UAE IFZA requiring full audit from year 2023 and on

CALL US ON +971 50 4467827 - TO SETUP YOUR NON-CRS COMPANY STRUCTURE IN DUBAI.
Bank Accounts, Company Formations, Tax Planning, Residency Solutions, and more

bedouin

New member
Hi guys,

We were told IFZA would be requiring full audits for companies starting this 2023. Is this true? @Fred or anyone?

Thank you.
 

Jbb1

New member
Maybe it depends on the activity? I have a company in RAKEZ and I don't need to do audits, nevertheless, activities such as industrial need audit.
 

Jorozey

Mentor Group Gold
Data is the New Gold?
Exactly



 

Fred

Dubai Expat
Mentor Group Gold
Elite Member
Commercial Service
Entrepreneur
Hi guys,

We were told IFZA would be requiring full audits for companies starting this 2023. Is this true? @Fred or anyone?

Thank you.
So far the announcement - I guess to pitch soon - if not already happened some service around it - good upsell from there side.

We launch a service around audit only when everything is clear and confirmed.

We personal hate this announcements with a lot of noise and nothing is clear.

Wait a bit or you can run around and make yourself crazy - the last thing never made sense so far in the UAE.
 

bedouin

New member
So far the announcement - I guess to pitch soon - if not already happened some service around it - good upsell from there side.

We launch a service around audit only when everything is clear and confirmed.

We personal hate this announcements with a lot of noise and nothing is clear.

Wait a bit or you can run around and make yourself crazy - the last thing never made sense so far in the UAE.
So its official?
 

turtle

New member
If IFZA going to require this at the last minute(since we’re already in 2023) then it is pretty bad management of IFZA.
 

bedouin

New member
If IFZA going to require this at the last minute(since we’re already in 2023) then it is pretty bad management of IFZA.
It would be for 2023, not 2022, which is still bad indeed. I'd still love for someone to actually confirm though. I did call them on the phone and they said no. But in Dubai, no one knows anything. Not knowing is not a bad thing, it's normal, problem is when you categorically reply saying something as if you knew what you're saying, but deep down youre clueless. Thats' where things get dangerous and misguiding.

@Fred seems to know his stuff ;)
 

turtle

New member
It would be for 2023, not 2022, which is still bad indeed. I'd still love for someone to actually confirm though. I did call them on the phone and they said no. But in Dubai, no one knows anything. Not knowing is not a bad thing, it's normal, problem is when you categorically reply saying something as if you knew what you're saying, but deep down youre clueless. Thats' where things get dangerous and misguiding.

@Fred seems to know his stuff ;)
2023 is still late IMO because it's already 2023. It is better to announce that kind of change one year in advance...

IFZA is losing its attraction. You can form a company in Sharjah SHAMS freezone with half of a price. Their customer service is better and they have an online portal. You can do anything without dealing with customer service but IFZA you have to send an e-mail for your requests and they're pretty slow. They don't have an online portal and it's 2023. If you want the best without thinking, it is DMCC and more expensive than IFZA but certainly worth it.
 

Fred

Dubai Expat
Mentor Group Gold
Elite Member
Commercial Service
Entrepreneur
Alright guy's - here is the heads-up.
(get yourself a Professional Partner otherwise you are left alone with Anouncements and Newsletters)

The 9% Corporate Tax are coming in 2024! For Companies starting with the Financial Year on 01.06.2023 onwards.

Everything else - like you figuered out yourself already - wouldn't make any sense.

We are sure - in fact we even know it - that the Announcement was done in the German way of doing things to be on the safe side.

How to determine if a FZCO has 0% CT and NO Mainland UAE sourced income?

That's the question and some paperwork needs to be done - once this is clear - DLS Dubai is ramping up and at least our clients get a Service around this topic - if even required.

2023 is still late IMO because it's already 2023. It is better to announce that kind of change one year in advance...

IFZA is losing its attraction. You can form a company in Sharjah SHAMS freezone with half of a price. Their customer service is better and they have an online portal. You can do anything without dealing with customer service but IFZA you have to send an e-mail for your requests and they're pretty slow. They don't have an online portal and it's 2023. If you want the best without thinking, it is DMCC and more expensive than IFZA but certainly worth it.
Wrong - IFZA is build 100% on B2B approach.

And what was announced here - is relevant for ALL UAE FREEZONES - they were just First Mover - like with a lot of other stuff in the past - by making an Announcement.

DMCC - without thinking - good joke - you have to write a 10 page Business Plan to even get the License Application through.

Hands down once the UAE Bottom Line of Banks stops working for SHAMS Companies - you are screwed - as no ENBD, ADCB, FAB or ADIB is onboarding a SHAMS Company in 2023.
 

turtle

New member
Wrong - IFZA is build 100% on B2B approach.
I have multiple FZ companies in UAE including IFZA and IFZA's customer support is pretty bad. They even don't have an online portal. You can find an online portal in Sharjah based freezones or even Ajman. You have to send an email like in 2010 to IFZA and wait for a reply and send another email and wait for another reply... Their customer service also makes many mistakes. You have to complain sometimes to get your work done. This is how IFZA works. Is it cheap? Yes but you get what you pay for.

I understand that you're an IFZA partner and you're promoting them but they're facts. I'm not saying IFZA is a bad choice if you literally need to save $2-3k USD per year. It is cheap but don't expect good service.

DMCC - without thinking - good joke - you have to write a 10 page Business Plan to even get the License Application through.
DMCC is more expensive than other freezones in UAE but at the same time, it is the most popular. There should be a reason, right? There are more than 100K people who live, work in DMCC.

Their pricing also is not significantly higher than other freezones. They have 3 year package and it is only 8700 USD per year with a flexi desk and visa or 1 year package is for 10600 USD.

