TaxSavvySA

Audited statements mandatory with return

Must we attach audited accounts?

The situation

Companies owned by Saudis and non-Saudis, and foreign-owned companies, must file audited financial statements with their tax return. The return is due within 120 days of year end.

The law

  • Income Tax Law and Implementing Regulations, returns and advance payments: Return and final payment within 120 days of year end; advance payments of 25 percent of prior year tax unless below SAR 500,000

What it means for you

Book the SOCPA-licensed auditor early, because a late audit makes the return late and triggers the late filing penalty of 1 percent of revenue up to SAR 20,000. Close the books within 60 days so the auditor has time.

What to do

  1. Appoint auditor.
  2. Close books early.
  3. Attach.

We can do this for youAnnual income tax return for foreign-owned and mixed companies: 20 percent CIT on the foreign share plus Zakat on the Saudi share: SAR 7,500

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