Role of Accounting & Auditing in Business Planning & Decision Making

 Data, Records, Reports, and Analytics of your assets and liabilities or debts are key factors for any business – and to derive this data – accounting and auditing is a core function of any organization. It is through the process of accounting that companies record and report the intricate pieces of financial data – which allows the management as well as investors to understand the financial health of their business and make informed decisions.

Similarly, an audit is important to assess the economic and transactional activities of an organization. An audit is an independent view of the financial statements, thereby increasing user confidence in the financial statements, and reducing the risk element within an organization. It also ensures your organization is following the rules and regulations.

What are the benefits of accounting & auditing? Read on to find out!

• You get access to detailed statistical information about the company, leading to greater transparency within the management and investors, increasing confidence and efficiency.

• It helps align the resources within your organization, and their time is managed properly, it leads to a more profitable company

• When you accumulate the financial information following the accounting standards – it ensures you can perform auditing, taxation, and more.

• Accounting includes the ascertainment of interpretation and analysis of accounts and statements, an accounting system, and formulation of financial principles and helps the management conduct financial planning effectively.

It is this information that the investors and analysts use to make important decisions around the valuation and creditworthiness of an organization, without this, they would have a lesser understanding of historical data, current data, and future projections. There are various Chartered Accountant firms in UAE that provide accounting and auditing services and can take your worries away!

To know more, reach out to TRC Pamco, one of the leading accounting firms in Abu Dhabi – and watch performance improvements, given their experience and expertise, thereby concentrating on higher-level decision making.

Corporate Tax in UAE - Everything You Need to Know

 

The UAE is known for its expansive landscape, and with it becoming an international business hub, which was tax-free until now – it’s imperative that the implications of Corporate Tax in Dubai need to be evaluated by all the stakeholders and devise a constructive way forward.

Last month, the Ministry of Finance in the UAE introduced a 9% Corporate Tax, applicable for financial years starting on or after 1st June 2023. This created quite an uproar, but with effectively managing compliance responsibilities, developing plans, and proactively managing risks – the implications can be handled well.

The Corporate Tax Rates will be 0% for taxable income up to AED 375,000, 9% for taxable income above AED 375,000, and a different tax rate for larger multi-nationals having a consolidated revenue exceeding EUR 750 million, and that meet the criteria set based on ‘Pillar 2’ of the OECD Base Erosion and Profit Shifting Project.

It will also allow businesses to use losses incurred with effect from the Corporate Tax effective date for any business, to offset the taxable income in subsequent financial periods. It will also allow tax credit against UAE Corporate Tax liability if the Foreign Corporate Tax is paid on UAE taxable income.

If you are wondering about the risks to your business, and need a more detailed understanding – it’s best to get in touch with TRC Pamco, one of the leading accounting and taxation firms, providing Corporate Tax Services in the UAE – and they can help you maximize opportunities by:

• Reviewing your current business structure
• Conducting an in-depth analysis of the possible impact on all the activities undertaken by your business
• Suggesting a strategic alignment to optimize it for tax purposes
• Engaging with management on the optimal structure for your business and devising a prudent and tax-efficient structure considering your requirements.
  

Get in touch with TRC Pamco today!