The corporate tax rule
Ministerial Decision 84 of 2025 replaced Decision 82 of 2023 for tax periods starting on or after 1 January 2025. Audited financial statements are required from any taxable person with revenue above AED 50 million in the period and from every qualifying free zone person regardless of revenue. A tax group prepares audited special purpose statements in the form the Authority specifies, not ordinary consolidated group accounts.
The change that matters most is the second one. A free zone company that wants the 0% rate on qualifying income can no longer point to the AED 50 million line. It needs audited statements every year, whatever its size.
The licensing rule
Separately from tax, most free zones require audited accounts for license renewal, usually within three to six months of the year end. The exact rule, threshold and deadline are set by each zone, so check yours. Mainland limited liability companies are expected to keep audited accounts under the Commercial Companies Law, and banks, investors and government tenders ask for them whether or not the law does.
| Trigger | Who | Source |
|---|---|---|
| Revenue above AED 50 million | Any taxable person | Ministerial Decision 84 of 2025 |
| Qualifying free zone person | Every one, any revenue | Ministerial Decision 84 of 2025 |
| Tax group | Every one, on audited special purpose statements in the form the Authority specifies | Ministerial Decision 84 of 2025 |
| License renewal | Per zone, often every company | Your free zone's rules |
How the audit and the tax return connect
The corporate tax return is due within nine months of the year end, so a 31 December 2025 year end files by 30 September 2026. The return is built on the financial statements. Leave the audit late and the return is late with it.
What the audit needs from you
- Trial balance and general ledger
- Bank statements and reconciliations for every account
- Sales and purchase invoices, and the VAT returns filed
- Major contracts, leases and loan agreements
- The fixed asset register
- Last year's audited statements, if any
Standards
The audit is performed under International Standards on Auditing. The financial statements follow IFRS, or IFRS for SMEs where the company qualifies and the zone accepts it. The report is signed by an auditor on the Ministry of Economy and Tourism register.