Latest news with #Taxation
Mid East Info
14-04-2025
- Business
- Mid East Info
Ministry of Finance Announces Amendments to Ministerial Decision No. 82 of 2023 on Audited Financial Statements for Corporate Tax Purposes
Abu Dhabi– As part of its continued efforts to enhance transparency and ensure robust financial reporting standards for businesses operating in the United Arab Emirates (UAE) under the Corporate Tax regime, the Ministry of Finance has issued an updated Ministerial Decision clarifying the requirements for the preparation and maintenance of audited financial statements in accordance with Federal Decree-Law No. 47 of 2022 on the Taxation of Corporations and Businesses ('Corporate Tax Law'). The updated decision sets out clear requirements for tax groups to prepare audited financial statements. All tax groups will be required to prepare audited special purpose aggregated financial statements. However, to mitigate the compliance burden on tax groups and in line with the UAE's commitment as a business-friendly jurisdiction, the underlying members of the tax group will not be required to prepare audited stand-alone financial statements. The FTA will issue further guidance on the framework for preparation of special purpose aggregated financial statements for Corporate Tax purposes. The new decision also introduces clarifying procedures for Qualifying Free Zone Persons engaged in the distribution of goods or materials in or from a Designated Zone, for which the FTA will issue further guidance. This guidance will ensure distribution businesses are able to enjoy the benefits of the Corporate Tax Free Zone regime with certainty.
Zawya
14-04-2025
- Business
- Zawya
UAE: Ministry of Finance amends Ministerial Decision on Audited Financial Statements for Corporate Tax Purposes
The Ministry of Finance has announced amendments to Ministerial Decision No. 82 of 2023 on Audited Financial Statements for Corporate Tax Purposes. The Ministry has issued an updated Ministerial Decision clarifying the requirements for the preparation and maintenance of audited financial statements in accordance with Federal Decree-Law No. 47 of 2022 on the Taxation of Corporations and Businesses (Corporate Tax Law). The updated decision sets out clear requirements for tax groups to prepare audited financial statements. All tax groups will be required to prepare audited special purpose aggregated financial statements. However, to mitigate the compliance burden on tax groups and in line with the UAE's commitment as a business-friendly jurisdiction, the underlying members of the tax group will not be required to prepare audited stand-alone financial statements. The Federal Tax Authority (FTA) will issue further guidance on the framework for the preparation of special-purpose aggregated financial statements for Corporate Tax purposes. The new decision also clarifies procedures for Qualifying Free Zone Persons engaged in distributing goods or materials in or from a Designated Zone, for which the FTA will issue further guidance. This guidance will ensure distribution businesses are able to enjoy the benefits of the Corporate Tax Free Zone regime with certainty.
Zawya
14-04-2025
- Business
- Zawya
Ministry of Finance announces amendments to Ministerial Decision No. 82 of 2023
RELATED TOPICS TAXATION Abu Dhabi – As part of its continued efforts to enhance transparency and ensure robust financial reporting standards for businesses operating in the United Arab Emirates (UAE) under the Corporate Tax regime, the Ministry of Finance has issued an updated Ministerial Decision clarifying the requirements for the preparation and maintenance of audited financial statements in accordance with Federal Decree-Law No. 47 of 2022 on the Taxation of Corporations and Businesses ("Corporate Tax Law"). The updated decision sets out clear requirements for tax groups to prepare audited financial statements. All tax groups will be required to prepare audited special purpose aggregated financial statements. However, to mitigate the compliance burden on tax groups and in line with the UAE's commitment as a business-friendly jurisdiction, the underlying members of the tax group will not be required to prepare audited stand-alone financial statements. The FTA will issue further guidance on the framework for preparation of special purpose aggregated financial statements for Corporate Tax purposes. The new decision also introduces clarifying procedures for Qualifying Free Zone Persons engaged in the distribution of goods or materials in or from a Designated Zone, for which the FTA will issue further guidance. This guidance will ensure distribution businesses are able to enjoy the benefits of the Corporate Tax Free Zone regime with certainty.
