Page 105 - Confluence - Souvenir 2023 - Flip Book

Tax Talk on Latest Updates on UAE Corporate Tax law

and Transfer Pricing
th
14 May 2023

ICAI Dubai Chapter conducted an between related parties and connected Business relief with caution.
engrossing session on UAE Corporate persons. The speaker emphasized on Adding to the topic on TP, CA Sheetal
Tax titled, Tax Talk, with a full house the need for thought of tax impact on Sapra, Senior Manager with UHY
audience of professional Chartered various aspects of business such as James, took a more pragmatic
Accountants here on Sunday, 14th costing, supply chain management, approach on the topic of UAE taxes
May 2023 at the Emirates International IT infrastructure, Finance function
School Theater, Dubai. The event was and compliances. He further added and its implementation. She said
attended by distinguished members that such framework was essential to that UAE’s decision to adopt a more
of the organization and guests which ensure reasonable, fair and equitable competitive rate of tax compared
packed a full house of 500+ attendees profits and taxes and to protect the to the rest of the GCC was in line
on a Sunday afternoon. With the right of a country to collect its fair with the intention to remain a global
many recently published ministerial share of taxes preventing MNEs from business and investment hub, without
and FTA decisions, many corporates shifting profits to low tax jurisdictions
and business houses look up to the by manipulative practices. introducing the payroll tax till date.
experts in the profession to interpret Speaker CA Chirag Gupta, Partner
and guide in their tax matters. An While a lot has been said about MNEs, with RNG Auditors was quoted saying,
interesting revelation was the release our speaker CA Samir Popat, Partner “The UAE government has published
of the book on UAE corporate Tax & Director- Taxation at Nadeem and a number of cabinet and ministerial
which was the result of a joint effort of Umendra Chartered Accountants decisions related to the UAE
the Dubai Chapter along with another said, “the AED 3,000,000.00 revenue
prestigious UAE chapter and ICAI India. threshold limit established by Corporate Tax law. The latest being the
Another critical aspect of corporate tax Ministerial Decision no. 73 of 2023 has “Explanatory Guide” by the Ministry
being transfer pricing, speaker CA Atul garnered appreciation for its beneficial of Finance which further simplifies the
Kumar Gupta, Board member IFAC impact on small and medium-sized Corporate Tax law. These decisions
and XBRL International, Chairman GST enterprises (SMEs). Despite opting aim to alleviate the tax burden on
committee at FII and Ex-President of for Small Business relief, SMEs must businesses, specially SME’s, foster
ICAI shared some practical insights into adhere to mandatory requirements
the concepts of Arm’s Length Pricing such as registering for corporate tax their growth, and contribute to the
and filing tax returns. It is crucial for overall economic resilience of the
SMEs to approach the option of Small nation. www.icaidubai.org 105