Tax
Taxation worldwide is changing rapidly and profoundly triggered by the substantial growth of the Digital Economy. OECD and G20 organizations are pushing for a new landscape that would impact business around the globe thought several initiatives about the Taxation of the digital economy, achieving a major consensus through Action 1 (indirect taxes) and Pillar One and Pillar Two on the allocation of tax revenues in the digital economy industry.
The UAE and the greater GCC region have recently invested its efforts and taken a keen interest into developing its legislation to align with OECD’s standards. New Economic Substance Principles and regulations are already in place across the region. Corporate Income Tax will be implemented as of June 2023 in the UAE.
Pardo & Partners can help you navigate through the challenges of the recent and future tax changes in the region. Companies should be ready to adjust to potential future changes such as the implementation of the e-Invoicing, real time reporting obligations, digital services tax , among others, and be able to face all these challenges by getting a tailored and automated tax function that eliminates all potential task risk while generating accurate tax reportings.
Pardo & Partners has a team of experienced professionals who have been actively involved across the GCC region in dealing with the Tax implementation and liaising with Governments and Tax Authorities. We can provide you with a large portfolio of services:
- Assistance with the CIT implementation
- Conduct a VAT Health Check to ensure that blue prints and policies adopted during VAT implementation have been implemented correctly, are accurate and up to date
- Review the application of the VAT law and regulations for out of scope and zero rated supplies and look for opportunities to achieve tax efficiencies
- Review supply chain, operating model structures, and trade efficiency
- Analysis of promotional schemes for correct application of the tax law
- Review transaction mapping blue prints against the latest VAT and CIT positions
- Review previously submitted VAT returns and AR/AP invoices for inefficiencies and opportunities
- Contract reviews and drafting of VAT related clauses
- Rulings applications and liaison with the FTA
- Assistance with Voluntary Disclosure of errors to ensure good standing with the FTA
- Economic Substance Regulations
- Ad hoc advisory
- Review product classifications and valuations procedures for customs duty purposes
- Use appropriate classifications, and concessions available for excise tax (if any)
- Review enterprise resource planning (ERP) and tax accounting setup, to enable correct and efficient tax reporting
- Review of tax coding implemented in the ERP systems
- Assistance in tax audits and controversy in relation to indirect taxation (VAT, CIT & Customs)
- Assistance with the CIT implementation
- Conduct a VAT Health Check to ensure that blue prints and policies adopted during VAT implementation have been implemented correctly, are accurate and up to date
- Review the application of the VAT law and regulations for out of scope and zero rated supplies and look for opportunities to achieve tax efficiencies
- Review supply chain, operating model structures, and trade efficiency
- Analysis of promotional schemes for correct application of the tax law
- Review transaction mapping blue prints against the latest VAT and CIT positions
- Review previously submitted VAT returns and AR/AP invoices for inefficiencies and opportunities
- Contract reviews and drafting of tax related clauses
- Rulings applications and liaison with the FTA
- Assistance with Voluntary Disclosure of errors to ensure good standing with the FTA
- Economic Substance Regulations
- Ad hoc advisory
- Review product classifications and valuations procedures for customs duty purposes
- Use appropriate classifications, and concessions available for excise tax (if any)
- Review enterprise resource planning (ERP) and tax accounting setup, to enable correct and efficient tax reporting
- Review of tax coding implemented in the ERP systems
- Assistance in tax audits and controversy in relation to indirect taxation (VAT, CIT & Customs)
- Taxation on Digital Economy
- Tax Allocation
- Tax Due Diligence services
- Transfer Pricing Services
- Preparation of tax returns (VAT and CIT)
- BEPS impact analysis and related services
Digital Economy
Digital Economy is changing and growing rapidly. Fuelled by increased consumer demand for cutting edge products and low-cost services, Digital Economy industry is faced with the constant battle to offer ‘more for less’. Innovation is key, but companies need to overcome significant regulatory and commercial hurdles. In Pardo & Partners we understand the industries in which our clients transact including telecommunications, technology, sourcing, sports and media and are able to develop innovative tax and legal solutions for them.
