Corporate Tax Consultation

With almost 12 years of experience in UAE, Our team will guide you through possible options related to tax obligations when expanding internationally and what steps to take to comply with local rules.

Registration – A business subject to Corporate Tax will need to register with the FTA and obtain a Tax Registration Number within a prescribed period.

Filing – All the companies including Freezone Companies are subjected to tax return filing requirement as per UAE Corporate Tax Public Consultation Document.

Eligibility – A Free zone company having mainland sourced income will not be eligible for the CT 0% regime in respect of all their income.
Free Zone Companies – Free Zone Companies can avail of the benefit of 0% corporate Tax subject to getting their financials audited by the audit firm and need to comply with certain conditions.

Designated Zone Companies – The companies in a Designed Zone for Value Added Tax (VAT) purposes can benefit from the 0% CT rate on income from the sale of goods to UAE mainland business that are the importer of record of those goods.

Tax Group – For the purpose of Corporate Tax, companies can create the Tax group and file the one return as a single taxable person and all the group members must have the same financial year, subject to below conditions that, no member can be an exempt person and Free Zone Companies that benefit from the 0% CT rate.

Net Profit / Loss – The Corporate Tax will be calculated on the accounting net profit/loss as stated in the business’s Financial Statements, subject to certain exempt income and non-deductible expenses such as Dividend received and/or Capital Gain, Profit earned from foreign Branch, Administrative penalties, Donations paid to non-approved organizations, 50% of entertainment expenses.

Time Period – Each tax return and related supporting schedules will need to be submitted to the FTA within nine (9) months of the end of the relevant Tax Period and the payment should also be paid within the same time period.