UAE CORPORATE TAX REGISTRATION: DEADLINES ANNOUNCED!

Introduction to UAE Corporate Tax Registration Deadlines

2024 witnessed the entry into force of the UAE Corporate Tax. The UAE Corporate Tax registration deadlines were unknown, till now. The Federal Tax Authority (FTA) has established specific timeframes for Taxable Persons liable to Corporate Tax to apply for registration with the FTA, thus ensuring compliance with tax regulations.

These timeframes were delineated in a recent Decision issued by the FTA concerning the deadlines for registration under Federal Decree-Law No. 47 of 2022 on the Taxation of Corporations and Businesses and its subsequent amendments, which became effective in June of the preceding year and is applicable to Tax Periods starting on or after 1 June 2023.

Commencing from 1 March 2024, the new FTA Decision delineates the timeframes for applying to register for Corporate Tax, which are applicable to both juridical persons and natural persons, whether they are Resident Persons or Non-Resident Persons.

The Deadlines

The Decision stipulates that a juridical person categorized as a Resident Person, incorporated, established, or otherwise recognized before 1 March 2024, must submit their application for Corporate Tax registration within specific timeframes based on the month of their License Issuance, as follows:

• For licenses issued in January or February, irrespective of the year, the deadline is May 31, 2024.
• For licenses issued in March or April, the deadline is June 30, 2024.
• For licenses issued in May, the deadline is July 31, 2024.
• For licenses issued in June, the deadline is August 31, 2024.
• For licenses issued in July, the deadline is September 30, 2024.
• For licenses issued in August or September, the deadline is October 31, 2024.
• For licenses issued in October or November, the deadline is November 30, 2024.
• For licenses issued in December, the deadline is December 31, 2024.

Furthermore, if a juridical person lacks a license by the effective date of the Decision on 1 March 2024, they must apply for registration within three months, i.e., by 31 May 2024. In the case of multiple licenses, the deadline for registration is determined based on the prior issued license to establish the maximum timeframe for submission.

Consequences of Failing to Register

Penalties will be levied on Taxable Persons failing to submit Corporate Tax registration applications within the specified timeframes, as per Cabinet Decision No. 75 of 2023 on Administrative Penalties related to Federal Decree-Law No. 47 of 2022 on the Taxation of Corporations and Businesses and its amendments.

In an effort to enhance awareness of Corporate Tax obligations among business sectors, the FTA will conduct a series of webinars on the new Decision. These sessions aim to educate taxable persons and other concerned parties on registration requirements for each taxable person category ahead of the specified deadlines.

Additional Aspects Addressed

The recent FTA’s decision also addresses Resident and Unresident Persons together with Natural Persons.

For Resident Persons incorporated, established, or recognized under UAE laws on or after 1 March 2024, the obligation to apply for Corporate Tax registration arises within three months from the date of incorporation, establishment, or recognition.

Additionally, the Decision outlines registration requirements for Resident Persons incorporated, established, or recognized under the laws of another country or foreign jurisdiction and effectively managed and controlled in the UAE on or after 1 March 2024. They must apply for Corporate Tax registration within three months from the end of their Financial Year.

Regarding Non-Resident Persons, those with a Permanent Establishment in the UAE before 1 March 2024 must apply for Corporate Tax registration within nine months from the establishment date, while those with a nexus in the country must register by 31 May 2024. For Non-Resident Persons with a Permanent Establishment on or after 1 March 2024, registration is required within six months of establishment, and those with a nexus must register within three months of establishing it in the UAE.

The Decision also addresses registration obligations for natural persons. Resident Persons conducting Business or Business Activities in the calendar year 2024 must register for Corporate Tax by 31 March of the following year if they surpass the Turnover threshold specified in the tax legislation. For Non-Resident Persons conducting Business or Business Activities in 2024 and subsequent years, registration must occur within three months from fulfilling the conditions to be a Taxable Person.

Conclusion to UAE Corporate Tax Registration Deadlines

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We hope this publication will help you understand the UAE Corporate tax registration deadlines and remain available for any questions regarding this post of general application.

For more information published in English you can visit all our publications at this link as well as the videos in English of our Partner Maria Rubert.

*The information on this page is not intended to be legal advice. This article is intended to provide an initial introduction to the UAE Corporate Tax Registration Deadlines.