Corporate tax registration in the UAE

Who has to register for corporate tax in the UAE?

Every juridical person subject to corporate tax must register with the FTA and obtain a Tax Registration Number. That is the rule in Article 51 of the law and in FTA Decision No. 3 of 2024.

The FTA states that taxpayers must register for corporate tax even if they are already registered for VAT.

An individual must register only if annual business revenue exceeds AED 1 million. Salary, private investment income and real estate investment income are excluded from that test.

When is the corporate tax registration deadline?

A company incorporated on or after 1 March 2024 must apply within three months of incorporation. FTA Decision No. 3 of 2024, which sets the deadlines, took effect on 1 March 2024.

Corporate tax registration is free. The FTA's stated processing time is 20 business days from a completed application.

What is the penalty for late corporate tax registration?

The administrative penalty for late corporate tax registration is AED 10,000.

The FTA waives the penalty if the first tax return or annual declaration is filed within seven months from the end of the first tax period. Penalties already paid are refunded if the conditions are met. The FTA announced the waiver on 7 May 2025.

What are the UAE corporate tax rates?

The rate is 0% on taxable income up to and including AED 375,000, and 9% above it. The threshold was set by Cabinet Decision No. 116 of 2022.

A free zone company does not pay 0% on everything. A Qualifying Free Zone Person pays 0% on qualifying income and 9% on taxable income that is not qualifying income.

What is Small Business Relief, and how long does it run?

Small Business Relief lets a resident taxable person with revenue of AED 3,000,000 or less, in the current and all previous tax periods, elect to be treated as having no taxable income.

The relief now applies to tax periods ending on or before 31 December 2029. The Ministry of Finance announced the extension on 7 August 2026, for tax periods starting on or after 1 June 2023.

• The election must be made for each tax period.
• It is not available to a Qualifying Free Zone Person.
• It is not available to a member of a multinational group with consolidated revenue above AED 3.15 billion.

Good to knowThis page states the rule. Whether to elect the relief is a decision for you and your tax adviser.

When is the corporate tax return due?

The tax return is due no later than nine months from the end of the tax period, under Article 53 of the law.

Taxable persons must keep records for 7 years after the end of the tax period, under Article 56.

Who carries out the corporate tax registration?

Tax, accounting and audit work is carried out by Links' sister firm, LINKS Tax Consultant (linkstaxs.ae). It prepares the application and tells you the cost in writing before you commit.

This page states what the official sources say. It is not tax advice.