Guide to Corporate Tax Return Filing in the UAE
23 Jan 2025

UAE is consistently working on enhancing its tax structure and businesses are required to comply with the corporate tax regulations. Filing a corporate tax return seems like a difficult task as it requires to follow a procedure defined by FTA. But with right guidance and professional understanding about the regulations corporate tax return filing in UAE become easier. We as a professional accounting and auditing firm has compiled step by step guide to corporate tax return filing.

Understand Corporate Tax Regulations in the UAE

The first and foremost step is to understand the corporate tax laws and regulations defined by Federal Tax Authority (FTA) in UAE:

  • Businesses having taxable income above AED 375,000 must pay corporate tax.
  • The standard tax rate is 9%, with specific exemptions for certain sectors such as free zone companies meeting regulatory requirements.
  • The standard rate of 9% tax is applicable for the businesses having taxable income above AED 375,000. There are few exceptions for specific sectors such as companies register in free zone only if they meet regulatory conditions.
  • All the businesses in UAE must follow International Financial Reporting Standards (IFRS) for financial reporting.

Register for Corporate Tax

All the businesses in UAE must register for corporate tax. To register:

  1. Log in to the FTA e-services portal (Emaratax).
  2. Fill in the corporate tax registration form, providing details such as:
    • Trade license information
    • Owner’s details
    • Financial records
  3. Once you submit the form a Tax Registration Number (TRN) will issued for your business.

Maintain Accurate Financial Records

Bookkeeping is a crucial to maintain accurate and structured financial record. A well maintain financial record is the foundation for accurate tax filling process.

  • Income statements
  • Balance sheets
  • Tax invoices
  • Expense records

As per the UAE laws it is mandatory to maintain your financial record for minimum five years.

Determine Your Taxable Income

You need to calculate your taxable income after deducting allowable expenses from the revenue. Business must ensure compliance based on the following:

  • Only legitimate business expenses can be deducted.
  • Non-deductible items include fines, penalties, and personal expenses.
  • Cross-check calculations with IFRS guidelines.

Prepare Your Corporate Tax Return

Compile your corporate tax return by using FTA’s defined forms and include the below details:

  • Gross revenue and income breakdown
  • Allowable deductions
  • Taxable income
  • Calculated tax liability

If you have hired a professional accounting firm, they can help you with the corporate tax return filing.

Guide to Corporate Tax Return Filing in UAE 2025-Infographics

File Your Tax Return Online

An important step is to file your tax return using FTA’s service portal. Follow the below steps:

  1. Log in with your TRN.
  2. Upload the tax return form (make sure it has all the required information) and any required supporting documents.
  3. Review the submission for accuracy.
  4. Pay the calculated tax liability using one of the accepted payment methods.

Monitor Deadlines

Stay aware of key filing deadlines to avoid penalties:

  • Corporate tax returns are generally due within 9 months from the end of the financial year.
  • Late submissions or payments may result in fines or additional interest charges.

Prepare for Potential Audits

The FTA may conduct audits to ensure compliance. Be prepared by:

  • Keeping detailed and organized financial records.
  • Responding promptly to FTA queries.
  • Consulting a tax professional for audit support if needed.

Seek Professional Assistance

Navigating corporate tax regulations can be complex. Consider outsourcing to a qualified accounting or tax consultancy firm for:

  • Tax planning and optimization
  • Accurate tax return preparation
  • Ongoing compliance support

How Alpha Auditing Help Businesses with Corporate Tax Return Filing?

If you follow this guide to Corporate Tax Return Filing in UAE or hire professional accounting and auditing firm. Most of the professional accounting firms are well versed in UAE tax laws. They help businesses to maintain their financial records efficiently which is essential to file accurate tax returns. Moreover, they ensure that you file your tax returns on time to avoid corporate tax fines and penalties. If you are concerned about your corporate tax return filing, get in touch with Alpha Auditing.