The businesses operating in the UAE must comply with the legal requirement of corporate tax return filing. Failing to file tax returns can lead to heavy penalties and fines. FTA has announced that companies must file their tax returns in the given time to avoid any discrepancy. 

In January 2022, the Ministry of Finance first introduced corporate tax, beginning its implementation in June 2023 or January 2024. According to corporate law, any annual taxable profits under AED 375,000 are subject to a 0% rate. For this, every taxable person needs to register for corporate tax and obtain a tax number. 

In this article, corporate tax filing is explained to help you assist with your tax return process and guide you through the required steps to avoid any delay.

Corporate Tax Return Filing in UAE

The tax filing process requires the submission of a financial report to the relevant tax authority. A financial report must contain the income and expenses of a company over a particular period. A corporate tax return in the UAE is filed by a taxable person based on the information of corporate tax liability and payment. 

Businesses operating in the UAE should have up to 9 months from the last tax submission to file their next tax return and pay it to the FTA. This move is based on the dedication of the UAE to ensure a smooth implementation of CT policy across the UAE. Filing corporate tax benefits businesses in cost optimization and control of time. 

How to File Corporate Tax Returns in the United Arab Emirates

The following procedures are involved in filing corporation tax returns in the United Arab Emirates:

Registration for Taxes: Get a tax registration number from the FTA by providing the required paperwork and data.

Maintaining Records: As mandated by UAE tax regulations, keep thorough records of all financial transactions and tax-related paperwork.

How to Prepare a Tax Return

According to UAE tax regulations, determine your taxable income and complete your tax return, making sure to include all applicable tax deductions and exemptions.

Making a Tax Return:

Before the deadline, send in your completed tax return to the FTA via their online platform, e-Services.

Tax Payment:

As stated on your tax return, pay up your whole tax liability by the deadline.

Tax Audit:

The FTA may ask for more information or supporting documentation if you are chosen for a tax audit in order to confirm the correctness of your tax return.

Important Components of Services for Filing Corporate Tax Returns

Giving thorough details regarding the company’s earnings, outlays, and other financial operations is crucial when submitting a corporate tax return. The amount of tax due to the government is determined by the ultimate result.

The following crucial paperwork is needed to file corporate tax returns:

• Financial Records: Detailed records of the business’s financial operations.
• Calculations of Taxable Income: A thorough analysis that illustrates variations in net outcomes for accounting reasons.
• Records of Asset Depreciation and Tax Amortization: Records of asset depreciation and amortization for taxation.
• Transfer price Records: Documents that support business-to-business transactions and guarantee adherence to price guidelines.
• Information on Related Party Transactions: Comprehensive logs of dealings with connected or related parties.
• Provision Movements: Details on how provisions have changed throughout the fiscal year.

UAE-Based Corporate Tax Return Filing Services

Our team of highly qualified tax advisors in the UAE at Accountax offers first-rate corporate tax services, guaranteeing that your company stays completely compliant with the rules and legislation established by the UAE Tax Authority. Our area of expertise is helping customers with company tax returns and guiding them through the challenges of tax reporting and compliance.

From preparing documents to figuring out your tax obligations, our knowledgeable staff helps you every step of the way. We assist you in handling important business tax tasks, such as registering, submitting returns, requesting reimbursements, and making sure that everything is done on time to prevent fines.

You can be sure that Accountax will ensure that your company tax returns are precise, in compliance, and as efficient as possible. Let us take care of the tax complications so you can concentrate on expanding your company.