Financial Statements and Related Audit Requirements for a Tax Group
This Public Clarification (CTP007) clarifies how the Aggregated Financial Statements should be prepared and the associated audit requirements for such Aggregated Financial Statements, particularly on the following:
- The aggregated Financial Statements for the purposes of determining the Taxable Income of the Tax Group for Corporate Tax purposes shall be prepared by aggregating the standalone Financial Statements of the members of the Tax Group and eliminating the transactions between them (“Aggregated Financial Statements”); and
- The Aggregated Financial Statements of the Tax Group are prepared specifically for Corporate Tax purposes and may deviate from the consolidated Financial Statements prepared under the accounting standards applied by the Parent Company (i.e., IFRS or IFRS for SMEs.
View the Document: Corporate Tax Public Clarification | CTP007
Important Notice
The above extract has been provided for reference only and is based on information available in the public domain at the time of publication, which is subject to change. This does not constitute any form of advice or recommendation and therefore cannot be relied on to cover specific situations. We highly recommend that you consult with a qualified tax advisor in the UAE for personalized guidance based on your specific business circumstances. We accept no duty of care or liability for any loss occasioned to any person acting or refraining from action as a result of any material in this publication. Please refer to the following resources for the official and up-to-date information on the UAE Corporate Tax legal framework:- UAE Ministry of Finance: https://mof.gov.ae/tax-legislation/; and
- UAE Federal Tax Authority: https://tax.gov.ae/en/Legislation.aspx