Hands down once the UAE Bottom Line of Banks stops working for SHAMS Companies - you are screwed - as no ENBD, ADCB, FAB or ADIB is onboarding a SHAMS Company in 2023.
Wrong. As long as you have Ejari and non-high risk business, you can easily open a Mashreq Bank account with MashreqNeoBiz or Wio or SIB. Mashreq is SHAMS's official banking partner. That's how I opened Mashreq bank account to my SHAMS company.
 

Jbb1

New member
I have multiple FZ companies in UAE including IFZA and IFZA's customer support is pretty bad. They even don't have an online portal. You can find an online portal in Sharjah based freezones or even Ajman. You have to send an email like in 2010 to IFZA and wait for a reply and send another email and wait for another reply... Their customer service also makes many mistakes. You have to complain sometimes to get your work done. This is how IFZA works. Is it cheap? Yes but you get what you pay for.

I understand that you're an IFZA partner and you're promoting them but they're facts. I'm not saying IFZA is a bad choice if you literally need to save $2-3k USD per year. It is cheap but don't expect good service.


DMCC is more expensive than other freezones in UAE but at the same time, it is the most popular. There should be a reason, right? There are more than 100K people who live, work in DMCC.

Their pricing also is not significantly higher than other freezones. They have 3 year package and it is only 8700 USD per year with a flexi desk and visa or 1 year package is for 10600 USD.


Wrong. As long as you have Ejari and non-high risk business, you can easily open a Mashreq Bank account with MashreqNeoBiz or Wio or SIB. Mashreq is SHAMS's official banking partner. That's how I opened Mashreq bank account to my SHAMS company.
You don’t even need an ejari for mashreqneobiz.

A virtual office tenancy contract is enough.
 

Fred

Dubai Expat
Mentor Group Gold
Elite Member
Commercial Service
Entrepreneur
I have multiple FZ companies in UAE including IFZA and IFZA's customer support is pretty bad. They even don't have an online portal. You can find an online portal in Sharjah based freezones or even Ajman. You have to send an email like in 2010 to IFZA and wait for a reply and send another email and wait for another reply... Their customer service also makes many mistakes. You have to complain sometimes to get your work done. This is how IFZA works. Is it cheap? Yes but you get what you pay for.

I understand that you're an IFZA partner and you're promoting them but they're facts. I'm not saying IFZA is a bad choice if you literally need to save $2-3k USD per year. It is cheap but don't expect good service.
Like mentioned earlier - IFZA is build B2B - so it's a difference if you as one of 30.000 Clients approach them or if you come through a recognized Professional Partner like DLS.

That's the point.

Wrong. As long as you have Ejari and non-high risk business, you can easily open a Mashreq Bank account with MashreqNeoBiz or Wio or SIB. Mashreq is SHAMS's official banking partner. That's how I opened Mashreq bank account to my SHAMS company.
Again - like mentioned earlier - bottomline Banks - WIO has signed an AED Correspondence Bank Agreement with Citibank and is processing outgoing Transfers at 1% through Wise - an EMI.

So if you are running a 100k$/month turnover Business you gonna pay 500-1000$ - but good you saved initially 2000-3000$ with your SHAMS Company.

You don’t even need an ejari for mashreqneobiz.

A virtual office tenancy contract is enough.
That's not true - keep your postion - if this is your position - no issue for us but we feel sorry for the guys following something like this and then ending in the nowhere.
 

Jbb1

New member
Like mentioned earlier - IFZA is build B2B - so it's a difference if you as one of 30.000 Clients approach them or if you come through a recognized Professional Partner like DLS.

That's the point.


Again - like mentioned earlier - bottomline Banks - WIO has signed an AED Correspondence Bank Agreement with Citibank and is processing outgoing Transfers at 1% through Wise - an EMI.

So if you are running a 100k$/month turnover Business you gonna pay 500-1000$ - but good you saved initially 2000-3000$ with your SHAMS Company.


That's not true - keep your postion - if this is your position - no issue for us but we feel sorry for the guys following something like this and then ending in the nowhere.
I opened my bank account like that for a RAKEZ company 1 week ago.

Approved in 2 weeks without branch visit needed.
 

Bill D

Silver Member
Hi guys,

We were told IFZA would be requiring full audits for companies starting this 2023. Is this true? @Fred or anyone?

Thank you.
Consultants told me its already mandatory, not in the sense that you have to publish it every year, but in the sense that for liquidating your fz you would need audits anyways on all past years ?


For the corporate tax, to be exempted, you will need audit for activity june 2023 right ?
And only revenue which match exactly the license activity would be exempted ?
 

turtle

New member
Again - like mentioned earlier - bottomline Banks - WIO has signed an AED Correspondence Bank Agreement with Citibank and is processing outgoing Transfers at 1% through Wise - an EMI.

So if you are running a 100k$/month turnover Business you gonna pay 500-1000$ - but good you saved initially 2000-3000$ with your SHAMS Company.
WIO is the easiest way. You can open with Mashreqneo Biz or SIB. Rakbank is also another alternative but as far as I know, their service quality is very bad.

As long as you have proper documentation, you can open a bank account in a short time without any problems. If you don't have the correct documents then it doesn't matter if you have DMCC or IFZA or SHAMS based license.

Like mentioned earlier - IFZA is build B2B - so it's a difference if you as one of 30.000 Clients approach them or if you come through a recognized Professional Partner like DLS.

That's the point.
If IFZA is build B2B then they should focus on B2B. They run marketing campaigns to attract clients but the service quality is bad. I remember your previous responses about business in Dubai. I'm pretty sure you offer good all in one packages(which is very important) to your customers but IFZA should invest their business to increase service quality.
 

Latest Threads

Top