Corporate Tax Services

OVERVIEW

Corporate Tax in UAE

The Federal Tax Authority has issued the Federal Decree-Law No. 47 of 2022, “Taxation of Corporations and Business” on 9 December 2022, which is applicable to Businesses from the Tax Period / Financial Year commencing on or after 1 June 2023.

Although the UAE CT Law has been issued, there are still areas that may require further clarification from the Ministry of Finance / Federal Tax Authority and are expected to be released in due course.

Accutax Consultancy being local tax advisory firm and authorised by the Federal Tax Authority will assist you in assessing, analysing and implementing the Corporate Tax with their experienced professionals.

tax-and-legal-services_011

CORPORATE TAX SERVICES

Here are the Corporate Tax related services offered by us:

Asset 18xxxhdpi

Corporate Tax Impact Assessment

A corporate tax impact assessment involves evaluating the financial implications of tax laws,
regulations, and policies on a business or corporate entity. This assessment is essential for understanding how changes in tax legislation or the entity's financial decisions will affect its tax liability, profitability, and overall financial health. For more information,

CONTACT OUR CONSULTANT TODAY
Asset 20xxxhdpi

Corporate Tax Registration

Every company incorporated in the UAE needs to register for the Corporate Tax i.e., free zones, small & medium sized businesses, or large corporations. Regardless of if they will have to pay the tax or not, it is mandatory to register for Corporate Tax and acquire your Tax Registration Number (TRN).

CONTACT OUR CONSULTANT TODAY
Asset 19xxxhdpi

Corporate Tax Return

Every registered person needs to file the corporate tax returns within 9 months from the end of the relevant tax period. For more information

CONTACT OUR CONSULTANT TODAY
Asset 18xxxhdpi

Corporate Tax Advisory

Accutax Consultancy will provide you personalized advisory according to your business from pre implementation phase to post implementation phase. For more information

CONTACT OUR CONSULTANT TODAY
Asset 20xxxhdpi

Transfer Pricing

Accutax Consultancy will conduct transfer pricing study for all the related party/connected person
transaction and will assist you in preparing transfer pricing documentation. For more information

CONTACT OUR CONSULTANT TODAY
Asset 19xxxhdpi

Free Zone Entities

As per the Corporate Tax Law, Free zone entities satisfying the conditions for Qualified Free Zone are benefited with zero tax rate. Accutax consultancy assist you in whether your activities are qualified activities if transaction is with non free zone entities, whether activities are covered under excluded activities if transaction is with free zone entities, calculating de minimis requirement etc. For more information,

CONTACT OUR CONSULTANT TODAY

FAQ

Frequently Asked Questions

Resident Person Non Resident Person
✓ A juridical person that is incorporated or established or recognised under the applicable legislation of the UAE, including a Free Zone Person. ✓ Has a Permanent Establishment in the State.
✓ Incorporated in foreign jurisdiction that is effectively managed and controlled in the UAE. ✓ Derives State Sourced Income.
✓ A natural person who conducts a Business or Business Activity in the UAE. ✓ Has a nexus in the State.

Type of Entity Income Tax Rate
Qualified Free Zone Entity Qualified Income 0%
Non-qualified Income 9%
Other Than Qualified Free Zone Entity Income Exceeding AED 375,000 9%

No. Individual having business revenue more than AED 1 million in Gregorian calendar year needs to register for corporate tax.

Yes. Entities having Revenue below AED 3 million may opt for Small Business Relief with certain conditions.

No. Some incomes which are exempt from Corporate Tax, such as Dividend from Resident Juridical Person.

No. Some persons are considered exempt from Corporate Tax such as Government entity, Government controlled entity, Person engaged in an Extractive Business, Person engaged in a Non-Extractive Natural Resource Business etc.

No. There are some expenses which are partially allowed and some are fully disallowed while calculating taxable Income.

Yes. Relief related to qualifying group and Business Restructuring

No. It is capped at Maximum of 30% of EBITDA or AED 12 million.

Yes. All the transaction with related party and connected persons should be at arm’s length price.

Yes. Tax loss can be carried forward to subsequent tax periods, subject to certain conditions.

Yes. They can be transferred to other resident juridical person, subject to certain conditions.

Yes. Under CT also, there is tax group provision. Whereas it is different from VAT Tax group.

Yes. It requires certain elections that can be made without approval of FTA, while some provisions require mandatory approval from the FTA.

Yes. The FTA notified penalties for non compliance like late registration penalty is AED 10,000, late return filing penalty starts from AED 500 per month.

Yes. Documents needs to be retained for 7 years.

Yes. Foreign Tax credit is allowed under CT Law, subject to availability of documents and certain conditions.

Due date for filing Corporate Tax return is 9 month from the end of the Tax Period.

Yes. Currently, it is 0%.

Yes. A constituent entity of Multinational group having consolidated revenue of AED 3.15 billion or more; or total revenue of the taxable person is AED 200 million or more.

No. 1) Taxable person deriving revenue exceeding AED 50 million and 2) Qualified free zone person required to maintain audited financial statements.

Yes. As per CT law, a taxable person shall apply the International Financial Reporting Standards (IFRS).

Yes. A person who derives revenue that does not exceed AED 3 million may use Cash Basis of Accounting.

