Businesses operating in the Dubai Multi Commodities Centre (DMCC) Free Zone must comply with certain regulatory requirements, such as an annual audit of their financial statements. With the DMCC audit deadline for 2025 fast approaching, companies need to find out what needs to be done, when to submit their audits, and which procedures to undertake in order to be compliant, avoiding any penalties or interruptions in their business.
This article discusses the DMCC audit requirements, such as deadlines and submission methods, documentation required, and how approved auditors like FAR Consulting Middle East. will assist your firm in fulfilling these needs.
DMCC Audit Deadline in UAE for 2025
As per the DMCC Guidelines, “A DMCC Member Company must upload the auditor’s signed and stamped Audited Financial Statements Summary Sheet and the Audited Financial Statements via a designated online application request on the DMCC Member Portal within six months after the end of each financial year.”
For example, for those entities whose financial year ends on 31 December 2024, the deadline for submission is 30 June 2025.
This deadline has been determined by DMCC for the purposes of maintaining financial transparency, good governance, and compliance with UAE laws and international reporting standards. Fines and restrictions on business activities may be imposed in case of failure to submit audited financial statements.
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Who Needs the Submission of Audited Financial Statements?
The annual audit requirement applies to all DMCC-licensed entities regardless of their business size or activities. This includes:
- Companies with commercial, service, and industrial licenses
- Branches of local or foreign companies
- Companies that are dormant or have had no business activity during the financial year.
Every company operating under DMCC needs to file a “nil” audit report through an approved DMCC auditor even when they had no transactions throughout the year.
DMCC Audit Submission Requirements
Companies are required to prepare and submit the following two documents for audit submission:
- Audited Financial Statements: These must include the full set of audited financials prepared in line with International Financial Reporting Standards (IFRS) and signed and stamped by a DMCC-approved audit firm.
- Summary Sheet: This is the standard document summarizing key financial information about the company. The company’s audited financial statement summary sheet must be signed and stamped by a DMCC-approved auditor on the auditor’s letterhead.
Both of these documents need to be uploaded through the DMCC Member Portal and in PDF format. The company must retain the original copies, signed and stamped, as DMCC may ask for them during inspections.
Steps to Submit the Audit Report via DMCC Member Portal
According to the guidelines submitted by the DMCC, the following steps must be followed to submit the request on the DMCC Member Portal:
- Log in to your company account on the DMCC Member Portal.
- Go to Compliance Services.
- Click on ’Submit Company’s Audited Financial Statements and Summary Sheet.’
- Upload the Audited Financial Statements and the Summary Sheet under the section titled ‘Upload the Required Documents for Your Application.’
- Update the auditor’s details by inputting the listed auditor’s name in the available field.
- The fields are auto-populated based on the system scanning the uploaded AFS summary sheet using OCR (Optical Character Recognition) technology.
- Review the extracted figures after the scanning to ensure complete accuracy. If there are any errors, you can manually edit the fields.
- Acknowledge the service request disclaimer and submit the service request.
Note: Submitting audit reports for DMCC is quite a straightforward process; however, one should be careful with compliance with all processes and requirements when submitting. A consultation with a DMCC-approved auditor could save the business from mistakes, fines, and delays.
Consequences for Missing the DMCC Audit Deadline
When a company fails to submit its audit to DMCC by June 30, 2025, there can be serious repercussions. These include the following:
- Financial penalties: DMCC imposes fines based on delays, typically $2,700 (AED 9,900) for delays of more than 25 days and $5,400 (AED 19,800) for delays of more than 90 days.
- Blocking of renewal of your trade license: Your non-compliance can prevent your company from renewing its license.
- Suspension of your portal services: Your application for visas and license amendments will be restricted.
- Probability of further regulatory action: Constant non-compliance may lead to suspension of the license or limitation of business activities.
To avoid these risks, companies should start preparing their financial statements early and appoint a DMCC-approved auditor on time.
Why You Must Appoint a DMCC-Approved Auditor
Auditors who do not appear on DMCC’s Approved Auditors List will not be accepted, which would automatically mean the rejection of your submission and delays in compliance. With a DMCC-approved auditor, the following will be guaranteed:
- Full compliance with DMCC regulations and UAE accounting standards
- Correct application of International Financial Reporting Standards (IFRS)
- Correct audit report results recognized by the DMCC Authority
- Efficient processing of “nil” audits for dormant companies
Only firms that appear on the list of auditors approved by the DMCC can undertake audit submissions.
Frequently Asked Questions (FAQs)
Q1. Is my company required to file an audit if there was no activity in the past year?
Yes, a company has to complete a nil audit and submit it through an approved auditor even if there is no activity or financial transaction recorded within the year.
Q2. Can I hire any auditor to prepare my financial statements?
No. Only DMCC-approved auditors can conduct and submit audits strictly intended for DMCC-registered companies.
Q3. How long does an audit normally take?
An audit could normally take between 5 and 10 working days, depending on the extent of complexity of the accounts and readiness of supporting documents.
Q4. What happens in case I do not meet the deadline?
DMCC may impose fines based on the delay. This can range from $2,700 (AED 9,900) for delays beyond 25 days to $5,400 (AED 19,800) for delays beyond 90 days.
How FAR Consulting Middle East Can Assist You with Your Audit for DMCC
FAR Consulting Middle East is an auditing firm on DMCC’s Approved Auditors List. With vast experience working with DMCC-registered companies, we are able to provide assured and timely audit services to keep your business compliant.
- Full preparation and execution of audits as per DMCC and IFRS requirements.
- Support in the submission of the audit through the DMCC Member Portal.
- Assistance with nil audit reports and dormant company filings.
- Advisory for compliance in license renewal and corporate tax reporting.
- Quick turnaround to meet the confident deadline of 30 June 2025.
We understand DMCC businesses have different requirements, and we offer end-to-end assistance to smoothen and ease the audit process for all stakeholders.
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If your company is registered in the DMCC and your financial year ends on 31 December 2024, your audited financial statements should be submitted by 30 June 2025.
Avoid penalties and protect your license by partnering with a reliable auditing company.
Get in touch with FAR Consulting Middle East. Today to start your audit for timely and accurate submission.
