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The Federal Tax Authority (FTA) has issued a renewed call to all UAE-based businesses and taxable entities to proactively prepare for and submit their Corporate Tax Returns within the legally mandated deadlines. The announcement, made on September 14, stresses the importance of timely submission and payment of Corporate Tax Payable, in order to avoid the imposition of late payment penalties and non-compliance fines.
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The authority emphasised that meeting statutory deadlines is a key pillar of the UAE’s evolving corporate tax framework, which is designed to enhance transparency, promote compliance, and ensure a fair tax environment across sectors.
Nine-month filing window: Who must comply
According to a report by the Emirates News Agency (WAM), the FTA stated that all Taxable Persons subject to Corporate Tax, as well as Exempt Persons who are required to register, must submit their tax obligations within a specific window: no later than nine (9) months from the end of their relevant Tax Period.
For Exempt Persons, the same nine-month rule applies but is calculated from the end of their financial year. This requirement also includes the submission of annual declarations in cases where Tax Returns are not mandated.
The authority’s clarification is aimed at reinforcing the responsibilities of both taxable and exempt entities under the newly introduced Corporate Tax regime, underscoring that awareness of filing deadlines is essential for compliance.
Penalties for delays: Dhs500 to Dhs1,000 per month
To discourage non-compliance, the FTA detailed the financial penalties that will be imposed on businesses failing to file or pay on time. The penalties are structured as follows:
- Dhs500 for each month or part thereof for the first 12 months of delay
- Dhs1,000 for each subsequent month or part thereof starting from the 13th month
These penalties apply independently to both the submission of the Tax Return and the settlement of Corporate Tax Payable, making timely action critical for businesses of all sizes.
Who can file: Flexibility with responsibility
The FTA has also clarified that Tax Returns can be filed either directly by the Taxable Person or through an authorised representative, which may include a registered tax agent or legal representative. This flexibility is intended to help businesses choose filing options that best suit their operational needs.
However, the authority cautioned that inaccurate information, failure to fulfil administrative requirements, or violations of the filing process may result in additional penalties under the Tax Procedures Law and the Corporate Tax Law.
EmaraTax platform: 24/7 digital filing access
Central to the FTA’s strategy for boosting compliance is the EmaraTax digital tax services platform, which plays a vital role in enabling businesses to manage their tax obligations efficiently. The platform is a key component of the authority’s broader digital transformation initiative, aimed at improving the taxpayer experience and promoting voluntary compliance.
The EmaraTax platform supports a wide range of functions, including:
- Corporate Tax registration
- Filing of Tax Returns
- Payment of Corporate Tax Payable
- Access to other tax-related services
Available 24/7, the platform is continuously updated to ensure that users have a transparent, reliable, and user-friendly interface for all their tax procedures.
Nationwide awareness campaigns and stakeholder engagement
To further strengthen compliance, the FTA has rolled out multiple awareness campaigns across the country. These initiatives aim to educate taxable persons about key aspects of the Corporate Tax system, including:
- How to register for Corporate Tax
- Steps to file Tax Returns
- Procedures to settle Corporate Tax Payable
In addition to educational efforts, the FTA continues to engage directly with businesses to gather feedback, understand practical challenges, and identify solutions. This dialogue helps ensure that implementation of the Corporate Tax Law proceeds smoothly, without causing business disruption.
Stay informed: All resources available online
The FTA concluded by urging all stakeholders to thoroughly review the full body of legislation related to Corporate Tax. This includes the Corporate Tax Law, as well as Cabinet Decisions, Ministerial Decisions, FTA Decisions, public clarifications, and various guides and awareness materials.
These resources are all publicly accessible via the FTA’s official website.
