DMCC Audit Deadlines for 2020 & 21
All you want to know about the DMCC Audit for the year 2020 and 2021
Primarily, according to the implementing regulations, a DMCC Member i.e., all companies in DMCC has to upload the auditor’s signed and stamped Audited Financial Statements Summary Sheet and the Audited Financial Statements Report via a designated online service request on the member portal within 90 days after the end of each financial year. As per the Approved Auditors Rules (AAR) issued on 12th January 2017, it is the responsibility of each DMCC member company to ensure that their appointed auditor is registered as an Approved Auditor with DMCCA and is listed in the Approved Auditors List (AAL).
For example, if an entity’s financial year ends by December 31, 2020, then that entity must submit its audited financial statements by March 30, 2021. The financial year is decided by the company itself. It will be mentioned in the MoA of the company. An extension of another 3 months may be granted upon the special request of an appointed auditor. However, complete discretion for acceptance or refusal of such request is held with the DMCC.
If you are a new company in DMCC you are supposed to submit an ” Auditor Appointment Letter” to the DMCC in the year of incorporation.
Alya Auditors is an approved DMCC auditor and we are available to meet the mandatory requirements of audit to secure your ongoing trading license.
An audit performed by a non-approved DMCC auditor will not be accepted by the DMCC authorities.
A full set of audited financial statements and an audit summary issued by DMCC approved auditor must be submitted online at the entity’s online DMCC portal before the deadline. Also, officials of the DMCC compliance department may require the entity to submit the original audited financial statements at any time.
Is Audit Mandatory for Companies in DMCC free zone?
The annual external audit is mandatory for all DMCC registered companies. To perform an audit for JLT and DMCC free zone companies, DMCC authorities have published a list of approved auditors. To become registered audit firms in DMCC Free Zone, auditors in Dubai should have a valid professional license from Economic Department.
Do DMCC Companies need to submit their Audited Financial Statements to the Authority?
The DMCC mandates that the audited financial statements and summary sheets need to be submitted annually. Submission of the annual audit report and renewed trade license has to be uploaded within 90 days after fiscal year-end through DMCC Portal.
Is there any penalty if DMCC companies are not audited?
Failure to submit audited financial statements to the DMCC will result in a fine of AED 5,000 and suspension of the DMCC online portal for the entity. Suspension of the DMCC portal means the entity will not be able to communicate with DMCC.
Documents that need to be maintained for Auditing in Dubai multi-commodity center
Bill Copies and invoices
Deposit statement from the DMCC portal
Credit/debit confirmation slips for all financial transactions
Memorandum of Association (MoA)Articles of Association (AOA)
Recent trade license
VAT and excise tax Registration Details.
How can we help?
Alya Auditors is a leading DMCC registered audit firm with a strong presence in the local business community and is well known for its quality of service delivery. Alya Auditors serves businesses in the UAE with their experience in auditing, accounting, and VAT in the UAE. We have mainly developed our business through small and medium-sized companies and we work closely with key authorities across all jurisdictions in UAE including DMCC.
Our team of professional auditors works closely with clients to take care of financial statements and to make sure all the audit-related requirements are met proficiently.
You can consult with one of our team members for a quick consultation related to audit or any other business-related matters.
Apart from the above services we are also helping the companies and businesses in the UAE to file their ESR notification.
Learn more about Alya Auditors and its offerings.
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