Accounting for Construction & Contracting
Contractors, fit-out and MEP companies: we cost every project, track retentions and progress billing, and keep VAT and payroll right so margins are real.
★★★★★ 5.0 on GooglePartner-led, ex-EY500+ UAE businesses
Know which projects actually make money
Construction companies rarely fail for lack of work. They fail because cash and profit are hard to see: costs land months after the work, clients hold back retentions, and variations sit unbilled. A set of books that only shows company-wide profit hides all of this.
We run construction accounts by project. Every material bill, subcontractor invoice and labour cost is allocated to a job, progress billings and retentions are tracked against each contract, and you get project profitability every month, alongside VAT, Corporate Tax and WPS payroll.
- Job costing by project
- Progress billing and variations tracked
- Retentions receivable and payable
- Subcontractor payments reconciled
- VAT timed correctly on progress billing
- WPS payroll for site and office staff
Where we usually come in
"We're busy, but the bank balance doesn't show it."
With us: Project-level reports show where cash is tied up.
"Retentions are owed to us, but nobody tracks when."
With us: We keep a retention schedule by project and release date.
"Subcontractor bills arrive months late."
With us: We accrue costs so each month's profit is honest.
"Our VAT on progress billing is guesswork."
With us: We apply the date-of-supply rules to each billing.
Accounting built for construction & contracting
Job costing
Materials, labour, plant and subcontract costs allocated to each project.
Progress billing
Applications for payment, certifications and variations tracked against the contract value.
Retentions and advances
Retentions held and owed, and advance payments, tracked by project.
VAT on contracts
Tax points on progress billings, retentions and advances handled correctly.
Payroll and WPS
Site and office payroll, overtime and gratuity, paid through WPS.
Monthly reporting
Profit and cash by project, plus company accounts to IFRS.
How we work with you
- 1
Map
We review your contracts, cost codes and current projects.
- 2
Set up
Projects and cost codes built into your accounting software.
- 3
Track
Costs, billings and retentions recorded against each job.
- 4
Report
Monthly project profit, cash and VAT, reviewed by a partner.
VAT and Corporate Tax for construction & contracting
| Topic | What applies |
|---|---|
| VAT on construction | Generally 5%; tax points on progress billings and retentions follow the date-of-supply rules |
| Corporate Tax | 0% up to AED 375,000 taxable income, 9% above; long contracts need careful revenue recognition |
| Payroll | WPS applies to MOHRE-registered employers, including site labour |
| Audit | Often required by clients, banks or for tenders, as well as for Corporate Tax in some cases |
General information as of November 2026. Your facts decide the answer, so take advice before relying on it.
Fixed monthly fees. No surprise invoices.
Startup
AED 999/mo
Up to 50 transactions a month
- Monthly bookkeeping
- Quarterly VAT filing
- Annual financial statements
- WhatsApp support (4hr response)
Most popular
Growth
AED 2,500/mo
Up to 500 transactions a month
- Everything in Startup
- Monthly KPI dashboard
- Audit-ready financial statements
- Corporate Tax registration and filing
- Direct partner access
Scale
Custom
Groups, multi-entity, family offices
- Everything in Growth
- Multi-currency consolidation
- Virtual CFO included
- Quarterly board reports
Get your exact estimate with the bookkeeping cost calculator →
"Managing 8 entities across Mainland Ajman and UAE. Monthly close went from 21 days to 8."
Construction & Contracting accounting: common questions
How do you account for long construction contracts?
We recognise revenue over the life of each contract in line with IFRS 15, based on progress, so profit is not distorted by when invoices happen to be raised.
Can you work with our quantity surveyors?
Yes. We work from your QS valuations and certifications so the accounts match what has been certified on site.
Do you handle payroll for site workers?
Yes. We run payroll and WPS files for site and office staff, including overtime, allowances and end-of-service gratuity.
30-Day Free Trial
Test-drive us for 30 days. Decide on day 31.
Full bookkeeping, IFRS reports by Day 7, tax health-check included. No credit card required.
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