Businesses can avoid fines if initial tax returns filed in 7 months of first tax period
UAE eases first-year corporate tax rollout with late registration penalty waiver
By Justin Varghese, Your Money Editor
Dubai: The UAE Ministry of Finance and Federal Tax Authority (FTA) have announced a new initiative to waive penalties for businesses and certain exempt entities that missed the deadline to register for corporate tax.
To qualify for the waiver, eligible companies must file their corporate tax returns or annual statements within seven months from the end of their first tax period, as outlined in the Corporate Tax Law.
The move is part of efforts to promote early compliance, reduce financial burden on businesses, and ease the transition into the newly implemented corporate tax regime. The FTA will also refund fines already paid by businesses that meet the requirements of the initiative.
Officials said the decision reflects a broader commitment to support businesses, simplify procedures, and encourage voluntary compliance, especially during the first year of the UAE’s corporate tax rollout.
