TaxSavvyKW

Audited accounts for a foreign branch tax return

Does our foreign company's Kuwait branch need audited accounts?

The situation

Audited financial statements are part of the support for the Kuwait tax declaration.

The law

  • Income Tax Law and Executive Bylaws: declaration and payment: Declaration due by the 15th day of the 4th month after year end; 60 day extension possible; tax paid with the return or in four instalments on the 15th of the 4th, 6th, 9th and 12th months
  • Companies Law: annual statutory audit: Companies have their accounts audited each year by an independent auditor licensed and registered with MOCI

What it means for you

The branch should keep separate books and have them audited by a Kuwait licensed auditor. The audited accounts form the basis of the declaration. Weak branch accounts risk deemed profit assessments.

What to do

  1. Keep separate branch books.
  2. Engage a licensed auditor.
  3. Audit before the return.
  4. File the declaration.

We can do this for youAnnual statutory audit coordination and filing with MOCI: KWD 600

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