Your Trusted Local Partner
For Legal & Tax Consulting

We are your local business partner for all your legal, financial, taxation, customs, and auditing needs in the UAE, GCC, and the Middle East region. Get in touch with our experts to know how we can help.

 
Succeed Today

WE ARE ACCUTAX

A Leading Emirati Tax Consulting & Accounting Firm

We are ACCUTAX, an Emirati tax consulting & accounting firm established in the UAE to serve clients throughout the GCC. Our highly skilled and qualified consultants will guide you with all of your tax requirements for VAT.

We are your local business partner in all of your Accounting, Reporting Projects, and VAT in the UAE. Our GCC and the Middle East wide tax experience in policy, procedures, and implementation is the expertise you need for the changing business environment in this region.

Founded before the implementation of Excise Tax and VAT in the UAE, ACCUTAX was established to support businesses and create a compliant and strategic foundation for the impact of new VAT legislation published by the Federal Tax Authority in 2017. Together, our aim is to define your Accounting and Taxa􀀁on Strategies, Procedures, and Processes, to ensure your organizaton upholds a high standard of Tax compliance and financial efficiency.  

Resident Person Non Resident Person
✓ A juridical person that is incorporated or established or recognised under the applicable legislation of the UAE, including a Free Zone Person. ✓ Has a Permanent Establishment in the State.
✓ Incorporated in foreign jurisdiction that is effectively managed and controlled in the UAE. ✓ Derives State Sourced Income.
✓ A natural person who conducts a Business or Business Activity in the UAE. ✓ Has a nexus in the State.

Type of Entity Income Tax Rate
Qualified Free Zone Entity Qualified Income 0%
Non-qualified Income 9%
Other Than Qualified Free Zone Entity Income Exceeding AED 375,000 9%

No. Individual having business revenue more than AED 1 million in Gregorian calendar year needs to register for corporate tax.

Yes. Entities having Revenue below AED 3 million may opt for Small Business Relief with certain conditions.

No. Some incomes which are exempt from Corporate Tax, such as Dividend from Resident Juridical Person.

No. Some persons are considered exempt from Corporate Tax such as Government entity, Government controlled entity, Person engaged in an Extractive Business, Person engaged in a Non-Extractive Natural Resource Business etc.

No. There are some expenses which are partially allowed and some are fully disallowed while calculating taxable Income.

Yes. Relief related to qualifying group and Business Restructuring

No. It is capped at Maximum of 30% of EBITDA or AED 12 million.

Yes. All the transaction with related party and connected persons should be at arm’s length price.

Yes. Tax loss can be carried forward to subsequent tax periods, subject to certain conditions.

Yes. They can be transferred to other resident juridical person, subject to certain conditions.

Yes. Under CT also, there is tax group provision. Whereas it is different from VAT Tax group.

Yes. It requires certain elections that can be made without approval of FTA, while some provisions require mandatory approval from the FTA.

Yes. The FTA notified penalties for non compliance like late registration penalty is AED 10,000, late return filing penalty starts from AED 500 per month.

Yes. Documents needs to be retained for 7 years.

Yes. Foreign Tax credit is allowed under CT Law, subject to availability of documents and certain conditions.

Due date for filing Corporate Tax return is 9 month from the end of the Tax Period.

Yes. Currently, it is 0%.

Yes. A constituent entity of Multinational group having consolidated revenue of AED 3.15 billion or more; or total revenue of the taxable person is AED 200 million or more.

No. 1) Taxable person deriving revenue exceeding AED 50 million and 2) Qualified free zone person required to maintain audited financial statements.

Yes. As per CT law, a taxable person shall apply the International Financial Reporting Standards (IFRS).

Yes. A person who derives revenue that does not exceed AED 3 million may use Cash Basis of Accounting.

Founded before the implementation of Excise Tax and VAT in the UAE, ACCUTAX was established to support businesses and create a compliant and strategic foundation for the impact of new VAT legislation published by the Federal Tax Authority in 2017.

 

Together, our aim is to define your Accounting and Taxation Strategies, Procedures, and Processes, to ensure your organization upholds a high standard of Tax compliance and financial efficiency. Whether this entails amending your corporate strategies structures, such as merging, demerging or diversifying your functions, our experts will work with you to ensure your organization is running most efficiently.

 

During the assessment phase, our team not only analyses your Taxable Income and Expenses, but all of your Finances, Accounts and Accounting processes. Our team of analysts examine the impact on your organizational as a whole including the IT, HR, Marketing, Sales and logistics departments.

ACCUTAXs’ Senior Policy Experts assist our clients with all their legal, penal, and litigation issues with the Federal Tax Authority in the UAE. We are your representative throughout the proceedings with the FTA, from the stages of pre-audit, post audit, reconsideration, and all the way to the Ministry of Justice courts through our partnerships with renowned law firms.

 

In order for complete Tax Compliance to be reached, ACCUTAX is focused on optimizing Accounting standards for all our clients. We offer a full range of outsourced accounting packages, Audits, and Financial Reporting. With a sound foundation of Accounting and specifically Tax Accounting standards as per VAT in the UAE legislations, ACCUTAX can further ensure the compliance ad efficiency of your organization.

 

Get in touch with our experts to know how we can help you simplify tax management and improve financial efficiency.