The Federal Tax Authority has issued a general clarification regarding the deadlines for registering entities subject to corporate tax. This clarification aims to inform taxpayers and stakeholders about updates and developments, promoting transparency and voluntary compliance. It reviews the periods specified in the provisions of Federal Tax Authority Resolution No. (3) of 2024 regarding registration of persons subject to corporate tax under Federal Decree Law No. (47) of 2022 and its amendments.
For individuals, the first possible tax period for any natural person, whether a resident or non-resident, is the calendar year 2024. Income generated before January 1, 2024 will not be subject to corporate tax. The deadline for submitting a tax registration application is May 31, 2025.
The clarification does not amend any legislation but provides specific deadlines for various categories of taxable residents and non-resident persons, including legal and natural persons. It outlines registration requirements for legal persons seeking exemptions under the Corporate Tax Law. The deadlines for exemptions remain unchanged.
Taxable persons must submit registration applications to the Authority by specified deadlines, with an administrative fine of 10,000 dirhams for non-compliance. Examples and analysis are included to help taxpayers understand registration periods. The Authority encourages compliance to avoid fines and ensures that all taxable persons review the general clarification and meet specified deadlines. The specific deadlines vary based on the establishment date and residency status of the entity.
For non-resident persons with a connection in the UAE, the deadline for submitting a tax registration application is within three months of establishing the connection. The general clarification provides detailed guidelines for different scenarios and emphasizes compliance with the specified deadlines.
In summary, this general clarification from the Federal Tax Authority aims to provide clarity on various aspects related to registering entities subject to corporate tax in accordance with UAE laws and regulations. By understanding these specific deadlines and meeting them promptly, individuals can avoid potential fines and ensure they comply with their obligations under federal law while promoting transparency in financial transactions within
