Small business owners are entrepreneurs, innovators and self-starters who tend to focus on developing their businesses and attracting clients and consumers, rather than wasting precious time on specifics of back offices, including taxes. They need robust and proactive tax professionals who provide corporate tax services with business and individual tax returns but also require more than just an organizational tool. They need compassionate counsellors and tax consultants who understand the small business needs.
The distinction between owning your own tax company and working for someone else is simple. it's your baby and while other small business owners may not necessarily succeed on the same entrepreneurial spirit, you'll shine in different ways. It's certainly a chance to launch your professional tax practice. After all, if others have done it and are successful, why can't you?
Tax Preparers Engage in Four Primary Activities
Here are some of the essential tasks of a tax preparator.
This will collect the personal details needed to file the return, and decide which forms are necessary.
2.Gathering Information on Revenues and Taxes
This information includes receipts and records of expenditures, supporting documentation such as health care coverage verification and deduction information.
3.Complete the Forms
Most tax preparers use computer software to quickly and reliably prepare the documents. At the same time, when processing the forms, the preparer uses his or her expertise and training to identify tax-saving deductions and credits.
4.Filing the Forms
Client reports are filed electronically by most tax practitioners, both for federal and state tax reports. It helps the taxpayer by searching for errors, faster return processing and, where necessary, quicker refunds. The tax preparer will assemble the forms, ensure they are signed and provide the mailing envelope to be used for clients who wish to file paper returns.
Things to Know Before Setting Up a Tax Business in Dubai
Many tax prep businesses are growing on the market, which means you're going to have to make your mark one or the other so that people can subscribe to your services. Firstly, in your area of specialization, you're going to have to make your niche known, and if you don't have a niche exactly; then you probably should get one. When you start the company, it's easier to target a small group of people and you can always broaden the base later on.
2.Look like Business
This one is a definite requirement. Ensure sure the workspace is decorated to match the office's needs. To please your clientele, the office should be coordinated and decked as professionally as possible.
You will need to know about your business yourself before you can serve others. The only way to do this is through continuing schooling. That is why you should look for options for learning that will help you remain at the top of your game. You can also opt for online accounting courses to better appreciate the latest trends in the game of tax prep.
4.Always accept offers
The tax season does not last throughout the year, but that doesn't mean you should only stay operational for a few months of the year. Also, provide consulting services, such as giving financial advice and retirement preparation. Such side provisions will help you stay alive at the times when you have no taxes to plan.
How to Start a Tax Consultancy Company in Dubai?
Those who wish to set up a tax consulting company in Dubai are not obliged to agree with particular legislation; however, they can increase their success rate if they obtain other credentials or join local associations approved by the government. You can set up your tax consultancy company in just a few days with an easy registration procedure in Dubai. Here are a few things you must be able to do when registering your Dubai tax business.
You need a solid knowledge base and accurate information about everything in Dubai that relates to taxes. You should start with simple courses, and you can learn how to prepare taxes for the public at large. While running your business, you can build on your tax knowledge so that you can develop more complicated returns and make more money in future.
You need to look at what the rivals are doing too.
You must apply to the Department of Economic Development (DED) for a business licence. You will need to file with IRS to receive your tax identification number. In Dubai, it is compulsory to be accredited in taxation from any university to start lawfully.
3.Build a Plan
Ensure progress by undertaking research and formulating a marketing strategy. Who are you going to sell? At what stage are you going to require employees? How many customers
do you need? Set yourself up for success by offering yourself a growth route map.
4.Register Your Business
When you are out of the way with your licensing and preparation, it's time to "hang your shingle." If you want to set up your business in the mainland, you can register your business with DED. Here, you need a local partner who will own 51 per cent of the company's shares while you will own the remaining 49 per cent. But if you want to set up your business in the free zone, you have to follow the procedure for setting up a business as specified by that particular free zone.
All that's left is getting clients for your tax business! Start with family and friends and then get some networking in. Word of Mouth is one of the best ways to grow your business, so make sure that excellent service is your top priority.
Commitbiz is a leading consultancy firm active in dispensing tax consultancy services and other services involved in starting up a company. Dedicated to excellence, our Dubai consultants have in-depth expertise and experience in helping clients to meet their tax obligations adequately. Furthermore, we are proud to keep our clients familiar with the endless differences in UAE tax administration. Because of our comprehensive tax experience, we concentrate on providing tax services in Dubai or anywhere in UAE to companies of various sizes and nature. Also, our solutions are customized as per the specific business needs of our clients.
With more than 15 years of experience at our disposal, we serve a broad range of services including limited companies, partnership firms, MNC's, start-ups and landlords. Moreover, the scope of our business solutions ranges from start-up to early development to the updated stages of the business lifecycle. Our full-fledged team of tax professionals takes care of accounting, auditing, liquidation, business consultancy and so on. Contact us today and become the leader of the taxation industry.
1. When was the new CIT announced?
31st January 2022.
2. How much will the corporate tax are charged in Dubai from next year?
9% corporate tax.
3. When will the CIT (Corporate Income Tax) be implemented?
4. Which business will have to pay CIT?
Commercial, professional and industrial company.
5. What is the proposed rate for a new CIT?
0% rate on taxable income up to AED 375,000 (c. US$ 102,000);
9% rate on taxable income above AED 375,000
A different rate (yet to be announced) for major corporations with more than EUR 750 million consolidated worldwide revenues.