Dhruva Consultants

I am excited to share "UAE: Year in Review 2024", our #first publication in the new year. This publication is more than just a summary of the year gone by - it provides actionable insights in the form of detailed articles, on what businesses need to focus on and prepare for in 2025. Authored by our Partners (Rakesh Jain, Kapil Bhatnagar, Vlad Skibunov), Associate Partners (Ujjwal Kumar Pawra, Geet Shah, Hany Elnaggar, Sandeep Kumar) and Directors (Gaurav Shivhare, Harpal Chudasama, Shazia Raviduth, Bilal Mansoor), the articles reflect their extensive professional experience in advising some of the most complex tax issues. Key highlights include: 1. #Corporate #Tax: M&A, free zone structuring, tax grouping, tax accounting and cross border transactions including PE issues 2. #Transfer #Pricing: Trends, value chain analysis and inter-company financial transactions. 3. #VAT: Impact on emerging sectors including #cryptocurrency and #investment funds and intra group employment arrangements 4. #Tax #Technology: how automation and advanced tools can streamline compliance and enhance decision-making. We also talk about the challenges arising from an interplay of all taxes in various transactions, the road ahead towards introduction of E-invoicing and briefly touching the UAE's Authorized Economic Operator program (under Customs). We hope you find this publication as insightful and engaging to read as it was for us to create. Riddhi Doshi Ravi Arora Prakhar Garg Himanshu Pal

Why Internal Tax Policies Are Crucial for Companies in the #GCC especially after introducing #Pillar2? As the global tax landscape evolves, internal tax policies are becoming indispensable for companies worldwide. As #GCC are aligning now with Pillar 2 of the #OECD’s global minimum tax framework, businesses must proactively adapt to stay compliant and competitive. The OECD’s Pillar 2 initiative, designed to ensure large multinational enterprises (#MNEs) pay a global minimum tax of 15%, is a game changer. For companies in historically low-tax jurisdictions like the GCC, this introduces significant challenges: But the importance of an internal tax policy extends beyond compliance. A robust framework offers a wealth of benefits that safeguard operations, enhance efficiency, and support strategic growth. The era of low or no taxation in the GCC is rapidly evolving. With the implementation of Pillar 2 and increasing global collaboration, businesses must adapt. Internal tax policies are no longer just a compliance tool—they are a strategic asset that: • Ensures alignment with OECD standards. • Reduces risks and enhances transparency. • Builds investor confidence and operational efficiency. Why internal tax policies very needed now? 1. Enhancing Compliance and Reducing Risks Tax laws in the GCC are evolving at a rapid pace, driven by global trends like Pillar 2, #transferpricing, and #CbCR. A strong internal tax policy ensures companies: • Stay up-to-date with local and global regulations. • Reduce exposure to non-compliance penalties and reputational risks. • Maintain clear documentation to address potential audits or inquiries. 2. Supporting Strategic Decision-Making A comprehensive tax policy allows businesses to: • Optimize Tax Structures: Evaluate cross-border operations, financing arrangements, and legal entities to minimize tax leakage. • Leverage Tax Incentives: Assess the viability of GCC incentives, such as free zone benefits or tax holidays, under the Substance-Based Income Exclusion outlined in Pillar 2. • Plan for Future Tax Changes: Proactively adjust strategies to align with anticipated reforms in the GCC, such as corporate tax expansions or further alignment with the OECD framework. 3. Strengthening Investor Confidence In a competitive market like the GCC, businesses that align with international tax standards through well-structured internal policies send a powerful message to investors. Benefits include: • Increased Credibility • Attracting Foreign Investment 4. Driving Operational Efficiency A standardized internal tax policy brings order to a company’s tax functions by: • Streamlining processes for tax filings, compliance, and audits. • Reducing duplication of efforts across departments or subsidiaries. • Saving time and resources spent on reactive issue resolution. Are your internal tax policies ready for this new global tax era? Dhruva Consultants

🌏 Transfer pricing compliance in the UAE – A roadmap to success 🌏 For many multinational enterprises (MNEs) in the UAE, 2024 represented the inaugural year of addressing the intricacies of TP compliance. This article gives a sneak peak into the following: 🤔 Understanding the UAE TP regulations 🌦️ Challenges expected in the first year of compliance 🌤️ Opportunities brought about by the challenges faced 💡 Best practices for first year compliance Give it a read if this is applicable to you (or your Group). Please also feel free to reach out should you have any trouble navigating your way through the evolving TP landscape, my team and I at Dhruva Consultants will be happy to assist. #transferpricing #uae #UAEtransferpricing #TP

Cheers to 2025 – a year where we all aim for a full input-output reconciliation of life! For those of us in tax, every year feels like a perpetual filing season – full of challenges, deadlines, and opportunities to make things right. But just like VAT, life’s about perspective: - Zero-rate your worries. - Standard-rate your hard work. - And make sure every adjustment leads to personal and professional growth. Let’s turn 2025 into a year where every effort is worth claiming. Wishing you a prosperous, fulfilling, and perfectly balanced New Year! If you have questions regarding the VAT positions I have taken above, please do not hesitate to reach out to my team at Dhruva Consultants 😆 #HappyNewYear #TaxLife #2025

