Things to Be Considered When Company Audit is Performed in Dubai

Company auditing in Dubai is carried out by many prominent international companies that have established a reputation in the market. These companies hire the services of highly qualified and experienced personnel who are trained and equipped with the knowledge and experience in carrying out audit activities. Auditors conduct thorough and in-depth assessments of the business and operations to reveal fraudulent, wasteful and unbusinessworthy activities and practices, and identify areas for future improvement. A Dubai company audit will help to ensure that the company is running efficiently and effectively to achieve the objectives of the management team.

 

The auditing company in Dubai may include the review of the corporate books, internal control systems, payment issues and fraud prevention systems. Other factors which need to be thoroughly considered during an audit include the procedures followed by the company throughout the year, the performance of the company's directors and key management teams, regulatory compliance issues, and the effectiveness of the company's debt and borrowing management systems. A chartered accountant or an independent certified public accountant (CPA) appointed by the court of inquiry conducting the company audit in Dubai carries out a comparison of all the books of accounts maintained by the company during the year, as well as its financial and management information system.

 

A chartered accountant in Dubai is generally a member of the International Association of Chartered Accountants (IACA) and is authorized to audit the business affairs of companies in the enterprise sector in Dubai. An IACA certified audit manager is adept in all the fields of accountancy, law, marketing, commerce and economics. This enables the audit manager to carry out a thorough and objective review of the company. If required, the company must provide additional information, which the IACA certified auditor may use in the report submitted to the court.

 

All the large financial firms, international banks and insurance companies have their own set of internal auditing and accounting systems, which need to be examined for compliance purposes. However, all such firms will be required by law to register with the Dubai Financial Services Commission (DFSC) before they can conduct business in the emirate. As part of the registration procedure, all the firms will be assessed on their accounting and auditing procedures, management systems and compliance policies by the DFCS.

 

One of the important tasks of the certified or chartered accountant in Dubai is to prepare a draft report for submission to the court of inquiry. The Dubai government requires all the companies registered in the emirates to submit a written report to the DCIC within a stipulated time period. Submission of the report is also a prerequisite for approval of the operations of the company by the DCIC. The detailed submission of the audit findings may help the Dubai authorities in improving the efficiency of the monetary system of the emirates. For instance, if the financial reports of a certain company contains material inaccuracies, which are known to be rectified, the company might be granted a license to operate by the government.

 

The regulations governing the auditing of the Dubai Company on the above mentioned points are very strict. Any non-compliance could lead to heavy penalties, fines or even suspension of operations. The implementation of the policies of the taxation department of the Dubai government is also a very effective way of controlling the auditing activities of the firms. These policies require regular auditing by the designated representative of the Dubai taxation department.