The UAE Federal Tax Authority Releases

15-03-2024 | 06:27 pm | Editor
The new decision regarding specified deadlines for Taxable Persons subject to Corporate Tax to apply for registration was issued by the Federal Tax Authority (FTA) of the UAE. This decision, which takes effect on March 1, 2024, aims to assure conformity with Federal Decree-Law No. 47 of 2022 on the Taxation of Corporations and Businesses, as modified. It has to be followed by both the residents and non-residents of the UAE. 
For Juridical Persons (Residents), the decision of the FTA that was incorporated, created or otherwise recognised before March 1, 2024, are as follows:

• For the taxpayers whose license was issued in January or February, the deadline date to apply for Corporate Tax Registration is May 31, 2024.
• The last date to apply for Corporate Tax Registration is June 30, 2024, for the taxpayers whose license was issued in either March or April.
• It will be on July 31st 2024, for the taxpayers whose license was issued in May. 
• The Corporate Tax Registration deadline for taxpayers whose license issuance was done in June will be August 31, 2024. 
• If the license issuance was done in July, the deadline to apply for Corporate Tax Registration is September 30, 2024.
• For taxpayers, the deadline to apply for Corporate Tax Registration is 31st October 2024, whose license was given in August or September. 
• When the month of issuance is either October or November, the last date to apply for Corporate Tax Registration will be 30th November 2024. 
• The deadline to apply for tax registration is 31st December 2024, if the month of License Issuance is processed in December. 
The decisions made about the timeframes for the Judicial persons (Residents) incorporated on or after March 1st 2024 are mentioned below:
• From the date of establishment, incorporation or recognition, the taxpayers must apply within three months. 
For the Judicial Persons (Non-Resident) with a Permanent Establishment prior to March 1st 2024, then the taxpayers must apply within nine months from the date of the existence of Permanent Establishment.

The individual has to apply by May 31st, 2024, if they are a Juridical Person (Non-Resident) with a Nexus in the UAE.
The application for Corporate Tax Registration should be completed within three months of establishing a nexus or six months of establishing a Permanent Establishment. 

Apart from that, if the Turnover threshold is exceeded, it is mandatory for the Natural Persons (Resident and Non-Resident) to apply by March 31st of the following year.

As indicated in the Cabinet Decision Non.75 of 2023, the taxpayers will be imposed administrative penalties, if they are found unable to comply with these deadlines. In addition to that, the Federal Tax Authority is also planning to host webinars to give awareness about Corporate Tax registration procedures for each category to taxable individuals. 

Moreover, by making use of the Emara Tax Digitsl tax services platform, the Corporate Tax Registrations can be done by Existing VAT or Excise Tax registrants at any time of the day, as per the sources from FTA. They claim that the entire process can be finished within 30 minutes. However, the new users must register their profiles through the e-Services portal of the Federal Tax Authority.

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