.
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Reporting Requirements for the Auditors
- The reports generated in compliance with national and international standards should be examined and reported on by the auditor.
- The financial statement must indicate whether the company’s accounts follow IFRS.
- A company’s financial statement should include information regarding whether there are any substantial errors in the accounts. As of the end of the fiscal year, it should provide a fair and accurate view of the company’s financial state.
- The auditor must determine if the business is exclusively performing tasks allowed under its trade license.
- It is crucial that the firm’s accounts match up with its financial statements and returns.
- The auditor must ensure businesses do not engage in money laundering or terrorist financing.
Required Documents for Audit by RAKEZ Approved Auditors
The auditors request the relevant year’s documentation from the corporations to conduct the audit. It makes it easier for the auditor to formulate an assessment of the financial condition by reviewing the financial statements. The following documents must be presented by businesses:
- Registers of Accounts
- Banking Records
- Confirmation of credit/debit for all financial transactions
- Copies of the invoices and bills
- Articles of Association (AOA)
- Current information about trade license registration for VAT and excise tax (If Applicable)
- Memorandum of Association (MoA)
How to Choose an Approved Auditor in RAKEZ?
Below are a few things to look into:
- Experience and expertise: Expert auditors can help you navigate through set rules and regulations.
- Solid track record: It is highly essential to seek expert consultation from trusted auditors who have a proven track record of cultivating results.
- Personalized service: Top auditors should avail of services that meet the client’s specific needs.
Approved Audit Firms in Ras Al Khaimah Economic Zone
Farahat & Co. is the top audit firm in Dubai. We are a registered auditing firm in the Ras Al Khaimah Economic Zone and other numerous economic zones in the UAE. We provide top-notch strategies that identify the risk that a company might be incurring. We aim to administer premiere and efficient audits for our valued clients’ businesses.