To verify the accuracy of a taxpayer’s VAT liability, a tax audit reviews various documents maintained by the taxpayer. This process assesses whether taxable entities are meeting their obligations in accordance with tax laws.
The Federal Tax Authority (FTA) conducts annual tax audits to ensure that all liabilities are correctly calculated, collected, and submitted to the government on time. Consequently, taxpayers will receive an audit notice ahead of time.
A Stock Audit involves physically checking inventory levels and matching them with financial records to ensure accuracy and ownership. This process verifies the value and existence of inventory, confirming:
– Physical inventory matches accounting records
– Ownership rights are confirmed
– Inventory value is accurately reflected
There are several reasons why an organization needs stock audit including the following:
Examining key financial metrics, including:
To optimize operations and minimize discrepancies.
Asset Count: This process involves tracking every fixed asset within the organization. It serves as a detective control to ensure that no assets are misplaced, stolen, or unaccounted for. An asset register is created, maintained, and updated to facilitate ongoing monitoring of the organization’s permanent assets.
Asset counts are conducted during liquidation, as part of an external audit, during transitions from manual to automated systems, when relocating offices, or during interdepartmental transfers. The general processes and documentation necessary for an effective inventory audit also apply to asset counts.
Conducting systematic physical counts to verify actual inventory quantities across warehouses, stores, and business locations.
Comparing physical stock with accounting and inventory records to identify shortages, surpluses, and discrepancies.
Physically verifying business assets and equipment to ensure records accurately reflect assets held by the company.
Categorising inventory based on value, type, usage, and importance to support effective stock management and control.
Identifying damaged, missing, obsolete, excess, or incorrectly recorded inventory and assets requiring management attention.
Providing clear inventory and asset count reports with identified discrepancies, observations, and practical recommendations for improvement.
To date we are providing Accounting Services for more than 250 clients
across the UAE in Trading, Construction, Real estate, Healthcare, Logistics and other services.
