The UAE Ministry of Finance has issued Ministerial Decision No. 84 of 2025 on 25 March 2025 replacing Ministerial Decision No. 82 of 2023, outlining the requirements for taxpayers to prepare and maintain audited financial statements for corporate tax purposes.
The updated decision specifies that entities required to prepare audited financial statements include taxable persons not part of a tax group with revenue exceeding AED 50 million during the relevant tax period, as well as qualifying free zone persons.
The decision also introduces new requirements for tax groups, which must prepare and maintain consolidated audited financial statements in accordance with the guidelines set by the authority. Additionally, qualifying free zone persons engaged in the distribution of goods or materials in or from a designated zone are required to follow additional prescribed procedures..
Additionally, for non-resident entities, only revenue generated through permanent establishments or nexuses in the UAE will be considered when calculating the AED 50 million threshold.
The decision applies to tax periods beginning on or after 1 January 2025.
