UAE Businesses Urged To Begin Early Compliance Planning Across Finance, Tax, Procurement, And IT

(MENAFN- Khaleej Times)

BCL Globiz, a leading accounting and tax consulting firm in the UAE, has lauded the upcoming nationwide e-invoicing mandate, describing it as a decisive step in the country's ongoing efforts to strengthen and modernise its tax and compliance frameworks. With the announcement of new enforcement measures and a phased implementation roadmap, the firm is now offering a comprehensive suite of services to support businesses in preparing their procurement, finance, tax, and IT functions well ahead of the voluntary pilot phase expected to begin on July 1, 2026.

Under the proposed model, businesses will now be required to issue invoices in structured, machine-readable formats such as XML or UBL, rather than traditional PDFs or scanned documents. These invoices will be exchanged through accredited service providers under a decentralised framework, allowing automated validation and the secure transmission of transaction data. While this approach brings the UAE in line with global practices, it also places greater responsibility on businesses to ensure that data generated across systems is accurate, consistent, and compliant from the outset.

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Sharing its insights at the 5th Procurement, E-Invoicing & Tax Conference in Dubai, BCL Globiz opined that e-invoicing should not be viewed as a standalone compliance exercise. Once invoices are generated and validated in structured form, mismatches between accounting records, VAT filings, corporate tax positions, and transfer pricing outcomes become harder to correct after the fact. This makes early planning essential, particularly for organisations with complex transaction flows, legacy systems, or cross-border operations. Hence, engaging an experienced financial advisor becomes critical at this stage, not only to interpret regulatory requirements but also to assess system readiness, data quality, and process ownership across teams.

As per the phased implementation roadmap, large businesses (with ≥ Dh50 million revenue) will be required to appoint an Accredited Service Provider (ASP) by July 31, 2026, with mandatory e-invoicing expected to go live from January 1, 2027. Small and medium-sized enterprises (< Dh50 million revenue) will follow, with ASP appointments due by March 31, 2027, and mandatory compliance from July 1, 2027. Despite this transition window, BCL Globiz cautions that preparation often takes longer than expected, particularly for organisations with legacy systems or complex transaction flows.

With a comprehensive suite of services spanning accounting, VAT, corporate tax, transfer pricing, and compliance planning, BCL Globiz is well-placed to support businesses through this transition. The firm works closely with clients to assess readiness, identify risk areas, and build practical roadmaps that address both regulatory requirements and operational realities. By taking an integrated approach, businesses can avoid last-minute adjustments and reduce the risk of disruptions once e-invoicing becomes mandatory.

Punith Jindal, Partner at BCL Globiz, said that the mandate must be considered in the context of the UAE's broader tax framework.“We must not look at e-invoicing as just a technology upgrade alone. It's a business change that needs the right advisory, planning, and execution, especially when viewed alongside Corporate Tax and Transfer Pricing requirements.”

The mandate also has clear implications for transfer pricing, particularly for multinational groups operating in the region. As authorities gain access to detailed transaction-level data, the ability to explain pricing logic, intercompany charges, and margin outcomes becomes more important.

“E-invoicing strengthens the link between daily transactions and tax reporting. When data flows in real time, positions taken under VAT and corporate tax must reflect what systems are producing on a consistent basis. Businesses that plan early gain the opportunity to review controls, test data accuracy, and address gaps before enforcement begins,” Mr Jindal added.

As the UAE continues to strengthen its tax and compliance environment, BCL Globiz remains focused on supporting businesses through change. With a presence in Dubai, India, and beyond, the firm continues to build its position as a trusted partner for compliance readiness, governance, and financial clarity in a more data-driven regulatory landscape.

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