What are the common tax risks in free zone companies?
Qualifying Free Zone Person (QFZP) status maintenance, qualifying versus non-qualifying income classification, adequate economic substance requirements, and audited financial statement mandates.
Free Zone Companies: tax, VAT and accounting in the UAE
Free zone entities, branches, holding companies, and corporate groups with combined mainland and free zone operations.
What are the accounting issues?
Segmented accounting for separate income streams, cost-center tracking, and mandatory annual financial statement preparation by approved auditors.
What are the VAT issues?
Designated Zone (DZ) rules for movement of goods, and mainland supplies originating from free zone entities.
What are the Corporate Tax issues?
QFZP eligibility testing, de minimis threshold calculations, transfer-pricing documentation for mainland transactions, and qualifying activity verification.
What are the e-invoicing implications?
Mixed customer base billing across free zones, mainland, and international jurisdictions.
What does Regent do?
Regent rigorously tests QFZP eligibility, separates qualifying income streams, and builds the complete annual compliance and audit readiness plan.