Corporate Tax Timeline for Businesses as Per UAE Corporate Tax Law
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UAE Corporate Tax Law

Corporate Tax Registration, Corporate Tax Filing & Pay in UAE

The latest UAE corporate tax statute has been conferred the code, “Federal Decree Law no. 47/2022 on Businesses and Corporation Taxation”. Subsequent to the issuance of the UAE Corporate Tax Law, businesses ought to register, file, and pay corporation tax returns to avert any risk of incurring penalties for noncompliance. Thus, it is highly essential to avail the services of trusted tax agents in UAE to stay compliant with the Federal Tax Authority’s regulations and standards.

How and When to Register for Corporate Tax in UAE?

In accordance with the Federal Decree Law no. 47/2022, all businesses that are subject to corporate tax in UAE must register themselves with the Federal Tax Authority and get a corporation tax registration ID or number from the respective authority. This applies to all businesses whether they are subject to 0 percent or 9 percent corporation tax. Corporations can avail of the services of reputable corporate tax advisors in UAE to seamlessly carry out tax registration.

When to File and Pay Corporate Tax in UAE?

Every taxable person is required to file and pay corporate tax after registering for corporation tax in the UAE. The due date to file a corporation tax return will be 9 months after the fiscal year-end date as per the provisions of the Federal Decree-law no. 47/2022. The same deadline applies for the actual payment of corporate tax for the particular fiscal year for which the corporate tax return is filed. The following examples illustrate possible timelines, deadlines, and tax periods;

Corporate Timeline for the Business Financial Year June 1 – May 31

If a business’s fiscal year starts on June 1, 2023, and ends on May 31, 2024, the following will be its corporate tax timeline in general;

  1. The first tax periods will range from June 1 (2023) to May 31 (2024) after which the business will assess whether it has earned taxable income or not i.e, the income reaches the limit where it would be taxed.
  2. The second tax period will range from June 1 (2024) to May 31 (2025) during which the taxpayer will need to file and pay corporate tax for the first tax period. 
  3. The total time period that is available for such a fiscal year becomes 26 months in this case. Before these months’ end, the taxable person should register with FTA for corporate tax purposes.

Corporate Timeline for the Business Financial Year January 1 – December 31

  1. The first tax period will range from January 1 (2024) to December 31 (2024) after which the business will assess whether or not it will need to pay corporate tax after registering and filing for it.
  2. The second tax period will range from January 1 (2025) to December 31 (2025) during which the taxpayer will need to file and pay corporate tax for the first tax period.
  3. The deadline to file and pay corporation tax will be September 30 (2025). The tax can be paid any time before this due date.
  4. The total time period that is available for such a fiscal year becomes 33 months in this case. The taxable business should better get itself registered during this period.

Using the above instances, any business can have an understanding of its corporate tax timeline. However, if any business finds it difficult, it can seek the assistance of corporate tax advisors in the UAE.

Choose the Best UAE Tax Advisory Services!

It is highly essential to avail the services of trusted tax agents in UAE to stay compliant with the Federal Tax Authority’s regulations and standards. Corporations can seek the services of reputable corporate tax advisors in UAE to seamlessly carry out tax registration and filing. So, call us at Corporate Tax UAE and we shall be happy to assist you! 

Read More : A Complete Compliance Guide for Corporate Tax in the UAE

Ervee is a CPA with international experience in Tax and Accounting. He has over 12 years of experience in accounting and bookkeeping and over a year in VAT implementation, registration, and accounting in UAE. He regularly drives out inefficiencies in company operations and loves the challenge of helping clients find additional ways for an easier and improved compliance and verification of transactions. Read more