How many years must Corporate Tax records be kept in the UAE?

Corporate Tax records and supporting documents should generally be retained for at least seven years following the end of the relevant Tax Period.

Does the seven-year period start from the Corporate Tax filing date?

The general Corporate Tax record retention period is linked to the end of the relevant Tax Period rather than simply the date on which the Corporate Tax Return was filed.

Can UAE Corporate Tax documents be stored electronically?

Yes. Electronic records can generally be maintained provided they remain complete, accurate, readable, reproducible and accessible throughout the applicable retention period.

Do businesses have to keep original paper invoices?

Records may in appropriate circumstances be retained electronically, but scanned or digital copies should comply with applicable record keeping requirements and remain complete and legible.

What happens if an invoice scan is incomplete?

An incomplete scan may fail to preserve the information contained in the original document. Businesses should retain complete records where the full document is necessary to support the transaction.

Who is responsible if an external accountant stores the records?

Businesses should not assume that outsourcing bookkeeping or document storage eliminates their Corporate Tax responsibilities. They should retain practical access to their tax and accounting records.

Does every UAE company need audited financial statements?

No. Mandatory audited financial statement requirements apply to specified categories of Taxable Persons, including certain Revenue thresholds and Qualifying Free Zone Persons.

What is the penalty for failing to keep Corporate Tax records?

Failure to maintain required records can result in administrative penalties, including AED 10,000 for a violation and potentially AED 20,000 for certain repeat violations under the applicable rules.