The Tax Insider Blog

 Accounting for Depreciation on Investment Properties IAS 40 Measurement Models Investment properties are initially measured at cost, which includes purchase price and directly attributable costs (legal fees, transfer taxes). Under IAS 40, entities choose one consistent subsequent measurement model for all investment properties: Fair value model Cost model Cost Model Under the cost model, an investment property is carried at cost less accumulated depreciation and any accumulated impairment losses. Depreciation is recognized in profit or loss on a systematic basis over the property’s useful life. Key steps include: Estimate the asset’s useful life and residual value Allocate the depreciable amount (cost less residual value) over that useful life Review at each reporting date for indicators of impairment and adjust if necessary (IAS 36) Fair Value Model When using the fair value model, entities do not depreciate the property. Instead, they: Remeasure the property t...

Introduction to Corporate Tax in the UAE The United Arab Emirates (UAE), long known for its tax-free allure, has made significant shifts with the introduction of corporate tax beginning June 2023. This move aims to align the UAE with global tax standards while diversifying its national income. For businesses operating in or from the UAE, understanding corporate tax laws is no longer optional. Whether you're a tax consultant in UAE, a certified tax advisor in Dubai, or a small business owner, it's crucial to stay informed and compliant. Let’s explore what corporate tax means for companies in the UAE, how UAE tax agents can help, and how to avoid common tax pitfalls. Corporate Tax UAE Rates and Thresholds Under the - 2 years old from this article date - law, businesses in the UAE are taxed on profits exceeding AED 375,000 at a rate of 9%. Income below this threshold remains untaxed, encouraging startup growth and supporting small businesses. Unless entities are part o...

Egypt Is The First Country In Middle East and Africa To Implement E-Invoice This practical manual on E-Invoice can be used as a quick reference guide (QRG) for those who are interested to have the know-how depend on their role, i.e. project managers, business stakeholders, finance managers or unit CFO's. This article is taking the circumstances of e-invoice implemented in Egypt, and it shall cover all aspects of the national project from registration to implementation. What is E-Invoice, how it works, scope and why governments are implementing it? E-Invoice simply is, amending the current paper-based exchange of invoices (sales/purchases) to be digital through a website (usually it is a governmental portal). It works via configuring & mapping enterprise's ERP with E-Invoicing portal through API's (API is short for Application Programming Interface), in simple words, a bridge (see below screenshot). E-Invoice  scope  varies from country to another depend on its regulatio...