Corporate Tax Registration Requirements
Overview
UAE Corporate Tax was introduced under Federal Decree-Law No. 47 of 2022, effective from financial years starting on or after 1 June 2023. It applies a 9% tax rate on business profits above AED 375,000.
Who Must Register?
Mandatory Registration: All UAE-incorporated companies (mainland, free zone, and offshore), foreign entities with a permanent establishment in the UAE, natural persons conducting a business activity in the UAE, and non-resident persons earning UAE-sourced income.
Exemptions (Automatic): Government entities, government-controlled entities, extractive businesses (oil and gas), non-extractive natural resource businesses, public benefit organizations (with FTA approval), investment funds (with conditions).
Registration Process
Step 1: Determine Registration Deadline - Depends on date of incorporation and license issuance. Existing companies based on trade license issuance date. New companies within 3-9 months of incorporation.
Step 2: Create EmaraTax Account - Access the FTA EmaraTax portal. Register with UAE PASS or email. Complete entity profile.
Step 3: Submit Corporate Tax Registration Application - Provide company details (name, license number, address), financial year information, details of directors and authorized signatories. Upload supporting documents (trade license, MOA, etc.).
Step 4: Receive Tax Registration Number (TRN) - FTA issues a 15-digit TRN. TRN must be on all tax invoices and correspondence. TRN is permanent and unique to the entity.
Corporate Tax Rates
- 0% on taxable income up to AED 375,000
- 9% on taxable income above AED 375,000
- 0% for Qualifying Free Zone Persons on qualifying income
- 15% for Multinational enterprises with global revenue > EUR 750M (Pillar Two)
Tax Groups
Parent and subsidiary companies can form a tax group. Must meet 95%+ common ownership threshold. Must be resident persons. Tax group files a single Corporate Tax return.
Free Zone Considerations
Free zone companies must register for Corporate Tax. Qualifying Free Zone Persons (QFZP) may benefit from 0% on qualifying income. Must elect QFZP status. Must maintain adequate substance. Non-qualifying income taxed at 9%.
Record Keeping
Must maintain financial records and books for 7 years. Must support all tax filings. Must be available for FTA audit. Transfer pricing documentation required for related-party transactions.
Corporate Tax Return Filing
Filed annually within 9 months of the end of the financial year. Must be filed even if no tax is due. Filed via EmaraTax portal. Supports electronic payment of tax due.