🇦🇪United Arab Emirates Tax Guide

End of Financial Year Checklist - United Arab Emirates

The end of your financial year is a critical time for every business. Whether your year ends on 30 June (Australia, New Zealand), 5 April (UK tax year), 31 March (India, some NZ businesses) or 31 December (US, Canada, many others), the same preparation applies. A thorough end-of-year process ensures accurate tax returns, clean financial statements and a solid foundation for the year ahead.

Step-by-Step Process

1

Reconcile all bank accounts and credit cards

2

Send final invoices and follow up on outstanding receivables

3

Record all payables and accrued expenses

4

Review and write off any bad debts

5

Complete a stocktake if you hold inventory

6

Review and process depreciation on all fixed assets

7

Reconcile payroll, super/pension and tax withholding records

8

Review prepaid expenses and adjust as needed

9

Back up all financial records and data

10

Prepare financial statements - P&L, balance sheet, cash flow

11

Review tax position and plan any last-minute deductions

12

Engage your accountant for tax return preparation

United Arab Emirates Compliance with FTA

Businesses in United Arab Emirates operating under the VAT + Corporate Tax system must meet these compliance requirements set by FTA:

VAT categorisation (5% standard rate)
FTA VAT return preparation
Corporate Tax tracking (9% from 2023)
Free zone vs mainland compliance
Multi-currency reconciliation (AED, USD, etc.)
Reverse charge mechanism support

Common Mistakes to Avoid

Starting end-of-year preparation too late

Not reconciling all accounts before closing the year

Forgetting to process depreciation entries

Not writing off bad debts before year-end

Missing opportunities for pre-payments that could bring forward deductions

Not backing up financial records before year-end adjustments

How SortBooks Automates This for United Arab Emirates Businesses

SortBooks connects to your Xero account and handles VAT + Corporate Tax compliance automatically. Every transaction is categorised with the correct tax treatment, bank feeds are reconciled in real-time and your FTA-ready reports are always up to date. No more last-minute scrambles or manual data entry.

Automated Categorisation

Every transaction gets the correct VAT + Corporate Tax code automatically - 97%+ accuracy from day one.

FTA-Ready Reports

Generate compliant reports for FTA at any time - no reconciliation needed.

Deadline Reminders

Never miss a filing deadline. SortBooks tracks your obligations and reminds you in advance.

Frequently Asked Questions

When does the financial year end in my country?

Australia and New Zealand: 30 June (some NZ businesses use 31 March). UK tax year: 5 April (many businesses use 31 March or 31 December). US and Canada: typically 31 December for calendar-year businesses. India: 31 March. Your business may use a different year-end if approved.

How far in advance should I start EOFY preparation?

Ideally, start 4-6 weeks before year-end. This gives you time to chase outstanding invoices, process depreciation, review your tax position and make any last-minute adjustments. With SortBooks, much of this preparation happens automatically throughout the year.

How does SortBooks help with EOFY?

SortBooks keeps your books clean year-round, so EOFY is not a scramble. Bank accounts are reconciled in real-time, transactions are categorised correctly and your financial statements are always current. Your accountant receives clean, audit-ready data.

Automate your VAT + Corporate Tax compliance with SortBooks

Join thousands of United Arab Emirates businesses using AI to handle their bookkeeping and tax compliance.

More United Arab Emirates Tax Guides