Accounting services in Saudi Arabia are essential for businesses to keep their finances
clear, follow local rules, and manage money effectively. With the country’s economy growing
fast due to Vision 2030, more companies are using professional accounting services to handle
their finances. Additionally, in 2023, Saudi Arabia’s economy grew by 8.7%, making it one of
the fastest-growing economies in the G20.
With new tax laws like VAT and strict regulations, businesses—tiny and medium-sized (which
comprise over 90% of all companies in Saudi Arabia)—need accurate accounting to stay
compliant. Professional accounting services help businesses manage their taxes, keep their
financial records in order, and remain focused on growing their business.
Accounting services in Saudi Arabia refer to a range of financial services offered to
businesses and individuals to manage their financial records. It ensures compliance with
local laws and makes informed financial decisions. These services include:
1. Bookkeeping
Maintaining accurate records of financial transactions such as sales, purchases,
receipts, and payments.
2. Financial Reporting
Preparing financial statements (e.g., balance sheet, income statement) by local and
international accounting standards.
3. Tax Services
Assisting with tax compliance, including VAT (Value Added Tax) filing, Zakat (an
obligatory Islamic tax), and ensuring adherence to Saudi tax regulations.
4. Auditing
Conducting internal and external audits to verify the accuracy and integrity of financial
statements and operations.
5. Payroll Management
Handling employee payroll and deductions and ensuring compliance with Saudi labour laws
and regulations.
6. Financial Consulting
Offering advice on financial planning, budgeting, investment strategies, and risk
management.
7. Regulatory Compliance
Ensuring that businesses comply with the accounting and financial regulations set by the
Saudi Organization for Certified Public Accountants (SOCPA) and other regulatory bodies.
8. Business Valuation
Assessing the value of a business or its assets for various purposes, such as mergers,
acquisitions, or financial restructuring.
These services help businesses operate efficiently, avoid legal
issues, and maintain a solid financial foundation.
Accounting services are essential for businesses in Saudi Arabia for several reasons related
to compliance, financial management, and business growth. Here’s why companies in Saudi
Arabia need accounting services:
1. Compliance with Local Laws
Businesses must adhere to local accounting and financial regulations governed by the
Saudi Organization for Certified Public Accountants (SOCPA) and the Zakat, Tax, and
Customs Authority (ZATCA). Accounting services ensure businesses meet these legal
requirements, such as Zakat, VAT, and corporate tax compliance, avoiding fines and
penalties.
2. Zakat and Tax Compliance
Zakat, the Islamic financial obligation, is a significant part of the taxation system in
Saudi Arabia. In addition, implementing VAT and corporate taxes requires accurate
record-keeping and timely tax filing. Professional accountants help calculate Zakat and
taxes, file returns, and maintain compliance with the regulatory framework.
3. Financial Reporting
Accurate and transparent financial reporting is critical for businesses to assess their
financial health and meet the requirements of stakeholders and regulators. Moreover,
Accountants prepare financial statements such as balance sheets, income statements, and
cash flow statements that comply with Saudi accounting standards and international best
practices.
4. Cash Flow Management
Managing cash flow effectively is essential for the financial stability of businesses.
Accountants help monitor cash flow, optimise working capital, and ensure companies meet
financial obligations without liquidity issues.
5. Support for Business Growth
Accounting services support business growth by providing financial insights. It helps
businesses allocate resources efficiently, plan for expansion, and optimise their
operations to increase profitability.
6. Auditing and Assurance
Many businesses in Saudi Arabia must undergo regular audits to ensure the accuracy of
financial records. Accountants help prepare for audits, ensuring that documents are
compliant and reassuring investors, partners, and regulatory authorities.
7. Financial Planning and Budgeting
Accounting services help businesses plan for the future by creating realistic budgets and
forecasts. Addtionally, it is tracking performance against financial goals and managing
expenses effectively. This supports informed decision-making and long-term
sustainability.
8. VAT Filing and Compliance
Since the introduction of VAT in Saudi Arabia, businesses must maintain detailed records
and file VAT returns regularly. Additionally, Accountants manage VAT compliance,
ensuring accurate filings and helping companies avoid penalties from tax authorities.
9. Risk Management
Professional accounting services help businesses identify and mitigate financial risks,
such as fraud, inefficiencies, or compliance breaches. Moreover, Accountants implement
internal controls and strategies to safeguard the company’s financial health.
10. Investor Confidence
Accurate and transparent financial records improve investor confidence and credibility,
which are essential for attracting investment, securing loans, or forming partnerships.
In summary, accounting services in Saudi Arabia are necessary
to ensure legal compliance, support efficient financial management, drive business
growth, and manage financial risks effectively.
Top 7 Accounting Firms in Saudi Arabia
Here are seven top accounting firms in Saudi Arabia known for providing the best
accounting services in Saudi Arabia. Each firm offers various services, including
auditing, tax advisory, and business consultancy. It makes them reputable choices for
companies operating in the region:
1. Shuraa Tax
As part of Shuraa Business Setup, Shuraa Tax provides comprehensive tax consulting
services, including VAT and Zakat compliance. They are known for their in-depth
understanding of the Saudi tax landscape and their ability to deliver customised
solutions that help businesses effectively guide complex tax regulations.
Shuraa Tax's commitment to excellence makes it a noteworthy option among the top
audit firms in Saudi Arabia.
2. BMS Auditing
BMS Auditing is recognised as one of the leading accounting firms in Saudi Arabia,
specialising in audit services, VAT consulting, and bookkeeping.
They provide to various industries, ensuring compliance with local regulations while
delivering cost-effective solutions adjusted to each client's needs. Their
professionalism and reliability make them a top choice for businesses of all sizes.
3. Ecovis Al Sabti
As a part of the ECOVIS network, Ecovis Al Sabti provides a broad range of services,
including audit, tax consulting, and risk management.
This firm is particularly noted for its expertise in Zakat and VAT compliance. It
helps clients direct the complexities of the Saudi financial landscape.
4. Moore Stephens
Established in 1954, Moore Stephens has built a solid reputation as one of the top
audit firms in Saudi Arabia.
They offer extensive audit, assurance, and tax advisory services, focusing on
delivering high-quality solutions to local and international clients. Their
longstanding presence in the market provides them with deep insights into regulatory
requirements.
5. Associated Accountants
Founded in 1989, Associated Accountants specialises in assurance, Zakat & tax
consultancy, and business advisory services.
They focus on mid-sized and large corporations, providing specialised solutions that
align with clients' strategic objectives. Their commitment to quality and compliance
positions them as a leader in the Saudi accounting sector.
6. AlKharashi & Co
This firm has been serving the Saudi market since 1982, providing various auditing
and accounting services.
AlKharashi & Co. is known for its extensive experience in multiple sectors. It
ensures clients meet their financial and regulatory obligations while promoting
growth.
7. Awaji CPA
Awaji CPA is an independent member of the Alliott Group, recognised for its global
perspective on accounting and audit services.
They offer financial consulting, tax advisory, and audit services solutions. It
focuses on building long-term client relationships through personalised service.
These firms are distinguished for their expertise and
service offerings, ensuring they meet the diverse financial and compliance needs of
businesses in Saudi Arabia.
Whether through auditing, tax advisory, or business
consultancy, they provide essential support to help companies succeed in a
competitive market.
Why Choose Shuraa Tax?
At Shuraa Tax, our team of dedicated professionals is available 24/7 to expertly
manage the complexities of the business tax code for you. When you contact us, we'll
thoroughly assess your individual and business needs, ensuring personalised
solutions that align with your goals.
Services provided by Shuraa Tax
