26 August 2026 · Outsourced
What an Outsourced Close Should Return
An outsourced bookkeeper can post transactions, reconcile banks and gateways, clear supported exceptions and return a close pack for review. FTA Decision No. 4 of 2026 permits a person to engage a third party to maintain records, but the business remains legally responsible for maintaining them and their safety. Exiloz offers bookkeeping support, not statutory audit or FTA tax-agent representation.
Exiloz Management & Tax Consultant · Dubai-based FTA-focused advisory · VAT, corporate tax & accounting
The provider should return a tested close pack
We would not call bookkeeping support complete when it returns only posted entries, because the next reviewer still has to rebuild the evidence. In our experience, the useful handoff is a tested close pack: bank and gateway reconciliations, matched customer and supplier balances, supported adjustments and an exception list. The business should receive enough source indexing for its VAT or corporate tax adviser to begin without repeating the basic search.
FTA Decision No. 4 of 2026 permits a Person to engage a third party to maintain accounting records and commercial books. It also says the Person remains legally responsible for maintaining those records and ensuring their safety. The arrangement can move the work. It cannot move that responsibility. Keep owner access, source files and approval of judgement-based entries under the business's control.
The practical test is simple. Can the owner open the returned pack and see which balances tied, which entries were supported and which questions still need an answer? If not, the business has received data entry rather than a close. Ask for the reconciliation status, exception history and source-record index as part of the handoff.
- Post transactions from identifiable source records.
- Reconcile balances to independent statements.
- Return supported adjustments and open questions.
- Keep the business in control of access and approval.
Choose support by the handoff risk
Managed bookkeeping support fits a business whose transactions continue while the owner is selling, hiring or operating. It also fits an internal team that can post routine items but cannot finish the reconciliation and evidence work before the next tax task. The right scope depends on where the file breaks: missing source documents, unmatched cash, old balances, unclear cut-off or no person responsible for the close note.
A provider is not a substitute for an owner who answers business questions. Someone must confirm whether a service was delivered, a cost belongs to the entity, a director payment is a loan or a supplier balance is disputed. If those decisions are left to a bookkeeper without evidence, the ledger may look tidy while the underlying position remains unknown. Outsourcing should shorten the review, not hide the judgement.
The business should appoint one person to answer those questions and approve the final close. That person does not need to post the entries, but must know the contracts, deliveries, staff costs and owner transactions behind them. Without that contact, an outsourced team can only park uncertainty in an exception list and wait.
- Use support where the ledger has a named owner.
- Define which questions need client approval.
- Separate routine posting from reconstruction work.
- Keep statutory audit outside the bookkeeping scope.
The engagement must say what is prepared and what is not
A clear support scope lists the records to be posted, the accounts to be reconciled, the reports to be returned and the exceptions to be carried forward. It says whether the provider handles gateway settlements, supplier statements, payroll journals, stock or asset schedules, VAT evidence checks and close adjustments. It also states what the client supplies and how late documents are handled.
The boundary matters for Exiloz. Exiloz provides bookkeeping support and audit preparation support. It does not perform statutory audits and is not a registered Tax Agent. The provider can prepare a clean file for the appointed auditor or tax adviser, but the service wording should not suggest that bookkeeping itself gives assurance or authority to represent the business before the FTA.
Spell out the exclusions in ordinary language. A provider may prepare schedules for an auditor without signing an audit opinion. It may identify a VAT question without deciding the legal treatment. It may draft a journal without approving the business fact behind it. These lines prevent a handoff from being sold as a service it is not.
- Name each ledger and reconciliation included.
- State the records the client must supply.
- List judgement-based approvals retained by the business.
- Exclude statutory audit and Tax Agent representation.
Access, review and approval keep the handoff safe
Run the work in a short evidence chain. First, the provider inventories the source files and confirms system access. Next, it posts supported entries and reconciles independent balances. Then it returns an exception list with amounts, accounts, evidence requested, owner and next action. The client answers the business questions, approves the adjustments and signs the close note. The final pack is stored where the client can retrieve it.
