Statutory Financial Statement
Joint-stock companies, limited liability companies and partnerships limited by shares registered in the UAE are required to prepare annual statutory financial statements.
These financial statements must be audited within three months of the end of the fiscal year. Once audited they shall be filed with the Ministry of Economy and Commerce and other relevant authorities.
All UAE entities prepare statutory financial statements following International Financial Reporting Standards (IFRS).
All companies, including those located at free zones, and partnerships, are also required to prepare full financial statements including a balance sheet, profit and loss account and other explanatory notes as required by UAE law.
Outside of free zones, all other companies/partnerships limited by shares in the UAE have the option to prepare their financial statements per any generally accepted framework.
Subsidiary companies of corporations listed in other jurisdictions have the option to prepare their financial statements per the framework followed by their parent company.
Europe Emirates Group works with a team of highly qualified auditors who can assist with a wide variety of requirements. While there are no ethical standards issued explicitly for the UAE, local firms usually follow IFAC standards. The free zones in the UAE have a rigorous process for monitoring and streamlining auditing practices. They monitor the practice of auditing firms and review their work on an annual basis.
Auditors in the UAE are appointed for a fixed period of one year. They can continue as the auditor of the company after the first year subject to shareholder general assembly meeting approval.
Our appointed auditors cover a wide range of requirements including monthly profit and loss reports, balance sheets, regulatory compliance, advice on controls, advice regarding processing system weaknesses, monitoring of prospective accounting and regulatory changes, and yearly audited accounts.