UAE Corporate 

Tax Registration

 

Corporate tax is a form of direct tax levied on the net income or profit of corporations and other entities from their business. Corporate tax is governed by Federal Decree-Law No.60 of 2023 (PDF, 187 KB) Amending Certain Provisions of the Federal Decree-Law No. 47 of 2022 on the Taxation of Corporations and Businesses. 

 

Businesses will become subject to UAE Corporate Tax from the beginning of their first financial year that starts on or after 1 June 2023.

• Corporate Tax Audit

• Corporate Tax Return filing

UAE Value Added Tax - VAT

 

Value-added Added Tax or VAT is a tax on the consumption or use of goods and services. A VAT of 5 per cent is levied at the point of sale. Businesses collect and account for the tax on behalf of the government.

 

Criteria for registering for VAT

It is mandatory for businesses to register for VAT in the following two cases:If the taxable supplies and imports of a UAE-based business exceed AED 375,000 per annum

 

Common VAT Fines and Penalties

Late VAT Registration:

Fine: AED 10,000

Late VAT De-registration:

Fine: AED 1,000 plus AED 1,000 monthly (up to AED 10,000)

Late VAT Return Filing:

First Offense: AED 1,000

Repetition within 24 months: AED 2,000

Late VAT Payment:

Fine: 2% of unpaid tax immediately

Incorrect Tax Return Submission:

First Offense: AED 1,000

Repetition: AED 2,000

 

• VAT Consultation

• VAT Tax Return filing

• VAT Deregistration

• VAT Refund

Bookkeeping and Accounting Services

 

Accounting services encompass a range of financial and bookkeeping tasks. These services include managing financial records, preparing financial statements, handling payroll, tax compliance, and providing financial advice to businesses. Whether you need assistance with basic bookkeeping or complex financial analysis, professional accounting services can help streamline your financial processes.

 

The Federal Tax Authority (FTA) in the UAE has specific conditions regarding the maintenance of books of accounts. Here are the key requirements:

Retention Period: Businesses must retain their books of accounts and related records for a minimum of 5 years after the end of the tax period to which they relate.

Types of Records: The records that need to be maintained include:

• Annual accounts
• Purchase books
• General ledgers
• Invoices (both sales and purchase)
• Credit notes and debit notes
• Bank statements
• Payroll records
• Inventory records

Compliance with Standards: The financial records must comply with the International Financial Reporting Standards (IFRS) or IFRS for SMEs, if applicable.

Accessibility: The records must be kept in such a manner that they are easily accessible and can be produced to the FTA upon request.

Penalties for Non-Compliance: Failure to maintain proper records can result in administrative penalties.

Maintaining accurate and comprehensive records is crucial for compliance with UAE regulations and for the smooth operation of your business

 

• Preparing Financial Statement

• Auditing

New Business setup

 

UAE Business Registration

UAE Free-zone or Mainland Company with residence visa, employment card and bank account opening.

• Mainland Business registration

• Freezone Business registration