UAE Ministry of Finance Waives Late Corporate Tax Registration Penalty

Another Business-friendly Move!

Here is another significant move to support businesses during the initial phase of the corporate tax rollout. The UAE Ministry of Finance and the Federal Tax Authority (FTA) have announced a waiver of penalties for companies that missed the registration deadline. This decision aims to ease the compliance burden and encourage timely registration moving forward.​

Key Highlights

• Penalty Waiver: Businesses that miss the corporate tax registration deadline won’t face the late penalty.
• Eligibility: To qualify for the waiver, companies must file tax returns within seven months of their first tax period’s end.
• Digital Registration: The FTA has streamlined the registration process through the EmaraTax digital platform, making it more accessible and efficient for businesses.

Implications for Businesses

This waiver provides businesses with an opportunity to rectify their registration status without incurring additional costs. It also underscores the UAE government’s commitment to facilitating a smooth transition into the corporate tax regime.​

What Next!

Affected businesses should promptly complete their registration and ensure compliance with the new tax regulations. The FTA’s EmaraTax platform offers support during registration. By using the penalty waiver, businesses can comply with the UAE’s tax rules and support economic growth.

How Arnifi Can help?

At Arnifi, we specialize in helping foreign companies navigate the legal and practical realities of setting up in the UAE. With experts on the ground, proficient in tax compliance, we’ll assess you throughout the corporate tax registration new regime. Also guide business model, expansion goals, and internal needs to recommend the most effective structure for your company.