FTA Decision No. 8 of 2025 is a big change in the corporate tax system in the UAE. Those who put money in or are tax-free will see a main gain from this change. Applying the new decision from 1st January 2025 will lead to improved investment options.

The decision clarifies tax compliance timetables, filing obligations, and registration triggers applicable to taxable persons, qualifying investment funds, real estate investment trusts, and other investors under the UAE Corporate Tax Regime.

According to official news, this rule will support tax certainty, reduce the administrative burden, and reinforce the UAE’s position as a stable, global investment hub.

What are the key timelines for tax compliance under FTA Decision No. 8 of 2025?

Article 8 of FTA Decision No. 8 of 2025 provides the uniform timelines for tax compliance that apply for investors and other taxable persons under the UAE corporate tax regime, applicable for tax periods commencing on or after 1 January 2025, irrespective of the financial year of the entity.

How to determine Timelines for Filing Corporate Tax Returns ?

According to the Decision, the Taxable Person should submit a Corporate Tax Return within nine months from the end of the relevant tax period. It is true for all companies not just the ones that hold investments but not for the ones that are not covered.

Key compliance timelines include:

Firms need to submit the return within 9 months after the close of the financial year
The corporate tax needs to be paid on the same date as the filing of the return
An annual declaration is required for the exempt person, as stated
If you fail to follow these timelines, it will result in penalties under the FTA framework

What is the Application and Implementation Scope ?

The decision shows that the new rules will be followed from 1st January 2025. This will help to maintain consistency with cabinet-level corporate tax decisions. Furthermore it will help to increase the predictability for the investor who looks for long-term capital investment.

Overall, it will help the tax filing timelines across different sectors and jurisdictions.

How do qualifying investment funds and real estate investment trusts maintain exempt status?

Qualifying investment funds and real estate investment trusts will still be free from corporate tax. But they will have to follow the conditions provided by the relevant cabinet and FTA.

What are the Tax Exemption Conditions: QIFs and REITs ?

QIFs and REITs must follow all these conditions to be exempt from tax

A capable UAE authority must conduct regular checks.
Diversification of the investors is a must
There will be restrictions on income from immovable property for QIF
Timely submission of the declaration and information must be done
Failure to follow these rules would lead to loss of exemption and tax exposure.

What is the Information to be Provided to the Federal Tax Authority ?

According to Federal Tax Authority Decision No. 11 of 2023,an exempt entity should file:

Declaration for Exempt Persons
Annual confirmation of compliance with the exemption conditions
Supporting documentation related to investor structure and sources of income

These filings are subject to the timelines clarified under FTA Decision No. 8 of 2025, so as to ensure alignment between exemption compliance and administrative obligations.

When to register for corporate tax ?

What are the Triggers for corporate tax registration for investors ?

Under the UAE Corporate Tax system, an investor, including a foreign juridical investor, will need to be registered for Corporate Tax upon the occurrence of a registration trigger. FTA Decision No. 8 of 2025, read along with Cabinet Decision No. 34 of 2025 and Cabinet Decision No. 35 of 2025, details the triggers clearly.

Typical examples of registration triggers include: The examples of registration triggers are:

Distribution or dividend distribution by a UAE entity to any investor
The date of distribution must determine the registration timeline condition

If the investor fails to adhere to these conditions, the FTA will require them to apply for tax registration within the specified timeframe.

How to do Submission of Corporate Tax Returns ?

After registration, the investor becomes a taxable person and shall: After the registration is complete, the investor will become a taxable person. His responsibilities now include:

Filing an annual corporate tax return
Follow with applicable tax periods and filing deadlines
Maintain proper records as per Federal Decree Law No. 47 of 2022

Tax deregistration starts immediately when the investor ends the taxable activity. This would take place when the prescribed time is done.

What are the penalty waivers and filing requirements for exempt persons and taxable investors?

What is the Penalty Waiver for late corporate tax registration ?

The availability of a penalty waiver for late corporate tax registration is one of the most investor-friendly features of FTA Decision No. 8 of 2025. In other words, the automatic AED 10,000 late registration penalty may be waived provided that:

The taxable person submits its first corporate tax return within the designated time:
All related tax liabilities will be settled on time.
This will significantly reduce the compliance risk for new investors entering the UAE market.

What are the Filing Requirements of Exempt Persons ?

The exempt person, along with QIF and REIT, must:

File annual declaration
Confirm the exempt status while providing annual filings
Meet the deadlines for filings

These ensure transparency while preserving the intended tax benefits for qualifying investment structures.

What can be Governance & Administrative Oversight ?

The decision confirms governance protocols, including the following:
Board of Directors approval of filings, if applicable
Authority delegation to the Vice Chairman or authorized signatories
Repeal of inconsistent provisions in prior administrative guidance

These measures advance certainty in taxation, decrease the administrative burden, and underpin efficient processes for compliance by investors.

Conclusion

Decision No. 8 of 2025 by the FTA provides further clarity on timelines for tax compliance. In general, it is beneficial for investors falling under the UAE Corporate Tax regime. The strong points of the decision are standardized filing deadlines, clarified registration triggers, and protection of exemptions for QIFs and REITs. Please ensure compliance with these regulations at your earliest convenience.

The improved rules of the UAE position it as an ideal destination for global investment. Investors and tax managers should consider their tax periods, their status of registration, and their filing obligations carefully. It will guarantee timely compliance in the year 2025.

Complying with the regulations reduces fines, provides exempt status, and maintains sustainable investment operations, among other advantages