Federal Tax Authority update on Corporate Tax
Residents with licences issued in May (regardless of the year of issuance) are urged to register for Corporate Tax by 31 July 2024. Based on the timeline specified in Federal Tax Authority Decision No. 3 of 2024 regarding registration of taxable persons for corporate tax purposes of Federal Decree-Law No. The Taxation of Corporations and Businesses Act of 2022 and its amendments took effect on 1 March 2024.
Taxpayers should comply with the registration deadlines specified in each category, the FTA stressed. The deadlines were previously announced through a variety of official media channels, including print, visual, and audio media, as well as the FTA's official social media channels and direct outreach through the official database of company owners in the UAE. In order to avoid the applicable Administrative Penalties, compliance with these deadlines is essential.
According to the FTA, both juridical and natural persons, including Resident Persons and Non-Resident Persons, must submit registration applications by the deadlines. Persons of all categories can view these specific deadlines, decisions, public clarifications, and other pertinent issuances on the FTA's official website: https://tax.gov.ae/en/media.centre/news.
Any Resident Juridical Person incorporated or otherwise established or recognized before 1 March 2024 must submit their corporate tax registration applications based on the month their licence was issued, according to the FTA’s Public Clarification regarding the Registration Timelines for Taxable Persons for Corporate Tax.
Legal persons with expired licences on 1 March 2024 must submit their tax registration application based on the month the licence was issued. The Licence with the earliest issuance date shall be used if a juridical person holds more than one Licence on 1 March 2024.
Taxable Persons must use the "EmaraTax" digital tax services platform to facilitate application, submission, and registration. Using this platform, unregistered persons can create a new user profile and obtain a tax registration number easily and conveniently via their email address and phone number. In addition, accredited tax agents listed on the FTA's website and government service centers throughout the UAE offer direct service.
FTA has also stressed the importance of providing accurate information and submitting updated supporting documents with the electronic registration application, pointing out that registering for Corporate Tax for a juridical person requires uploading various documents, including the commercial licence, Emirates ID cards, passports, and proofs of authorisation.
According to the FTA's website, a video explaining the registration process through the "EmaraTax" platform is available on the website. It was designed in accordance with international best practices to simplify the registration process, the submission of periodic returns, and the payment of taxes for all tax payers in the quickest and easiest possible manner.
Contact Zyla Accountants for supporting in getting your business registered today.