Corporate Tax Return for Small Business Relief in UAE
Many companies registered under Corporate Tax are receiving messages and emails stating “Please be informed that you are required to file the Corporate Tax Return for the Tax Period 01/01/2024-31/12/2024 to avoid Administrative Penalties. Please submit it to the Federal Tax Authority on the EmaraTax portal (https://tax.gov.ae/en/default.aspx) no later than 30.09.2025”.
Understanding Tax Period and Corporate Tax Returns:
The first tax period will generally align with the financial year. For many businesses, this may be the calendar year (January 1 to December 31). This information will be available on the Corporate Tax Registration Certificate.
The deadline for filing the Corporate Tax (CT) return and settling any payable tax is nine months from the end of the first tax period. Therefore, for businesses following the calendar year, the deadline to file the Corporate Tax return would be September 30, 2025.
Also read about – UAE Corporate Tax Return Due Date Sep – 2024
What is Small Business Relief?
Small Business Relief will be available when revenue does not exceed AED 3,000,000 (Three Million) for the relevant tax period and all previous tax periods.
However, the election for Small Business Relief must be made while filing the tax return.
UAE Corporate Tax Return Format
The UAE corporate tax return format is structured as per guidelines issued by the Federal Tax Authority (FTA). Businesses are required to submit their tax returns through the EmaraTax portal, following a standardized format that captures key financial and compliance details.
A typical UAE corporate tax return includes:
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Business information: Trade license details, TRN (if applicable), and financial year
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Financial statements: Revenue, expenses, and net taxable income
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Adjustments: Additions or deductions as per UAE Corporate Tax Law
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Tax calculation: Final taxable income and corporate tax liability
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Declarations: Confirmation of accuracy and compliance
It is important for businesses to maintain proper documentation and ensure that all figures reported align with audited financial records. Using the correct corporate tax return format helps avoid penalties and ensures smooth filing within the prescribed deadlines.
How BCL helps in filing of accurate Corporate Tax Returns?
We, BCL Globiz, help businesses file accurate and timely corporate tax returns with minimal effort on your part, all at affordable rates.
Here’s a peek at our pricing:
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Is Small Business Relief applicable for your business?
If your business is eligible for Small Business Relief, we will help you file the corporate tax return for AED 1,050, inclusive of VAT.
Our team of experts can also assist in determining whether Small Business Relief applies to your entity.
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Is Small Business Relief NOT applicable for your business?
If your business is not eligible for Small Business Relief—meaning that in any tax period, the revenue exceeded AED 3,000,000 (Three Million)—then the corporate tax return must be filed in greater detail. As a result, professional charges will be AED 2,625, inclusive of VAT.
Furthermore, if there are any transactions with connected or related persons, Transfer Pricing provisions will apply. Our professional fees will be determined on a case-by-case basis.
What is the consequence of not filing the Corporate Tax Returns?
- Taxpayers failing to pay the due corporate tax for each month or part thereof shall be subject to a monthly penalty of 14 % p.a. Penalty is imposed on the unpaid tax amount.
- Failure to submit the return would attract,
- AED 500 for each month, or part thereof, for the first twelve months.
- AED 1,000 for each month, or part thereof, from the thirteenth month onwards.
Staying ahead of corporate tax filing ensures smooth operations, avoiding penalties, and maintaining compliance. Make sure your business is ready for tax season with the right planning and support.
For more details, reach out to our experts today at punith@bclglobiz.com.
To ensure compliance with Corporate Tax Return UAE regulations and avoid penalties, businesses must understand the corporate tax law and the penalties for late filing. If you’re unsure about the registration process, check out our guide on corporate tax registration for complete details.
Refer our detailed guide on – UAE Corporate Tax Registration Deadlines
