Economic Substance Regulation (ESR)

Ensure your business meets UAE’s Economic Substance Regulations by filing accurate notifications and reports, maintaining proper activities & documentation, and staying compliant with prescribed timelines.

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ESR Compliance for Relevant UAE Entities

UAE’s commitment as member of OECD Inclusive framework and in response to assessment of UAE’s tax framework by European Union code of conduct group on taxation, the UAE’s Government has provided guidance on application of the ESR in September 2019 under which the businesses engaged in “Banking, Insurance, Investment Fund Management, Leasing, Headquarters, Holding company, Shipping, Intellectual Property (IP) and Distribution & Service Centre” activities are required to maintain and demonstrate an adequate “economic presence” in the UAE relative to their activities called as Economic Substance Test. The regulation is applicable since January 01, 2019.
 
Entities satisfying the Economic Substance Test are required to submit the following to their respective regulatory authority:
Exempt entities and entities which have not earned income in a financial year from relevant activities are not required to submit the Economic Substance Report. However, they must submit the Annual notification form to their respective authority. 
VA experts have submitted Annual notification forms and Economic Substance Reports on behalf of our clients to authorities in UAE in the year 2019 and are proud of the appreciation received from our clients on the professional services rendered on their behalf to their respective authorities. We ensure our clients our credibility and professionalism in submitting their correct reports to the authorities while adhering to the professional standards and ESR requirements.

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Trusted Expertise in UAE Regulatory Compliance

We’re always on the same page with Government Agencies, working together to get the job done!

Accounting Software We Use

We’re always on the same page with Government Agencies, working together to get the job done!

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FAQs

Economic Substance Regulation Services in the UAE
How will hiring your accounting services save me time and money?

Managing accounts on your own often takes too much time and leads to costly mistakes. We take care of your bookkeeping, VAT, Corporate Tax, and payroll, so you stay compliant, avoid penalties, and focus on growing your business.

Do I really need monthly accounting, or can I just do it yearly?

Yearly accounting may seem cheaper, but it often creates problems—missed VAT filings, wrong reports, and unexpected penalties. Monthly accounting keeps your records updated, ensures compliance, and gives you a clear picture of your business throughout the year.

What makes your accounting packages different from others?

We don’t just provide basic bookkeeping. Our packages include VAT filing, Corporate Tax compliance, payroll (WPS), and financial reports tailored for UAE businesses. You only pay for what you really need, making it affordable and practical.

Can you guarantee compliance with VAT and Corporate Tax?

Yes. We make sure your VAT returns and Corporate Tax filings are prepared correctly and submitted on time, in line with FTA rules. This means no late fees, no errors, and complete peace of mind.

Which accounting software do you use, and can I access my reports anytime?

We work with trusted cloud-based software like QuickBooks, Zoho Books, and Xero. This means your accounts are accurate, and you can securely check your reports anytime, from anywhere.

Do you also handle payroll and WPS requirements?

Yes. We manage everything from preparing salaries to WPS transfers, plus calculations for gratuity, leave salary, and other benefits. Your staff will always be paid on time and in full compliance with UAE laws.

How safe is my financial data with you?

Very safe. We use secure accounting systems, encrypted platforms, and strict confidentiality measures. Your information stays private and fully protected.

Can I customize the accounting services according to my business requirements?

Yes, we offer customizable accounting solutions to suit the unique needs of your business. Whether you require basic bookkeeping services or a comprehensive financial management package, we can tailor our services to align with your specific requirements.

Are your accounting services compliant with VAT regulations in Dubai?

Yes, our accounting outsource services are fully compliant with VAT regulations in Dubai. Our team stays updated with the latest VAT laws and ensures accurate and timely reporting to help your business remain compliant.

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Our Locations

Office - Dubai

Office 609, 6th Floor, Al Moosa Tower 1, Trade Centre 1, Sheikh Zayed Road, Dubai, UAE

Office - Sharjah

Sharjah Media City (Shams), Al Messaned, Al Bataeh,   Sharjah, United Arab Emirates.