How to Register for Corporate Tax in Dubai
If you’re looking to register for UAE Corporate Tax in 2025, here’s the short version: every business (mainland or free zone) must register through the Federal Tax Authority (FTA) via the EmaraTax portal. You’ll need to gather all relevant documents (trade license, Emirates ID or passport for authorized signatories, and proof of business activities), then follow the on-screen prompts to obtain your Tax Registration Number (TRN). Make sure you file returns within nine months after the close of your financial year or by the specific deadlines set by the FTA (e.g., 21 months after the start of your first tax period if you began operations on or after June 2023). Free zone companies can benefit from a 0% rate if they satisfy “Qualifying Free Zone Person” criteria, while mainland companies and free zone entities with mainland income are generally taxed at 9% on income above AED 375,000. Now, let’s dive into the comprehensive guide below to cover every detail you need. Corporate Tax Registration in the UAE (2025) For decades, the United Arab Emirates (UAE) was known for its business-friendly environment with zero corporate tax for most companies. However, as part of broader economic reforms and diversification, Federal Decree-Law No. 47 of 2022 introduced a federal corporate tax regime effective from 1 June 2023 onward. Under the Federal Tax Authority (FTA), businesses must now register for UAE Corporate Tax and fulfill filing, payment, and recordkeeping obligations. The shift might feel daunting at first, especially for entrepreneurs and small business owners who’ve never had to file corporate taxes before in the UAE. But rest assured, the FTA has rolled out user-friendly portals (like EmaraTax) and comprehensive guidelines to streamline the registration process. 1. What is Corporate Tax Registration? The formal process of registration is meant for corporate organizations. Corporate tax registration here is the legal process. It is how a tax registration number or tax identification number UAE must comply with tax law. The UAE has introduced a corporate tax. It aims to diversify the economy and comply with global tax trends. When registering for corporate tax, firms show they meet the law. This helps them avoid penalties. 2. Why Corporate Tax Matters in the UAE The introduction of corporate tax serves multiple objectives: Key takeaway: Understanding how to register corporate tax in the UAE ensures you remain compliant, avoid hefty penalties, and maintain the trust of regulators and business partners. 3. Who Needs to Register for UAE Corporate Tax? In short: Almost all juridical persons (legal entities) and certain natural persons (individuals conducting business activities) must register for corporate tax if they exceed relevant income thresholds or meet specific criteria outlined by the FTA. 1 Mainland Businesses Any business licensed on the UAE mainland must register for corporate tax—this includes limited liability companies (LLCs), private and public joint stock companies, and branches of foreign companies operating onshore in the UAE. Mainland businesses Setup are generally subject to a 9% rate on taxable income above AED 375,000. 2 Free Zone Businesses Free Zone entities (including those in financial free zones like DIFC or ADGM) are also required to register, even if they qualify for the 0% tax incentive. Under the law, free zone businesses must not conduct significant mainland operations to maintain their 0% rate. If they do business on the mainland, they typically face the standard 9% corporate tax on relevant income. 3 Non-Resident Persons & Permanent Establishments A non-resident person might be subject to UAE corporate tax if they maintain a Permanent Establishment (PE) or have a nexus in the UAE. For instance: 4 Natural Persons Individuals who carry on a business or business activity (beyond salaried employment or passive investments) may need to register if their turnover surpasses AED 1 million in a given tax year. This ensures the system covers freelancers, sole proprietors, and self-employed consultants who generate significant business revenue. 4. Key Documents & Requirements To streamline your UAE Corporate Tax Registration, gather these critical items in advance: Pro tip: Keep these documents in digital format (PDF/Word) under 5 MB each for easy uploading on EmaraTax. 5. Understanding the Latest Registration Timelines (2024–2025) The FTA has outlined specific deadline windows for corporate tax registration, especially after Decision No. 3 of 2024 took effect on 1 March 2024. It prescribes structured timelines for resident, non-resident, and natural persons to register under Federal Decree-Law No. 47 of 2022. Here’s a quick overview: 1 Entities Formed Before 1 March 2024 If your commercial license was issued before 1 March 2024, you must register according to a month-by-month schedule throughout 2024. For example: If a company has multiple trade licenses, use the one with the earliest issuance date to determine the correct deadline. 2 Entities Formed On or After 1 March 2024 For companies established on or after 1 March 2024: 3 Non-Resident Persons 4 Natural Persons Resident individuals engaged in business activities crossing the AED 1 million turnover threshold in a calendar year have until 31 March of the following year to register. Non-resident individuals who meet corporate tax requirements must register within 3 months of meeting those requirements. 5 Penalties for Late Registration Failing to register within these timelines triggers administrative penalties (in line with Cabinet Decision No. 75 of 2023), which can reach up to AED 10,000 for delayed registration. Additional fines may apply for incomplete or incorrect filings. 6. Steps For Registering UAE Corporate Tax Registering for corporate tax is a self-service process via the EmaraTax portal. Below is a concise, yet comprehensive, step-by-step breakdown. Step 1 – Accessing the EmaraTax Portal Step 2 – Creating or Updating Your Profile Step 3 – Linking Taxable Persons If you or your company is not yet listed under your EmaraTax profile: Step 4 – Completing the Corporate Tax Registration Application Within EmaraTax: Step 5 – Review & Declaration Step 6 – Obtaining Your Tax Registration Number (TRN) The FTA typically reviews applications within 20 business days (or less). Once approved, your entity will be assigned a Tax Registration Number (TRN) for