Tax Authority Urges June Licence Holders to Register for Corporate Tax by August 31

The Federal Tax Authority (FTA) has reiterated its call for Resident Juridical Persons with licences issued in June, regardless of the year of issuance, to register for Corporate Tax by August 31, 2024 to avoid administrative penalties.

In a press statement , the FTA emphasised the importance of adhering to the timelines outlined in FTA Decision No. 3 of 2024, which specifies the deadlines for Taxable Persons to register for Corporate Tax under Federal Decree-Law No. 47 of 2022 on the Taxation of Corporations and Businesses, effective from March 1, 2024.

The decision provides a detailed schedule for each category of Taxable Persons to complete their Corporate Tax registration.

The FTA also highlighted that under Cabinet Decision No. 75 of 2023, which governs administrative penalties related to the application of Federal Decree-Law No. 47 of 2022, Taxable Persons who fail to register within the specified timeframes will be subject to penalties.

The FTA clarified that the FTA Decision applies to both Juridical and Natural Persons, whether Resident or Non-Resident.

Specifically, Resident Juridical Persons incorporated or otherwise established before 1 March 2024 must register based on the month their licence was issued, irrespective of the year.

For those holding multiple licences as of 1 March 2024, the deadline is determined by the licence with the earliest issuance date. Even if a Taxable Person’s licence had expired by March 1, 2024, the registration deadline is still based on the original month of issuance.

The FTA noted that Corporate Tax registration is available 24/7 through the EmaraTax digital tax services platform. The streamlined registration process consists of four steps, taking approximately 30 minutes to complete.

VAT or Excise Tax registrants can directly access their accounts via EmaraTax to register for Corporate Tax and submit the necessary documents. Upon approval, a Tax Registration Number for Corporate Tax purposes will be issued.

The FTA urged those yet to register to create a new username on the EmaraTax platform at eservices.tax.gov.ae using their email and mobile number.

Once the account is created, registration can be completed by selecting the ‘Register for Corporate Tax’ option and following the remaining steps.

Taxable Persons can also register through authorised Tax Agents listed on the FTA website or at various government service centres across the country, which offer electronic services in line with government standards.

After application submission and data verification, a team of specialists reviews the application, and the Tax Registration Number is sent directly to the email address provided.

Finally, the FTA encouraged all Taxable Persons to review the Corporate Tax Law, related decisions, and guidelines available on the FTA website: tax.gov.ae.

For any enquiries or information, contact ask@tlr.ae or call us on +971 52 644 3004. Follow The Law Reporters on WhatsApp Channels.