Corporate Tax (CT) is a direct tax imposed on the net income of businesses and corporations. In some jurisdictions, it is also known as Corporate Income Tax or Business Profits Tax. Corporate tax registration is the process by which businesses formally register with the UAE’s tax authority to comply with corporate tax regulations. This ensures that businesses can:
✔ Fulfill their tax obligations
✔ File tax returns
✔ Pay taxes on their taxable income
Corporate tax in the UAE applies to taxable income at the following rates:
✅ 0% – For taxable income up to AED 375,000
✅ 9% – For taxable income above AED 375,000
✅ 15% – For multinational corporations under OECD Base Erosion and Profit Shifting (BEPS) 2.0 Pillar 2, with global revenues exceeding AED 3.15 billion
The following taxable persons are required to register for corporate tax:
✔ Businesses with taxable profits exceeding AED 375,000
✔ Foreign companies with a UAE branch or permanent establishment
✔ Oil, gas, and petrochemical companies (taxed regardless of profit levels)
✔ Financial institutions (banks, insurance firms, etc.)
✔ Free zone entities (unless they qualify for tax exemptions)
📌 Exemptions: Certain industries, such as healthcare and education, may be exempt from corporate tax.
Required Documents for Corporate Tax Registration
Businesses must submit the following documents online for corporate tax registration:
📌 Valid Trade License
📌 Passport copy of the owner(s)/partners (must not be expired)
📌 Emirates ID of the owner(s)/partners (must not be expired)
📌 Memorandum of Association (MOA) or Power of Attorney (POA)
📌 Contact details of the owner(s) (mobile number & email)
📌 Company contact details (office address & P.O. Box)
Corporate Tax Registration Process
✅ Step 1: Tax Registration
- Obtain a Tax Registration Number (TRN) from the Federal Tax Authority (FTA) by submitting the required documents.
✅ Step 2: Record Keeping
- Maintain accurate records of all financial transactions and tax-related documents in compliance with UAE tax laws.
✅ Step 3: Tax Return Preparation
- Calculate taxable income, considering deductions and exemptions, and prepare the tax return accordingly.
✅ Step 4: Filing the Tax Return
- Submit the corporate tax return through the FTA e-Services platform before the deadline.
✅ Step 5: Tax Payment
- Pay the tax liability as per the filed return before the due date.
✅ Step 6: Tax Audit
- The FTA may conduct audits and request additional documents to verify tax return accuracy.
💡 Need help with tax compliance? Our experts can assist with corporate tax calculation, registration, and filing.
Corporate Tax Exemptions
🚫 Exempt entities under UAE Tax Law include:
✔ Government entities
✔ Government-controlled entities
✔ Extractive businesses (oil, gas, and natural resource businesses)
✔ Non-extractive natural resource businesses
✔ Qualifying public benefit entities
✔ Qualifying investment funds
✔ Public & private pension or social security funds
✔ Entities wholly owned by an exempt person conducting qualifying activities
