26 August 2026 · Evidence
What to Send Your Outsourced Accountant
The Federal Tax Authority expects VAT and Corporate Tax records to support the figures reported, so a handover should include source invoices, bank records, ledgers, asset schedules, prior returns and reconciliations relevant to the business. The FTA says VAT records are generally kept for five years and Corporate Tax records for at least seven years. Keep an accessible copy after the engagement ends.
Exiloz Management & Tax Consultant · Dubai-based FTA-focused advisory · VAT, corporate tax & accounting
Send the ledger with the documents behind it
Your incoming accountant needs an opening position that can be checked, not a download link with a dozen unnamed folders. Send the latest trial balance, general ledger, bank reconciliations, receivable and payable schedules, fixed-asset register, filed tax returns and the working papers behind those returns. The file should show the cut-off date and identify the person who can answer a question about each balance.
The Federal Tax Authority's Taxable Person Guide, VATG001, names invoices, credit notes, supply and import records, adjustment records and the VAT account as parts of the VAT trail. Federal Decree-Law No. 47 of 2022 requires Corporate Tax records that support a return or allow taxable income to be ascertained. Put the source document beside the report it explains, rather than asking the new provider to reconstruct that link.
If you are deciding whether the handover folder is ready, open one bank reconciliation and one filed return. Trace a reported line to the ledger, then to its invoice, statement or journal. If that trail stops, mark the missing object and owner before the transfer. A tidy folder is not a usable opening position when the number cannot be proved.
Keep each reported number beside its evidence
A return tells the incoming accountant what the business filed. The reconciliation and source records explain why. For VAT, keep sales invoices, purchase invoices, credit notes, import records and adjustment journals with the VAT control report. For Corporate Tax, add the closing accounts, tax adjustments, asset and liability schedules, and the records used to support any material position.
Worked example, for a handover test only. Suppose the VAT control report shows output VAT of AED 24,800 and input VAT of AED 15,300. The pack should show AED 24,800 - AED 15,300 = AED 9,500 before the return is approved. Those are illustrative ledger amounts, not a market price or a claim about a particular taxpayer. The objects to inspect are the control report, invoices and credit notes.
The retention rule gives the pack a longer life than the engagement. The FTA VAT FAQ says issued and received VAT invoices are kept for at least five years. Article 56 of Federal Decree-Law No. 47 of 2022 requires relevant Corporate Tax records for seven years after the Tax Period. Keep a business-controlled copy even when the provider stores the working archive.
Use a short index to show what each file proves
Name folders by the balance, period and evidence inside them. A file called final accounts does not tell the reviewer whether it contains the trial balance, bank reconciliation, tax adjustments or signed approval. An index fixes that problem with little effort. Give every item a period, owner, status and related ledger account, then place the index at the front of the handover pack.
The table below is a practical map, not a substitute for the records. It tells the incoming accountant where to start when a balance needs testing. Include exceptions in the same map. A missing customs entry, disputed customer balance or late journal is more useful when its absence is named than when it is hidden among files that appear complete.
The FTA VATG001 guide says records must allow a VAT amount to be traced from a source document through the accounts to the final return. That sentence makes the index worthwhile. It turns a folder into an evidence path, so the reviewer can see what is present, what is missing and what still needs a decision.
| Record group | Claim it supports | First check |
|---|---|---|
| Trial balance and ledger | Opening balances | Agree totals and period |
| Bank statements and reconciliation | Cash and control accounts | Match ending balance |
| Invoices and credit notes | Revenue, costs and VAT | Trace sample entries |
| Asset and liability schedules | Year-end balances | Match to ledger |
| Filed returns and workings | Reported tax position | Find approval and source |
Write down the exceptions a folder cannot solve
A missing document is not the same as an incorrect entry. Requesting a supplier invoice retrieves evidence. Reclassifying a director payment, correcting a duplicate or clearing an old receivable changes the accounting record. Put each issue in an exceptions register with the account, period, object missing, known amount, owner and proposed action. That gives the new provider something specific to price and review.
The FTA guide confirms the VAT record categories and the need for a traceable, legible trail. It does not state how every export from every accounting system should be arranged for a provider change. That is a real boundary of the evidence. Use the guide for the obligation, then agree the file naming, export format and review test in the commercial handover scope.
We recommend signing the exception register before the first monthly close, because silence turns an old problem into an assumed opening balance. The signature should confirm what was checked and what remains open. It should not pretend that a provider change has corrected a historical entry merely because the file moved from one email address to another.
Make the business able to retrieve its own records
The provider may perform the work, but the business still needs a working copy of the ledger, source documents, filed returns, reconciliations and working papers. Put export access in the engagement. Test it before the outgoing provider is removed. A password held by one person is not a handover plan, and a cloud folder that opens only for its creator is not reliable evidence.
Ask the incoming accountant for a written gap list after the first review. It should separate accepted balances, missing objects, proposed corrections and work that falls outside the recurring scope. Do not let a monthly fee absorb an undefined historical clean-up. The gap list makes the decision visible while the records and the people who know them are still available.
After transfer, choose one sales invoice, one purchase invoice, one bank movement and one return line. Follow each to the ledger and back to the source. If the trail breaks, repair the index or record the exception before the first close. The FTA's retention rules matter only if the business can open and produce the records when asked.
Frequently Asked Questions
For building a usable accounting handover pack.
What should I send an outsourced accountant?
The Federal Tax Authority expects records that support tax reporting. Start with the general ledger, trial balance, bank and payment-gateway statements, sales and purchase invoices, receivable and payable schedules, asset records, prior returns and a list of unresolved items. The exact pack depends on the business and its tax position.
Who keeps the records after outsourcing?
The business remains responsible for maintaining records even if a provider stores working papers. The FTA says VAT records are generally retained for five years and Corporate Tax records for at least seven years. Put access, export and handover rights in the engagement so the business can retrieve its file.
Do I need prior tax returns in the handover?
Usually, yes. Prior VAT and Corporate Tax returns help the new provider reconcile opening balances, carry forward relevant positions and identify unfinished work. The Federal Tax Authority requires supporting records for tax reporting, so list any missing returns or schedules instead of treating the gap as closed.
Can Exiloz prepare the handover pack?
Exiloz can organise the accounting records, map missing items and produce a written handover checklist for the incoming engagement. The Federal Tax Authority remains the authority for tax-record obligations, so the checklist is an operating aid and not a replacement for keeping the underlying records.
Is Your Handover Ready?
Exiloz turns your existing records into a written handover checklist with missing items and owners.