Scramble to file tax returns sends UAE audit fees soaring

DEADLINE PRESSURE LEAVES SMALLER FIRMS STRUGGLING WITH RISING COSTS

- BY MANOJ NAIR

AE businesses scrambling to file their tax returns at the last minute are facing steep fee hikes from auditors taking on these projects.

“There is no blanket rate charged by auditors, but we are seeing rate variations from Dh3,000 to as high as Dh20,000 on a company to company basis,” said an industry source. “Due to last-minute filing requirements, costs have actually gone up for businesses.

“Since this is the first time filing of corporate tax returns, companies are depending on tax consultants and auditors to do the job.”

Taking no chance

For many smaller firms, these unexpected expenses are difficult to absorb. Companies with financial years running from January to December faced a September-end deadline for submissions.