Tax Registration Services UAE
Streamline your business operations in Dubai with our comprehensive PRO services.
Corporate Tax in UAE
Navigating the complexities of tax regulations in the United Arab Emirates (UAE) is crucial for businesses aiming to maintain compliance and optimize their financial strategies.
At ebfs.ae, we specialize in providing comprehensive Tax Registration Services in the UAE, ensuring your business adheres to all regulatory requirements while leveraging available benefits.
Understanding the UAE Tax Landscape
No personal income tax – earn tax-free.
Corporate tax (since 2023): 9% on income above AED 375,000.
Small Business Relief: SMEs earning under AED 3 million are tax-exempt until 2026.
5% VAT applies if annual revenue exceeds AED 375,000.
Free Zones offer full foreign ownership and easy setup.
Key PRO Services Offered by EFBS
Visa & Immigration
Efficient processing of employment and residency visas, ensuring compliance with immigration laws.
Document Processing
Accurate notarization, attestation, and translation of documents, facilitating smooth interactions with government entities.
Business Licensing
Assistance with obtaining and renewing business licenses, connecting your business seamlessly with local and global markets.
Labor & Employment
Management of labor contracts and adherence to UAE labor laws, ensuring smooth employer-employee relationships.
Corporate Secretarial
Organization of board meetings, maintenance of shareholder records, and handling of annual reporting and filings.
Banking & Finance
Support in opening corporate bank accounts and processing necessary financial documentation.
Company Setup
Comprehensive assistance in establishing new businesses, guiding you through each step of the process.
Government Liaison
Effective management of communications and document submissions to various government departments.
Labor & Immigration Law
Ensure complete adherence to UAE labor and immigration laws.
Applicable Rate of UAE Corporate Tax
The applicable UAE Corporate Tax rates, as announced by the Ministry of Finance, are structured to support business growth while ensuring fair taxation:
- 0% Corporate Tax for taxable income up to AED 375,000.
- 9% Corporate Tax applies to taxable income exceeding AED 375,000.
- Special Tax Rate applies to large multinational corporations meeting the OECD Pillar Two criteria (global revenues exceeding AED 3.15 billion), aligning with international minimum tax standards.
At ebfs.ae, we assist businesses in accurately determining their tax obligations and ensuring compliance with these regulations.
Who is required to register for corporate tax in the UAE?
All businesses operating in the UAE, except for those engaged in natural resource extraction and qualifying for exemptions, must register for corporate tax. Free zone companies may also need to comply based on their business activities.
When do businesses need to file their corporate tax returns?
Corporate tax returns must be filed annually with the Federal Tax Authority (FTA). The exact deadline depends on the business’s financial year-end, typically within 9 months after the end of the relevant tax period.
Are small businesses exempt from UAE corporate tax?
Yes, small businesses with annual revenue below AED 3 million can benefit from the Small Business Relief scheme, exempting them from corporate tax until the end of 2026.
UAE Corporate Tax Registration
Ensuring timely and accurate registration for corporate tax is essential to avoid penalties. The process involves:
Creating an Account on the Federal Tax Authority’s (FTA) Portal. Businesses must register on the FTA’s EmaraTax platform, accessible 24/7. New users need to sign up using their email and phone number, while existing users can log in with their credentials.
Submitting Entity Details, After logging in, businesses must provide accurate information, including trade license details and identification documents of authorized signatories. Ensuring the correctness of these details is vital for a smooth registration process.
Adding Business Activities and Ownership Information, clearly outlining the nature of business activities and ownership structures helps in determining the appropriate tax obligations and any potential exemptions.
Spotlight On The UAE Corporate Tax: Which Entities Are Subject To Tax?
The UAE corporate tax applies to a broad range of businesses operating within the country. However, certain exemptions and conditions apply. Below is a breakdown of entities subject to corporate tax:
- Mainland Companies: All businesses operating in the UAE mainland are subject to corporate tax.
- Free Zone Entities: Companies registered in free zones may be exempt if they meet the Qualifying Free Zone Person (QFZP) criteria, but non-qualifying income is taxable.
- Multinational Corporations: Large companies with global revenues exceeding AED 3.15 billion may be subject to a different tax rate under OECD Pillar Two regulations.
- Branches of Foreign Companies: UAE branches of foreign companies must pay corporate tax on UAE-sourced income unless covered by a double tax treaty.
- Professional Service Providers: Freelancers and self-employed professionals earning more than AED 375,000 annually must register for corporate tax.
- Holding Companies: Entities holding shares in other companies are taxable unless they qualify for specific exemptions.
- Natural Resource Companies: Businesses involved in oil, gas, and natural resource extraction are taxed at the emirate level and are exempt from federal corporate tax
Calculation of Taxable Income
The taxable income of a business in the UAE is determined by adjusting its accounting net profit as per International Financial Reporting Standards (IFRS) and deducting allowable expenses and exemptions.
Formation of Tax Groups
The UAE allows related companies to form a Tax Group, enabling them to consolidate their corporate tax liabilities and streamline compliance. This option is beneficial for businesses with multiple subsidiaries looking to manage their tax obligations efficiently.
EBFs tax consultants in Dubai can help businesses determine whether they qualify to form a tax group and assist them with the necessary documentation and procedures.
Corporate Tax Return Filing
iling and paying corporate tax in the UAE is a crucial responsibility for businesses to remain compliant with the Federal Tax Authority (FTA) regulations. Proper tax return filing ensures accuracy, avoids penalties, and maintains a smooth financial operation.