UAE Corporate Tax Compliance: Is Your Business Ready?


The introduction of the United Arab Emirates (UAE) Federal Corporate Rax ("CT") Regime ("Corporate Tax Law") has significant implications for businesses operating in the region. It is crucial for companies to understand the requirements of the new legislation and prepare accordingly. In this post, we discuss the essential steps businesses should take to ensure compliance with the UAE Corporate Tax Law and optimize their tax position.

Understanding the requirements for your business under the Corporate Tax Law:

  1. Determine if your business needs to register for UAE CT.
  • Assess your business's revenue and activities to determine if it falls within the scope of the UAE Corporate Tax Law. If your business is subject to the corporate tax, it must register with the Federal Tax Authority ("FTA").
  1. Identify the accounting and tax periods applicable to your business.
  • The accounting and tax periods for your business will depend on the fiscal year-end. Ensure you are aware of the appropriate periods for your company to meet reporting and filing deadlines.
  1. Understand the deadlines for filing your UAE CT return.
  • Businesses must file corporate tax returns and pay any outstanding liability within 9 months from the end of the fiscal year-end. Familiarize yourself with the applicable deadlines to avoid late filing penalties. Remember, qualifying free zone companies are required to register for CT and file CT returns even if they do not have any CT liabilities for the relevant tax period.
  1. Explore elections or applications relevant to your business for UAE CT purposes.
  • Some businesses may be eligible for specific tax incentives such as the small businesses relief, exemptions, or reduced CT rates (qualifying free zone persons). Investigate any potential opportunities that could benefit your company and apply for them as needed.
  1. Assess the impact of UAE CT on your business's activities as well as obligations and liabilities under contracts with customers and suppliers.
  • Review your operational model to identify opportunities to restructuring the business to be more tax efficient. Review existing contracts to determine if the new tax law impacts your business's obligations and liabilities. You may need to renegotiate terms, update pricing, or modify other provisions to account for the tax changes.
  1. Familiarize yourself with the financial information and records your business needs to maintain for UAE CT purposes.
  • Keeping accurate financial records is crucial for tax compliance. Understand the types of records your business must maintain, such as revenue and expense documentation, and ensure your record-keeping systems are up to date.

     7. Ensuring Your Business Has Sufficient Systems in Place:

  • It is vital to ensure that your business has robust systems in place to record, prepare, and maintain financial accounts and corporate tax returns. The accuracy and efficiency of these systems will play a crucial role in your business's ability to meet the new tax requirements and maximize tax savings.


The introduction of the UAE Corporate Tax Law presents both challenges and opportunities for businesses operating in the region. By understanding the requirements of the new legislation and taking proactive steps to ensure compliance, companies can minimize potential tax liabilities and position themselves for success in the evolving tax landscape. HSBM Global is here to help you navigate these changes and provide expert guidance and support to ensure your business remains compliant and well-prepared for the future.

How HSBM Global Can Help:

HSBM Global offers a comprehensive range of services to support your business in navigating the UAE CT landscape. Our expert team can provide bookkeeping services, prepare financial accounts, CT and transfer pricing returns on your behalf, ensuring compliance with the new regulations. 

Email us today at to learn more about how we can support your business in this critical aspect of tax preparation, compliance, and tax planning.

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