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UAE Statutory Audit: Which Companies Must Be Audited, When and What's Required
Which UAE companies need audited financial statements: mainland, free zone and offshore rules, plus the corporate tax audit requirements since 2025.
Whether a UAE company needs an audit now depends on three things: the law that governs the company, the authority that licenses it, and its corporate tax position. Corporate tax has pulled many companies into audit that never needed one before.
Mainland Companies
The Commercial Companies Law (Federal Decree-Law No. 32 of 2021) requires the companies it governs to appoint an auditor and keep audited accounts. Licensing authorities differ in whether they ask to see them at renewal, but banks, the FTA and buyers increasingly do.
Free Zone Companies
Most free zones, including DMCC, JAFZA and DAFZA, require audited financial statements to be submitted each year, often as a condition of licence renewal. Deadlines and approved-auditor lists vary by zone, so check your authority's rules.
Offshore Companies
Offshore registries set lighter requirements, and some do not require an annual audit. Corporate tax can change that: if an offshore company's revenue passes the threshold below, it needs audited statements for tax purposes regardless of the registry's rules.
The Corporate Tax Audit Requirement
Under Ministerial Decision No. 84 of 2025, which replaced Ministerial Decision No. 82 of 2023 for financial years starting on or after 1 January 2025, two groups must prepare and maintain audited financial statements for corporate tax:
- Taxable persons with revenue above AED 50 million in the tax period
- Qualifying Free Zone Persons, whatever their revenue
Planning the Audit
For a calendar-year company, the corporate tax return is due on 30 September, and the audited statements should be signed before it. Book your auditor early in the year and close the books by the end of the first quarter.
Frequently Asked Questions
Is an audit mandatory for every UAE company?
Not every company, but most. The Commercial Companies Law requires mainland companies to appoint an auditor, most free zones require audited accounts, and corporate tax requires them for revenue above AED 50 million and for every QFZP.
Does a free zone company need an audit for corporate tax?
Yes, if it is a Qualifying Free Zone Person claiming the 0% rate. Audited financial statements are a condition of that status.
Which decision sets the corporate tax audit requirement?
Ministerial Decision No. 84 of 2025, for financial years starting on or after 1 January 2025. Ministerial Decision No. 82 of 2023 still applies to earlier years.
Sources
- KPMG: Updated ministerial decision on audited financial statements
- Ministry of Finance: Ministerial Decision No. 82 of 2023
This article is general information, not advice for your situation. Rules change; check the current position or speak to an advisor before acting.
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