The Ministry of Finance (MoF) has issued an updated ministerial decision (No. 84 of 2025) (the Decision) mandating the cases where taxpayers are required to prepare and maintain audited financial statements for compliance with the UAE Corporate Tax Law. The Decision replaces the earlier Ministerial Decision No. 82 of 2023, which will continue to apply to financial years commencing before 1 January 2025.
- The new Decision requires all tax groups to prepare audited special purpose financial statements (FS), thereby removing the requirement to prepare audited FS only if the consolidated revenue of the tax group exceeded AED 50 million. Further guidance will be issued on the preparation of the these FS, as taxpayers had faced practical challenges in implementing the previous requirements.
- The Decision also suggests that additional procedures may be specified for Qualifying Free Zone Persons (QFZP) engaged in distribution activities.
- The previous requirement for taxpayers (who are not part of a tax group) to maintain audited FS, if they are earning revenue exceeding AED 50 million or claiming QFZP benefits, continues to apply.
- The Decision clarifies that, for the purposes of calculating the revenue threshold (AED 50 million) for a non-resident person, only revenue derived through its permanent establishments and/or nexus in the UAE shall be taken into account.
Stay tuned for further updates as more guidance is released. It will be interesting to see how the special purpose FS for tax groups will be implemented, considering they apply only to financial years commencing on or after 1 January 2025.
Feel free to reach out to your 乐鱼（Leyu）体育官网 contact to help navigate these changes and ensure full compliance.