Sector convergence coupled with the rapid spread of new technologies has opened up a wealth of opportunities in your industry and our clients must move swiftly to capitalise on them. To stay ahead of the competition, our clients need to spot and pre-empt legal difficulties before they arise.
Our clients range from multinationals and major domestic companies to high growth businesses, start-ups and their investors. From M&A to investment and financing, from tax (BEPS principles) to regulatory issues, from intellectual property to licencing issues, we help guide our clients towards the most commercially successful outcome.
Corporate Services
Our corporate services practice works closely with other specialist practice areas, including corporate structuring, to provide a full-service offering for the establishment and ongoing administration of entities (companies and foundations) both onshore and in free zones, in an environment where compliance becomes more important every day.
Our expertise in multiple jurisdictions and alliances with other Law firms allows us to ensure our clients are compliant with local regulatory requirement on the correct administration of their corporate records to ensure compliance with local regulatory requirements.
Business Set up
After carrying out an in-depth analysis of any potential regulatory and tax implications of our client’s business, Pardo & Partners assists its clients with the company registration and formation in the UAE. We analyze each factor according to your client’s business requirements and remain with them throughout the entire process.
We help our clients choose the best option according to their business model, business activity and jurisdiction in the UAE.
Family Business
Family businesses are not easy to run, and face many difficulties. We assist our clients in building legal structures and put in place binding agreements which defend family assets from both external and internal risks; and we formulate and record agreements which pave the way for seamless succession and sound stewardship for families in business.
Pardo & Partners can:
- Structure businesses and investments to reduce and manage legal risks and exposures
- Create bespoke structures to insulate families against business disruption at times of transition
- Create frameworks for resolving issues and differences, without jeopardizing the fabric of family life
- Prepare wills for non-Muslims made under the jurisdiction of the Dubai International Financial Centre.
Corporate Secretarial
Company secretarial services in UAE can help companies in free zones, mainland and offshore resolve their business challenges by handling their administrative duties, regardless of their size. This allows companies to run successfully and consistently.
Our firm can provide our clients with a wide range of business secretarial services across several jurisdictions, assisting you in maintaining good corporate governance. We offer business setup services in theUAE, as well as assistance with yearly company license renewals and other services for large and small firms.
Activities and everyday tasks linked to government regulations and inspections with the local authorities might become a hindrance once your organization begins operating in any of the UAE’s regions. Company Secretarial Services cover this gap, enabling a company to run efficiently while also coordinating crucial tasks like yearly license renewal and many others.
Spanish Desk
We offer a extent portfolio of services that we assist the Spanish speaking community based in the UAE and other GCC countries: tax planning and structuring to avoid potential risks or liabilities ; assisting with family business; and real estate disputes and litigation; powers of attorney drafting and legalization; or their winding of affairs in the UAE to prepare their return to its home country or elsewhere in other jurisdictions.
We also assist our clients with its tax burden in Spain as non-resident taxpayers, and dealing with any tax dispute with the Spanish Tax Agency, economic-Administrative Courts, or any Justice Court. Our professionals have more than 18 years experience in dealing with Spanish Tax auditors and Courts at all levels.
We assist our Middle East based clients in the following:
- Potential tax or legal litigation in Spain
- Ad Hoc business set-up in Spain
- Revising and drafting contracts compliant with the Spanish legislation
- Assiting on obtaining visas and Non Resident IDs
We have alliances with other Spanish and international law firms should our clients require any assisting while in Spain or elsewhere in other jurisdictions.
Corporate Structuring
Structuring your business operations can get complicated. What every company needs is help with the optimal design that addresses commercial objectives as well as simplification of the entire process. We have a dedicated team that have been involved in large projects worldwide.
The strength of our team comes not only from our in-depth knowledge of relevant laws and regulations in every jurisdiction in which we have a presence, but also from our awareness of the local regulatory practices based on the extensive practical experience and our working relationships with regulatory authorities throughout the GCC region.
We advise on a wide range of corporate structuring and restructuring related projects and specialise in design and implementation of bespoke, legally compliant corporate structures – however complex and challenging our client’s goals may be.
