How to Register for Corporate Tax in UAE

A major step toward global tax alignment and financial openness, company tax registration will be mandatory for all UAE-based businesses from June 1, 2023. Every company needs to accept this new reality as it brings another era for the corporate setting.

We understand that tax changes, particularly those that are completely new, can be daunting. Don’t worry, though. It’s not difficult to register for corporate tax in UAE. The process is actually simple with the correct direction and a little planning.

Whether your company is free zone, part of a bigger group, or small business, we will walk you through all you need to know to register quickly and without problems.

What Is Corporate Tax?

The net profit or income of businesses and other entities is subject to corporate tax, which is a form of direct income tax. It is decided by looking at the profits made in the financial accounts that are created using generally accepted accounting principles.

Why Has the UAE Implemented Corporate Tax?

As a component of its larger objective to promote worldwide tax transparency and economic growth, the United Arab Emirates introduced a corporate tax. As a result, companies will be more likely to pay their fair part into the economy, which will help the nation achieve its goal of sustainable growth in the long run.

Who Needs to Register?

Corporate tax in UAE is applicable to a wide range of industries:

• Mainland Companies: No matter how big or little, any company with a mainland trading license needs to register.
• Free Zone Companies: Even if these businesses qualify for a zero percent tax rate according to the qualifying income standards, they still need to register.
• Foreign Businesses with UAE Operations: Registration requirements vary by permanent establishment status, but apply to any foreign legal entities doing business or earning money in the UAE.

Major Exemption Thresholds

If a company’s taxable income is less than AED 375,000 per year, it is not required to pay corporate tax. The regular company tax rate of 9% is applied to income beyond this threshold.

When Should You Register?

Registration Deadlines

There are different registration due dates set by the Federal Tax Authority (FTA) for different types of businesses:

• For already-established companies, the registration deadline is the end of the financial year.
• It is recommended that newly formed companies register shortly upon receiving their trading license.

Penalties for Late Registration

Serious penalties, including a negative impact on your company’s image and bank account, await those who fail to register within the time frame given.

Prerequisites for Registration

Make sure you have all of the following items on hand before you start the registration process:

• Valid Trade License specific to your business operations.
• Entity Type and Business Activity Information, which highlights whether you’re operating as a sole proprietorship, LLC, or other entity types.
• Owner Identification Documents, including Emirates IDs and passport copies of all shareholders.
• Details of Authorized Signatories who can act on behalf of the business.
• Corporate Structure, if applicable (e.g., if your business is part of a larger group).

Where and How to Register

Use the Federal Tax Authority (FTA) Portal

The official online platform of the FTA is where all corporation tax registrations are handled: https://eservices.tax.gov.ae/

EmaraTax Account

The FTA’s specialized digital platform for managing tax compliance, EmaraTax, requires you to either create an account or log in to an existing one.

Go to Corporate Tax Registration

After you’ve logged in, go to the list of services and select “Corporate Tax” to start the registration process.

Step-by-Step Registration Process

If you want your registration to go off without a hitch, just follow these detailed instructions:

Access the EmaraTax Portal

Visit Eservices Tax Gov on your web browser. Enter your EmaraTax login information. If you’re new here and don’t already have an account, just click “Sign Up” and fill out the form.

Go to the Corporate Tax Section

Your dashboard will be accessible once you log in. Choose “Corporate Tax Registration” from the list of services that are offered. The application form for registering a corporation to pay taxes will open.

Enter Business Details

Please provide all necessary information, including:

• Trade license number and issuance date
• Registered business name
• Business address and contact information
• Entity type (e.g., LLC, branch, partnership)
• Economic activity or sector

Upload Required Documents

Please provide the following documents, which must be in clear and proper form:

• Trade license
• Emirates ID and passport of shareholders or owners
• Proof of authorization for signatories
• Memorandum of Association (if applicable)
• Corporate group or structure documents (if part of a group)

Review and Confirm Information

Make sure everything is correct by reviewing each entry thoroughly. Names, dates, and license numbers must be confirmed. You risk having your application delayed or even penalized if you make a mistake at this point.

Submit the Application

When you’re through reviewing the details and attached files, hit the “Submit” button. After we have accepted your application, a confirmation message will be displayed to let you know.

Wait for Acknowledgment and TRN Issuance

Your contribution will be reviewed by the FTA. Your Tax Registration Number (TRRN) will be confirmed and sent to you via email and your EmaraTax dashboard once all the necessary steps have been taken. All future conversations and files related to corporate taxes will use this number..

What Happens After Registration?

Receive Your TRN

When dealing with the FTA or filing corporate taxes, you must use the Tax Registration Number (TRN) as your unique identity.

Filing Obligations and Deadlines

The deadline for filing a corporation tax return is nine months after the financial year ends. As an example, the deadline for filing your return is September 30, 2025, even though your tax year ended on December 31, 2024.

Record-Keeping and Compliance

Businesses are required to maintain:

• Financial records
• Invoices
• Bank statements
• Contracts

Please check that these documents are maintained for at least seven years and may be accessed by the FTA upon request.

Common Mistakes to Avoid

Time and possible fines can be saved by avoiding registration mistakes. Examples of common mistakes are:

• Incorrect Trade License Number: Double-check for accuracy.
• Expired Documentation: All IDs and licenses must be current.
• Business Activity Misclassification: This can affect tax rate eligibility.
• Missed Deadlines: Set digital reminders to stay on track.

Expert Corporate Tax Support from TAG MC

Renowned for its thorough knowledge of EmaraTax and corporate tax legislation, TAG Management Consulting (TAG MC) is a reliable advisory firm in the UAE. By providing them with individualized assistance, precise filings, and organized compliance plans, the company helps businesses get in line with UAE tax regulations.

Strategic tax planning, registration support, and regulatory compliance services are offered by TAG MC to both major firms and SMEs. With the help of their hardworking staff, clients are able to keep their free zone and mainland activities financially well-governed, avoid fines, and fulfill all deadlines. TAG MC breaks down complicated standards into manageable steps that business owners can take.

Conclusion

Accurate and timely company tax registration is the first step in keeping up with the variable tax landscape of the UAE. It’s a prerequisite for better corporate governance and credibility, not just a legal need.

If you register early and keep your financial records in order, you can avoid fines and other compliance problems in the future. You can put your business on firm regulatory ground with a well-planned and educated strategy.

Need expert assistance? TAG Management Consulting is here to help — schedule a free consultation with our team today and register with confidence.

FAQs About Corporate Tax Registration in UAE

1. Can freelancers or self-employed individuals register?

They must file for corporate tax in UAE if their yearly business income exceeds AED 375,000.

2. Do free zone companies have to pay corporate tax?

Registration is mandatory irrespective of the tax rate. Companies that qualify for the free zone can still take benefit of the 0% tax rate, provided they fulfill the income requirements.

3. Is corporate tax applicable to foreign businesses?

Indeed, registration and compliance are necessary for any foreign business with a permanent establishment or money generated by activities in the UAE.

4. What if my company earns less than AED 375,000?

You should still register, but you won’t have to pay taxes until your income goes over a certain point.