The UAE has long been a business hub offering tax-free incentives to entrepreneurs. However, with the introduction of corporate tax in June 2023, companies now need to align with the Federal Tax Authority (FTA) requirements to ensure compliance.

If you’re running a business in Dubai or anywhere in the UAE, corporate tax registration isn’t just a formality it’s a legal necessity. This complete guide by Biz Launch will help you understand every aspect of corporate tax registration, from eligibility and documentation to compliance and expert support.

Understanding Corporate Tax in the UAE

What is Corporate Tax?

Corporate tax is a direct tax imposed on the net income or profit of corporations and other businesses. In the UAE, it is regulated by the Federal Decree-Law No. 47 of 2022 on the Taxation of Corporations and Businesses.

When Was It Introduced?

The UAE officially implemented corporate tax on June 1, 2023, marking a major shift in its fiscal framework.

Why Was It Introduced?

The introduction aims to align the UAE with global tax standards, enhance economic transparency, and reduce reliance on oil-based revenue.

Who Needs to Register for Corporate Tax

Mandatory Registration

Businesses operating in the UAE that earn taxable income exceeding AED 375,000 must register with the FTA.

Exempt Entities

• Government entities
• Extractive and non-extractive natural resource businesses
• Charitable organizations (if approved)
• Certain pension or investment funds

Free Zone Companies

Free zone businesses can still enjoy 0% corporate tax if they meet specific qualifying criteria, such as conducting business exclusively within the free zone or with international clients.

Corporate Tax Rates in the UAE

• 0% on taxable income up to AED 375,000
• 9% on taxable income above AED 375,000
• 0% for qualifying free zone entities

Small businesses earning below AED 3 million annually can benefit from Small Business Relief.

When to Register for Corporate Tax

Every business must register before the deadline provided by the FTA. Delays in registration can lead to penalties up to AED 10,000.

Typically, registration timelines depend on your license issuance or renewal date, so it’s best to act early.

Documents Required for Corporate Tax Registration

Essential Documents

• Trade License copy
• Emirates ID and Passport copies of owners/shareholders
• Memorandum of Association (MOA)
• Company contact details
• Financial statements (if applicable)

For Free Zone Entities

• Lease agreement copy
• Free zone certificate
• Details of qualifying activities

Step-by-Step Process of Corporate Tax Registration

Step 1: Access the FTA Portal

Visit https://tax.gov.ae and navigate to “Corporate Tax Registration.”

Step 2: Create an FTA Account

Register using your email ID and company information.

Step 3: Submit the Application

Upload your documents and fill out the required fields accurately.

Step 4: Get Your TRN

Once approved, you’ll receive your Tax Registration Number (TRN) via email.

Corporate Tax Registration for Free Zone Companies

Free zone companies must ensure:

• Income is derived from qualifying activities.
• No dealings with mainland entities (unless permitted).
• Adequate accounting segregation from non-qualifying income.

Failing to comply may result in losing 0% tax benefits.

Corporate Tax Compliance Requirements

Businesses must:

• Maintain accurate financial records for 7 years.
• Submit annual corporate tax returns.
• Use IFRS accounting standards for reporting.

Corporate Tax Deadlines and Filing Process

Corporate tax returns must be filed within 9 months from the end of the financial year.
Example:
If your financial year ends on December 31, 2024, your filing deadline is September 30, 2025.

How to Calculate Corporate Tax in the UAE

1. Calculate your net profit based on audited financial statements.
2. Deduct allowable expenses such as rent, salaries, and utilities.
3. Apply the 9% rate on taxable income above AED 375,000.

Corporate Tax Exemptions and Reliefs

Exempt Entities

Government and public entities, and approved charities.

Small Business Relief

Businesses with revenue under AED 3 million enjoy 0% tax.

Group Relief

Parent and subsidiary companies can offset intra-group losses.

Penalties for Non-Compliance

• AED 10,000 for late registration
• AED 5,000–20,000 for inaccurate returns
• Suspension or fines for repeat violations

How Biz Launch Can Help

At Biz Launch, we simplify the complex process of corporate tax registration in the UAE.
Our experts handle:

• Documentation and FTA registration
• Compliance audits
• Tax filing and advisory

📍 Visit us: Office No. 12, 3rd Floor, Adidas Building, BurJuman, Dubai, UAE
📞 Call: +971 543671516 | +971 556493928
📧 Email: info@bizlaunch.ae

Let us help your business stay compliant stress-free.

Conclusion

Corporate tax registration in the UAE may seem challenging, but with the right guidance, it’s straightforward. Registering on time not only ensures compliance but also strengthens your company’s credibility. Partner with Biz Launch for expert tax registration and advisory services tailored to your business needs.

FAQs

1. Who must register for corporate tax in the UAE?
All businesses with taxable income exceeding AED 375,000 must register with the FTA.

2. How long does corporate tax registration take?
Typically, the process takes 5–10 working days once all documents are submitted.

3. What happens if I don’t register on time?
Late registration may result in an AED 10,000 penalty.

4. Are free zone companies required to register?
Yes, even qualifying free zone companies must register to maintain their 0% tax benefits.

5. Can Biz Launch assist with ongoing corporate tax filing?
Absolutely! Biz Launch offers full-service corporate tax registration, filing, and compliance support.t type.