Navigate UAE Corporate Tax With Confidence

The UAE introduced corporate tax on June 1, 2023, marking a significant shift in the country’s tax framework. At capitals28, we help businesses register, comply, and file corporate tax submissions while identifying applicable exemptions and optimizing tax planning strategies.

Our team of certified tax advisors works directly with theFederal Tax Authority (FTA) to ensure your business remains fully compliant while minimizing tax exposure.

Our Corporate Tax Services

1. Corporate Tax Registration

• End-to-end assistance with FTA registration.
• Preparation and submission of required forms and documents.
• Obtaining your official Tax Registration Number (TRN).
• Fast-tracked applications with dedicated support.

2. Corporate Tax Filing & Returns

• Preparation of annual corporate tax submissions to the FTA.
• Accurate calculation of taxable income and deductions.
• Ensuring timely filings to avoid penalties.
• Filing handled entirely online through secure FTA systems.

3. Corporate Tax Advisory

• Personalized tax planning based on your business model.
• Optimizing tax efficiency through deductions and reliefs.
• Forecasting corporate tax impact on cash flow and profitability.
• Planning cross-border structures for global operations.

4. Tax Exemptions & Reliefs

• Identifying eligibility for corporate tax exemptions.
• Applying for special MOF approvals where required.
• Advising on free zone tax benefits for qualifying companies.

5. FTA Portal & Ongoing Compliance

• Setup and management of your FTA account.
• Support for document uploads, invoice formats, and reporting standards.
• Ensuring records meet International Financial Reporting Standards (IFRS).

UAE Corporate Tax Structure

• Net profit up to AED 375,000 → 0% tax
• Net profit above AED 375,000 → 9% tax
• Multinationals earning €750M+ (≈ AED 3.15B) → 15% tax

Note: All businesses must register for corporate tax, even if they are exempt from paying tax.

<strong>Who Must Register for UAE Corporate Tax</strong>

According to the <strong>UAE Ministry of Finance (MOF)</strong>, corporate tax applies to:

UAE companies and legal entities.

Free Zone companies (with special rules).

Branches of foreign companies operating in the UAE.

Individuals conducting business activities earning over AED 1M annually.

Corporate Tax for Free Zone Companies

Free zone entities may qualify for a 0% corporate tax rate if they:

• Derive qualifying income.
• Maintain adequate economic substance in the free zone.
• Comply with transfer pricing regulations.

Non-qualifying income above the de minimis threshold (AED 5M or 5% of total revenue) will be taxed at 9%.

Corporate Tax for Freelancers

Freelancers earning over AED 1M annually are also required to register for corporate tax.

We assist professionals in obtaining:

• Professional licences.
• Full tax registration and compliance support.

Corporate Tax for Groups

capitals28 helps you set up Tax Groups so multiple entities can file as a single taxpayer:

• Parent company must own 95% or more of subsidiaries.
• Group must share the same financial year and accounting practices.
• Intra-group transactions are eliminated for taxable income purposes.

Corporate Tax Exemptions

Some entities and incomes are fully exempt from UAE corporate tax:

Exempt Entities

• UAE government entities.
• Charitable organizations (subject to MOF approval).
• Pension and social security funds.
• Investment funds registered with the FTA.

Exempt Income

• Dividends and profit distributions.
• Capital gains from selling shares.
• Income from qualifying international shipping activities.
• Earnings from foreign branches (with approved exemption election).

Documents Required for Corporate Tax Registration

• Valid trade licence
• Emirates ID and passport copies
• Company’s Memorandum of Association (MoA)
• Financial statements
• Details of business activities and shareholding structure

Compliance Timeline

• June 2023 onwards: Mandatory registration begins.
• Nine months after financial year-end: Corporate tax filing deadline.
• Ongoing: Maintain IFRS-compliant financial records for at least 5 years.

Why Choose capitals28 for Corporate Tax

• Certified tax experts with UAE-specific knowledge.
• End-to-end FTA coordination.
• Custom tax strategies tailored to your business.
• Penalty-free compliance through proactive planning.
• Support for mainland, free zone, and offshore companies.

Stay Compliant, Stay Ahead

The introduction of corporate tax in UAE marks a new era of financial governance. At capitals28, we ensure that your business is fully prepared to navigate these changes while optimizing your tax position.

Book a free consultation today to get a custom corporate tax strategy for your business.