Our #Christmas Eve celebration was pure organized chaos—a day of fun, food and some spectacular fashion flops! Those ugly sweaters? We’re genuinely considering turning them into an annual exhibit. The treasure hunt had us running in circles – turns out, consultants aren’t great at following maps!   Our Christmas menu was generously seasoned with laughter (and way too many snacks), served alongside gratitude cards.   Here's to a season of joy, chaos and too many Christmas puns! Wishing you and your loved ones a Merry Christmas filled with laughter, love and memories worth framing! #Christmas2024 #DhruvaConsultants #MingleAllTheWay #OhWhatFunItIsToParty #TreeCheers Nimish Goel | Vlad Skibunov | Rakesh Jain | Kapil Bhatnagar | Sandeep Kumar | Hany Elnaggar, CA, M.Sc هاني النجار | Geet Shah | Ujjwal Kumar Pawra | Bilal Mansoor | Harpal Chudasama | Shazia Raviduth TA(SA) | Mónika Mindszenti | Sarita Lewis

Wishing you a Merry Christmas & a Happy New Year May this festive season bring you joy, peace, and cherished moments with loved ones. Here's to a bright and prosperous year ahead! 🌟🎄✨ #SeasonsGreetings #HappyHolidays #NewYear2024

Registrations open for FintEdu's workshop on Understanding VAT for Holding Companies and Funds: Key Insights on Latest FTA Amendments by Gaurav Shivhare from Dhruva Advisors LLP Topics to be covered include: A. Holding Company : - Functions of a Holding Company (revenue & expense streams) - Key VAT issues of a Holding Company (Expense recharges, manpower supply, support services , protecting interest in subsidiaries) - Input VAT recoverability B. Funds : - VAT implication on funds activities and fund managers - VAT registration implication on funds - Recent VAT amendments in relation to fund management Registration link: https://lnkd.in/dBsznfz7 Request a callback: https://lnkd.in/dGWMe7u2 #fintedu #uaevat #vatupdates #fta #vatfunds #taxinsights Anu Goel CA. Rajiv Hira

Dhruva Consultants EInvoicing isn’t just about compliance—it’s also about user experience. Too often, eInvoicing solutions are evaluated purely on technical benchmarks, leaving usability as an afterthought. But the most effective solutions are those designed with the user experience (UX) at their core. In this edition of our E-Invoicing Express Series, we explore why usability is not just a feature, but a defining quality of exceptional eInvoicing systems along with the key factors to be considered while evaluating solutions. Discover how prioritizing UX can elevate your eInvoicing solution from a compliance requirement to a business advantage. #eInvoicing #UXmatters #DhruvaConsultants #TaxTechnologyTuesdays #DigitalTransformation Nimish Goel | Vlad Skibunov | Rakesh Jain | Kapil Bhatnagar | Ujjwal Kumar Pawra | Geet Shah | Sandeep Kumar | Hany Elnaggar, CA, M.Sc هاني النجار | Gaurav Shivhare | Harpal Chudasama | Bilal Mansoor

We are delighted to share the Agenda and Speakers for our next in-person event, which takes place on 29th January 2025 at the DIFC Academy, Dubai. Our keynote speaker will address tax strategic imperatives of the day with a particular emphasis on recent Pillar II developments.  “A Year Under Review” includes a Gulf Tax Update, a new Tax eQuiz, and an insightful session on VAT Lessons Learnt.  “2025 Tax Focus” explores areas of maximum impact for the year ahead by addressing UAE Corporate Tax Insights, Pillar II Readiness, and recent announcements regarding Transfer Pricing Disclosures. A case study highlighting the practical issues of UAE Corporate Tax Filing will close the day. Gulf Tax Day is an annual event that brings together the most senior tax professionals on an invitation-only basis. Invitations have already been distributed to IFA UAE members. Other invitations will be released shortly. Please contact our event manager at info@gulftaxday.com for more information. We look forward to a very productive Gulf Tax Day next month! The Organisation Committee. _______   #GulfTaxDay #ifa #ifauae DIFC Academy, Deloitte, Dhruva Consultants, Al Tamimi & Company, Thomson Reuters MENA Alex Law, Charles Collett, Chris Lord, David van der Berg, Helal Alrefai, Howard R. Hull, Iannis Lima, Aastha Jain, Jan Roderick van Abbe, Julie Cunningham, Julie Lere-Pland, Kaouther Louahchi, Lucy Satiyan, Luis Miguel Sánchez de Alcázar Alonso, Maryke Luijendijk-Steenkamp, Mohamed Fayçal Charfeddine, Nilesh Ashar, Nimish Goel, Omar Qureshi, Rachel Black, Shiraz Khan, Siegert Slagman, Sunita Juma, Ton van Doremalen, Vikram Chand, Vlad Skibunov #InternationalTax #GCCTax #BahrainTax #KSATax #KuwaitTax #OmanTax #QatarTax #UAETax