Audit Requirements for RAKEZ Companies in UAE (2026 Guide)
📌 1. Is an Audit Mandatory for RAKEZ Companies?
Yes. All companies licensed in RAKEZ — whether Free Zone Establishments (FZE), Free Zone Companies (FZCO), or other licensed entities — must prepare and submit audited financial statements annually.
This requirement is part of RAKEZ’s regulatory framework to promote financial transparency, accuracy, and good corporate governance among companies operating in the zone.
📅 2. Audit Submission Timeline
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Companies must submit their audited financial statements **within six (6) months of the financial year-end.
Example: If your company’s year-end is 31 Dec 2025, the audit must be submitted by 30 June 2026.
📊 3. Who Can Conduct the Audit?
RAKEZ only accepts audits performed by auditors who are officially approved by RAKEZ.
👉 Key points:
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The auditor must appear on the RAKEZ Approved Auditors List.
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Audits conducted by non-approved firms will be rejected, risking non-compliance.
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Approved auditors ensure financial statements comply with International Financial Reporting Standards (IFRS) or UAE equivalents.
📌 4. What Must the Audit Cover?
Your audit must include:
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Balance sheet, income statement, cash flow statement, and notes reflecting your financial position.
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Verification of transactions, bank statements, invoices, and statutory records.
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An audit report and auditor’s opinion confirming compliance with relevant standards.
Auditors may also assess compliance with Corporate Tax, VAT, Economic Substance Regulations (ESR), and AML/CFT standards, as applicable.
🚫 5. What Happens If You Don’t Comply?
Failure to submit audited financial statements on time can lead to:
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A fine of AED 2,500 or more.
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Suspension of your trade license or access to RAKEZ services.
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Delays in license renewals or corporate bank account operations.
❓ 6. Are There Any Exemptions?
Strictly by RAKEZ rules, the audit requirement applies to all licensed companies regardless of activity, revenue, or size.
⚠️ Note: In practice, some companies report flexibility in enforcement for very dormant entities, but this isn’t a guaranteed exemption and should not replace formal compliance. Always confirm with RAKEZ compliance directly.
📌 7. Audit & Regulatory Context in UAE
Audits also play a role in wider UAE compliance frameworks including:
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UAE Corporate Tax Law (for demonstrating qualifying income and supporting tax filings).
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Economic Substance Regulations and AML/CFT obligations.
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Meeting accounting standards and record keeping obligations under Emirati law.
🗂️ 8. Practical Audit Preparation Checklist
To streamline your RAKEZ audit:
Records & Documentation:
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Trial balance and general ledger
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Bank statements and confirmations
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Invoices, receipts, contracts
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Fixed asset register
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VAT returns (if applicable)
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Payroll and expense details
Before the audit:
✔ Appoint a RAKEZ-approved auditor
✔ Finalize accounting records
✔ Reconcile bank accounts
✔ Review financial policies and controls
FMA Accounting and Auditing LLC
Email: info@fmaaudit.com
Phone: +971 52 276 2124
Location: Ras Al Khaimah, UAE
RAKEZ Approved Auditors
Website: https://www.fmaaudit.com