FTA Decision No. 4 of 2026 says electronic copies must be identical to the original and include all pages in the same order. It rejects partial scanning and requires records to be clear and legible. If copies or systems are protected by passwords or encryption, the Authority must be given the access needed to inspect them on request. A handoff that loses attachments is not finished.
The provider should not hold the only copy of the accounting system or its attachments. Keep an owner login, preserve regular exports and confirm that the business can open the returned files. If the system stores links rather than documents, test those links after the handoff. An inaccessible file is an operational gap even when the entries are correct.
- Give the provider least access needed to do the work.
- Keep an owner login and the source-record location.
- Approve entries that depend on business facts.
- Test the returned files before closing the engagement.
| Handover item | Provider returns | Business approves |
|---|---|---|
| Bank and gateway | Reconciliation and timing list | Unusual receipts, fees and transfers |
| Sales and receivables | Aged balance with source links | Credit notes, disputes and write-offs |
| Purchases and payables | Supplier match and missing-document list | Accruals, duplicates and cut-off |
| Journals | Entry, support and explanation | Judgement-based adjustment |
| Final pack | Trial balance, exceptions and index | Close note and storage location |
A managed close is proved by the returned file
Worked example. The provider receives a bank statement closing at AED 75,000 and a ledger closing at AED 77,500. The review finds an uncleared transfer of AED 2,500 supported by the statement and transfer record. The reconciliation is AED 77,500 - AED 2,500 = AED 75,000. The provider has not forced the ledger to match. It has documented why the difference exists and what happens next.
The price and responsibility should follow this evidence chain. Ask how many feeds, entities, records and old exceptions were included, how approvals are captured and what the pack contains. FTA Decision No. 4 of 2026 settles the business's responsibility for maintaining safe, accessible records. It does not prescribe a service-level promise for a provider's response, export format or cloud outage. Those operational points remain unsettled and belong in the engagement terms.
Before appointing a provider, ask to see a blank close-pack index and a sample exception entry. The sample should show the account, source document, issue, owner, approval and final status. It need not expose another client's data. It should make the promised work visible enough to compare with the fee and the business's risk.
- Tie the quote to feeds, entities and exceptions.
- Require an indexed close pack, not only a trial balance.
- Record approvals and unresolved items.
- Keep a retrieval route if the provider relationship ends.
Frequently Asked Questions
For choosing outsourced bookkeeping support.
What does outsourced bookkeeping support include?
The FTA's Tax Obligations guide lists accounting records for payments, receipts, purchases, sales, profits, expenses, wages, fixed assets and inventory. A support engagement may post those transactions, reconcile bank and gateway balances, check VAT evidence, list exceptions and return a close pack. The business still approves judgements and keeps the source records.
Can a third party maintain UAE accounting records?
Yes. FTA Decision No. 4 of 2026 allows a person to engage a third party to maintain accounting records and commercial books. The same Decision keeps legal responsibility for maintaining those records and their safety with the business. Keep access, source files and a clear handover route under your control.
Who approves bookkeeping adjustments?
FTA Decision No. 4 of 2026 leaves the business legally responsible for its records, even when a third party maintains them. In practice, the business should approve judgement-based adjustments, keep the supporting evidence and retain access to the accounting system. A bookkeeper can prepare the entry without owning that decision.
Does Exiloz perform statutory audits?
No. Exiloz provides bookkeeping and audit preparation support. FTA Decision No. 4 of 2026 concerns maintaining accounting records and does not appoint Exiloz as a statutory auditor or tax agent. Your business remains responsible for its records, while any statutory audit must be handled by the auditor you appoint.
Need a bookkeeper to finish?
Exiloz posts supported entries, reconciles the ledger and returns the open items for your approval.