TaxSavvyAE

Audit needed for the 0% claim

Do I need an audit if my free zone company has only AED 1 million revenue?

The situation

Yes. A Qualifying Free Zone Person must prepare audited financial statements regardless of revenue.

The law

  • Ministerial Decision 84 of 2025: Audited statements for Qualifying Free Zone Persons

What it means for you

Without an audit the status fails. Example: a AED 1 million revenue zone company claiming 0 percent must pay an audit, often AED 5,000 to 15,000. If the tax saving is small, SBR may give no tax with no audit requirement under Corporate Tax law.

What to do

  1. Decide whether you will claim QFZP status.
  2. Appoint an auditor early.
  3. Compare audit cost with the tax saving.
  4. File the return after the audit.

We can do this for youQualifying Free Zone Person review and return: substance, qualifying income, de minimis test and audited accounts: AED 6,000

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