Terms of Engagement
Corvat Tax & Accounting Services Dubai — Effective: January 2025
These Terms of Engagement set out the professional standards, mutual obligations, fee structures, and liability framework governing all services provided by Corvat Tax & Accounting Services Dubai. By engaging our services, the Client agrees to these Terms in their entirety.
1. Scope of Engagement
Service Agreement
These Terms of Engagement ('Terms') govern all professional services provided by Corvat Tax & Accounting Services Dubai ('the Firm') to clients ('Client'), including UAE Corporate Tax advisory, VAT compliance, statutory audits, Virtual CFO services, and business setup advisory.
Engagement Letter
A signed Engagement Letter specifying the agreed scope, deliverables, timelines, and fee structure is required before commencement of any professional service. These Terms form an integral part of all Engagement Letters.
Jurisdiction
All engagements are governed by the laws of the United Arab Emirates, including Federal Decree-Law No. 47 of 2022 (Corporate Tax), Federal Decree-Law No. 8 of 2017 (VAT), and UAE Commercial Companies Law No. 32 of 2021.
2. Client Responsibilities
Accurate Information
The Client is solely responsible for the accuracy, completeness, and timeliness of all financial data, documents, and information provided to the Firm. The Firm relies on client-provided information and does not independently verify source documents unless engaged specifically for forensic or audit purposes.
Timely Document Submission
The Client agrees to submit all required documents — including bank statements, sales invoices, purchase invoices, payroll records, and trade license copies — by the agreed deadlines. Delays in document submission may result in missed FTA filing deadlines, for which the Firm holds no liability.
Management Representation
For statutory audit engagements, the Client's management is required to provide a signed Management Representation Letter confirming the accuracy and completeness of financial statements and disclosures.
Regulatory Notifications
The Client must promptly notify the Firm of any material changes to business activities, ownership structure, new revenue streams, or receipt of FTA correspondence, audit notices, or penalty assessments.
3. Fees & Payment Terms
Fee Structure
Professional fees are agreed upon in the Engagement Letter prior to commencement of work. Fees are based on the scope, complexity, entity type, and estimated time required for the engagement.
Payment Schedule
Unless otherwise agreed, invoices are payable within 7 UAE working days of issuance. Retainer-based engagements are invoiced monthly in advance. Project-based engagements may require a 50% advance payment before commencement.
Late Payment
Invoices not settled within the agreed payment period may incur a late payment charge of 1.5% per month on the outstanding balance. The Firm reserves the right to suspend services until all outstanding invoices are settled.
Disbursements & Government Fees
Government fees, FTA registration charges, Ministry of Economy filing fees, free zone authority fees, and third-party charges are billed separately to the Client at cost and are not included in the Firm's professional fee.
VAT on Professional Fees
All professional fees are subject to UAE VAT at the applicable rate (currently 5%) in accordance with Federal Decree-Law No. 8 of 2017. VAT invoices will be issued with the Firm's valid TRN.
4. Limitation of Liability
Reliance on Client Information
The Firm's advice and deliverables are based entirely on the information provided by the Client. The Firm accepts no liability for errors, omissions, or FTA penalties arising from inaccurate, incomplete, or untimely information provided by the Client.
Regulatory Changes
UAE tax laws, FTA public clarifications, and Ministerial Decisions are subject to change. The Firm will use reasonable efforts to advise Clients of material regulatory changes but accepts no liability for impacts arising from changes enacted after the delivery of advice.
Liability Cap
The aggregate liability of the Firm for any claim arising from a professional engagement shall not exceed the total fees paid by the Client for the specific engagement giving rise to the claim during the preceding 12 months.
Exclusion of Consequential Loss
The Firm shall not be liable for any indirect, consequential, or special damages including loss of profits, business interruption, or reputational harm, howsoever arising.
5. Confidentiality & Intellectual Property
Mutual Confidentiality
Both parties agree to maintain strict confidentiality of all information exchanged during the engagement. The Firm will not disclose Client financial or business information to any third party except as required by UAE law or regulatory authorities.
Intellectual Property
All working papers, methodologies, templates, and analytical frameworks developed by the Firm remain the exclusive intellectual property of Corvat Tax & Accounting Services Dubai. Client deliverables (reports, returns, financial statements) are prepared for the Client's exclusive use.
Duration
Confidentiality obligations survive the termination of the engagement for a period of 5 years, consistent with UAE tax record retention requirements.
6. Termination
Termination by Client
The Client may terminate an engagement by providing 30 days' written notice. All fees for work completed up to the termination date, including any disbursements incurred, remain payable in full.
Termination by the Firm
The Firm reserves the right to terminate an engagement immediately if: (a) the Client provides materially false information; (b) the Client requests the Firm to act in violation of UAE law or FTA regulations; (c) invoices remain unpaid beyond 30 days of the due date.
Handover of Documents
Upon termination, the Firm will return all original Client documents. Working papers and Firm-prepared documents remain the property of the Firm and will not be transferred.
7. Governing Law & Dispute Resolution
Governing Law
These Terms are governed by the laws of the United Arab Emirates and the Emirate of Dubai.
Amicable Resolution
In the event of any dispute, both parties agree to first attempt amicable resolution through direct negotiation within 15 UAE working days of written notice of the dispute.
Jurisdiction
If amicable resolution fails, disputes shall be referred to the Dubai Courts for resolution in accordance with UAE law.
Acceptance of Terms
Engagement with Corvat Tax & Accounting Services Dubai — whether by signing an Engagement Letter, making a payment, or providing documents for processing — constitutes full acceptance of these Terms of Engagement.
For questions regarding these Terms, please contact us: