When it comes to accounting, there are lots of branches that you can get into. And one very important branch is tax accounting. Whether you own a business or are simply an individual living in a country with taxes, you should know about it. So today, we’re gonna break down what tax accounting is all about it, and who can handle it for you. But before we do, make sure you know the basic accounting steps. If you already do, then read on!
Why Do Businesses Need Tax Accounting?
So, if we wanna talk about tax accounting, we should know why companies need it. First off, it ensures that businesses file for tax returns in time and comply with tax laws. Second, it plays a vital role in tax planning. You see, it helps when companies wanna strategize to minimize tax liability! Third, tax accounting is important because financial statements include those related to taxes that include assets and liabilities. Finally, tax accounting keeps a business up-to-date on any tax law changes that may occur, and to stay compliant with them.
Tax Accounting in UAE
While tax accounting can be a hassle in many countries, it’s rather simple in the UAE in comparison. This is because the country was tax-free until recently. And now, even with the introduction of new tax laws, the UAE is still on the more flexible side. Of course, companies should always file their taxes on time, it could be quarterly, yearly, etc…
Types of Taxes in the UAE
First off, the UAE introduced Corporate Tax in 2023, and you can learn all about its details right here. Of course, the corporate tax registration process is very important as we previously discussed. Second, the Value Added Tax (VAT) was introduced in 2018, and the standard rate is currently 5%. You can read about who should register and exemptions here. These new tax laws naturally will require tax accounting!
Wanna Save Yourself the Hassle of Everything Tax-Related?
Let’s be real, nobody enjoys Tax calculation, registration, filing, and all the paperwork. So why not save yourself and your business the trouble? You can simply outsource all that work to a firm that will smoothly handle it all in a timely manner. Luckily, you won’t have to look too far, because Noraal is just the firm for that!
And why stop at tax accounting when you can hire us to grow your business even more? From accounting, auditing, to financial advisory and everything in between, we’re here to take your company to the next level. So contact us today if you’re ready to take the leap and wanna learn more! After all, the journey of a thousand miles begins with one step… and that step is right here at Noraal.