The UAE Federal Tax Authority (FTA) has set the date for taxpayers and exempt individuals to sign up for corporate tax registration, as per the recent decision made by the FTA (i.e. the Decision No. 3 of 2024) ( FTA Decision). This FTA Decision comes into effect on March 1, 2024.
The dates for filing corporate tax depend on the place of residence or residence of the individual, the category of person and the date of incorporation or the date of commencement of business for the individual.
Resident Juridical Persons
For UAE legal persons who are resident the date for submission of the tax registration application for corporate entities is dependent on the type of legal person, the time of incorporation, and the date that the trade license is given (regardless of when it was issued and the date of issue). The first deadline coming on the 31st of May in 2024. The deadlines for submission of applications by UAE residents who are legal persons to be registered for corporate tax are according to the following:
| UAE residence entities that are incorporated in or established prior to 1 March 2024. | UAE residents entities that are incorporated in or created on or after the 1st March 2024 | ||
| Month of License Issuance
(regardless what year it was issued) |
Deadline for submission | Legal persons are classified as a category. | Deadline for submission |
| January or February | 31 May 2024 | Person who is established, incorporated, or recognized by UAE laws, and includes the free zone person | three months following the incorporation date and recognition, establishment or incorporation |
| March or April | 30 June 2024 | ||
| May | 31 July 2024 | ||
| June | 31 August 2024 | Person who is legally established, incorporated, or recognized under the laws of a foreign jurisdiction and is definitely monitored and controlled by the UAE | 3 months after the close of the fiscal year of the individual |
| July | 30 September 2024 | ||
| August or September | 31 October 2024 | ||
| October or November | 30 November 2024 | ||
| December | 31 December 2024 | ||
| When a person did not have a licence as of the time of the FTA Decision | 3 months after the date of effective of the FTA Decision for 3 months from the date of its effective (i.e. before 30 May 2024) | ||
Non-Resident Judicial Persons
Non-resident legal persons who have an establishment permanent ( PE) within the UAE or a nexus with the UAE are within the definition of taxable individuals to be treated as taxable persons for UAE corporate tax Law for tax purposes and are required to sign up for corporate tax registration in the UAE. The deadlines for submitting of applications by non-resident legal people to register for corporate tax are:
| Legal persons are classified as a category. | Prior to 1 March 2024 | Beginning or after 1 March 2024. |
| Someone who is a permanent establishment (PE) located in the UAE | nine months after the day of creation of the PE | Six months after the day of creation of the PE |
| A person who has an affiliation with the UAE | 3 months after the date of effective FTA decision (i.e. 30 May 2024) | three months following the day of the establishment of the connection |
Natural Person
Any natural person who is conducting an enterprise or business in the UAE must submit the corporation tax application in line with the following deadlines:
|
Natural persons are classified as a category. |
Deadline to submit an application for tax Registration application |
| A resident conducting an activity for business or business in the year 2024 Gregorian calendar year or the following years where the value of the turnover from the Gregorian calendar year is more than the threshold set by law. | 31 March in the next Gregorian calendar year |
| Non-residents who are who is engaged in a business in the 2024 Gregorian calendar year or any subsequent years where the value of the turnover during the Gregorian calendar year is greater than the threshold prescribed by law. | three months following the day you meet the conditions of being tax-exempt. |
Consequences of Non-compliance
If a person does not complete the registration application in time for the corporate tax registration within stipulated deadlines above, the applicant is liable to an administrative sanction of AED 10,000 under Cabinet decision No.75 of 2023.
What do you need to do the next time?
It is crucial that all companies determine the deadline for filing corporate tax which is applicable to their business and then file the registration application according to warrant conformity with the UAE Corporate Tax Law. Companies should also consider the effect the corporate tax burden on their organizations and determine if they are eligible for exemptions or reductions if an assessment hasn’t yet been conducted.
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FAQs
What is the deadline for registering for corporate tax in the UAE?
The deadline for registration is typically within 30 days of exceeding the annual revenue threshold.
What are the consequences of missing the registration deadline?
Failure to register on time may result in penalties and fines imposed by the UAE tax authorities.
Can I request an extension for the registration deadline?
Extensions are generally not granted, so it is crucial to ensure timely compliance with the registration requirements.
How can I determine if my company needs to register for corporate tax in the UAE?
Companies should assess their annual revenue to see if it exceeds the threshold that requires registration for corporate tax.
Where can I find more information about the UAE corporate tax registration process and requirements?
Detailed information about corporate tax registration in the UAE can be found on the official website of the Federal Tax Authority or by consulting with tax advisors familiar with UAE tax laws.