Express Tribune
11-03-2025
- Business
- Express Tribune
Excise takes over tax collection in Cantt areas
The Excise, Taxation, and Narcotics Control Department has taken full control over the collection of professional tax and luxury tax in the cantonment areas, issuing notices to 10,000 small and large shopkeepers in various markets and commercial centres of Rawalpindi Cantt and Chaklala Cantt to pay professional tax. Additionally, 312 owners of houses measuring two kanals or more in the two cantonment areas have been issued notices to pay luxury tax. The shopkeepers have been instructed to pay professional tax ranging from Rs2,000 to Rs10,000, while the owners of two-kanal houses have been asked to pay Rs200,000 and those with larger properties will be required to pay Rs300,000 in luxury tax. The notices for both taxes must be settled by Eidul Fitr, with instructions to pay within 10 to 15 days. Previously, the collection of these taxes was handled by the Cantonment Board administration; however, the Supreme Court (SC) directed the cessation of tax collection by the Cantonment Boards and transferred the entire system to the Excise and Taxation Department. Following this directive, the Excise Department has launched operations for the collection of professional and luxury taxes in all eight cantonment boards of the Rawalpindi Division, including Rawalpindi, Chaklala, Wah, Taxila, Kamra, Murree, Jehlum, and Mangla. The Excise Department expects to generate millions of rupees in additional revenue through this process. According to an official, the collection of professional and luxury taxes has been expedited, and a separate counter has been established for this purpose. After Eid, a grand operation will be launched to enforce the collection of both taxes, which will include arrests and the sealing of property units, he adds.
Express Tribune
01-03-2025
- Automotive
- Express Tribune
Dealers reject Sindh's new vehicle registration law
Listen to article Dealers of motor vehicles and their association have urged the Sindh government and the Sindh Excise, Taxation, and Narcotics Control Department to review the newly amended law requiring vehicle registration within a month. They have also demanded a three-month delay in its implementation to allow them time to clear their existing stock. Reacting to the enforcement of the newly amended Section 23 of The Provincial Motor Vehicles Ordinance 1965, the dealers have rejected the amendment, calling it unacceptable. They argued that laws should be made in accordance with practicality, and such rigid regulations could harm both dealers and customers. Under the new law, they said, the government has reduced the registration period from six months to just one month for all motor vehicles, including motorbikes, rickshaws, and cars. Expressing concerns over its sudden implementation, dealers said the law would be difficult to comply with. According to the amended law, "23-A. Penalty in default of registration. (1) If a motor vehicle, imported into the country by any owner or showroom motor dealer, or a motor vehicle manufactured in the country, or invoiced by any authorised showroom dealer or manufacturer, such motor vehicle shall be liable to be registered under section 23, within 30 days from its date of Goods Declaration/Bill of Entry; in case of import, or from the date of invoice in case of local manufactured vehicles. (2) Any vehicle imported or locally manufactured, to be used in any other province, shall be transported through a carrier and shall not (be driven) in the province of Sindh in any case without registration. (3) If an owner or showroom/motor dealer, fails to register such motor vehicle within the specified period mentioned under sub-section (1). he/she shall, besides the registration fee prescribed under the rules, be liable to a penalty mentioned in the table hereunder; provided that if the motor vehicle, whether imported or manufactured in the country, is sold by the owner/showroom/motor dealer who shall be responsible for registration of such motor vehicle, before handing over to the buyers." The penalties for delayed registration include Rs5,000 for motorbikes, Rs10,000 for rickshaws, and Rs10,000 to Rs200,000 for four-wheelers, depending on the delay period, which can range from 30 to 180 days. Motorcycle dealer and auto sector expert Muhammad Sabir Shaikh has demanded that the law be reviewed by June 30 and that all stakeholders be consulted before finalising its implementation. He warned that if enforced without revision, the law would severely impact businesses and the already struggling auto industry. "Businesses are already suffering, and such laws will discourage economic growth. The vehicle registration timeline starts from the day a vehicle leaves the factory, and expecting dealers to sell all their stock within 30 days is unrealistic. Even within six months, not all showroom models get sold," he said. He further suggested that instead of imposing such strict deadlines, the Sindh government should adopt Punjab's system, where dealers can complete the registration process online without bureaucratic hurdles or kickbacks. Karachi Motorcycle Dealers Association Chairman Muhammad Ahsan Gujjar echoed similar concerns. "As law-abiding citizens and dealers, we respect all laws, but we urge the government to defer this amendment for at least three months so dealers can clear their existing vehicle stocks. We only became aware of this law a few days ago, and now we are expected to ensure registration within a month," he said. He explained that a motorcycle typically takes about a week to reach a showroom from the factory, leaving dealers with only about 20 days to sell it or face penalties. Gujjar further highlighted that a motorbike dealer's commission is around Rs2,000 per Chinese-made bike and 2% per Japanese-made bike. However, due to tough market competition, dealers often sell at even lower margins. An official from the Sindh Excise, Taxation, and Narcotics Control Department defended the law, stating that the Sindh Assembly passed the amendment to curb unregistered vehicles and vehicle theft. "The law will assist law enforcement agencies by pressuring vehicle owners and dealers to ensure timely registration," the official said.
