UAE Tax Deadlines to Avoid MASSIVE Fines?

[Sigma]

Hey guys

Just trying to get a handle on the new CT regs in the UAE and thought I'd bounce my situation off you all to ensure I'm on track.

Here's my deal:

• I own a FZCO incorporated with IFZA since 1 March 2022.
• Marketing, Consultancy, Internet Content licenses.
• Keeping profits just shy of 375K AED for now, and have not registed with VAT or Tax since I am not above the threshold.

I'm just a bit confused about the actual deadlines there are as to when we need to register etc.

Here is my understanding:

• We've got until 31 December 2024 to register for Corporate Tax.
• Post-registration, our first tax return, and any payment is due by 30 September 2025.

Sound about right to you guys?

Just do not want to get fined or flagged for something as stupid as not registering.

TL;DR:

• Company in IFZA Dubai freezone, started 1 March 2022.
• Register for Corporate Tax by 31 Dec 2024.
• File and pay taxes by 30 Sep 2025.

Am I missing anything?

Any info will be highly appreciated.

I've addeda screenshot of what I have found on the UAE FTA website.

 

[wellington]

Hey guys

Just trying to get a handle on the new CT regs in the UAE and thought I'd bounce my situation off you all to ensure I'm on track.

Here's my deal:

• I own a FZCO incorporated with IFZA since 1 March 2022.
• Marketing, Consultancy, Internet Content licenses.
• Keeping profits just shy of 375K AED for now, and have not registed with VAT or Tax since I am not above the threshold.

I'm just a bit confused about the actual deadlines there are as to when we need to register etc.

Here is my understanding:

• We've got until 31 December 2024 to register for Corporate Tax.
• Post-registration, our first tax return, and any payment is due by 30 September 2025.

Sound about right to you guys?

Just do not want to get fined or flagged for something as stupid as not registering.

TL;DR:

• Company in IFZA Dubai freezone, started 1 March 2022.
• Register for Corporate Tax by 31 Dec 2024.
• File and pay taxes by 30 Sep 2025.

Am I missing anything?

Any info will be highly appreciated.

I've addeda screenshot of what I have found on the UAE FTA website.

Is it REALLY worth the effort of all this for 100,000$?

Surely easier to establish in the Bahamas, Antigua, Nevis, Belize, etc where you don't have to jump through these silly hoops for 100k?

 

[Sigma]

I will be ramping my profits up to 1 mil a year soon, just want to get the deadlines sorted. So yes I believe it will be worth it in the end.

Is it REALLY worth the effort of all this for 100,000$?

Surely easier to establish in the Bahamas, Antigua, Nevis, Belize, etc where you don't have to jump through these silly hoops for 100k?

 

[yngmind]

Is it REALLY worth the effort of all this for 100,000$?

Surely easier to establish in the Bahamas, Antigua, Nevis, Belize, etc where you don't have to jump through these silly hoops for 100k?

It's hard to process payments with these entities and banking is complex too.

I would get a US LLC instead. I see only one advantage of the UAE company, it's a real corporate bank account, and payment processing for UAE sucks, too, not really trusted by customers.

for a bank account you will have to deposit $50k at least

 

[Sigma]

It's hard to process payments with these entities and banking is complex too.

I would get a US LLC instead. I see only one advantage of the UAE company, it's a real corporate bank account, and payment processing for UAE sucks, too, not really trusted by customers.

for a bank account you will have to deposit $50k at least

I have a US LLC, which I pay my UAE FZCO, this is the strucure I currently have. However, my question is about deadlines - not the structure of my LLC and FZCO.

 

[Luxxxtino]

Hi did you manage to get any confirmation of this anywhere?

 

[Sigma]

Nope, not one person replied with a definitive answer to this seemingly simple question. Disappointing. Now I have to rely on all these companies trying to get me to sign up and sell me s**t.

 

[JohnLocke]

I'm sure that such a comment will bring out a lot of people who want to respond to you. Your attitude screams to the sky that people will click the ignore button.

 

[Sigma]

I was simply voicing my disappointment that I couldn’t get an answer to this question, and only got people trying to derail the topic of the thread, which is unfortunate.

I just thought that there were professionals on this forum who would care enough to give a quick yes or no answer to this seemingly straightforward question.

Maybe I’m just not clear and concise in my language or the way I phrased my question?

Perhaps you can give me some pointers @JohnLocke.

I’m all ears, and really want to contribute as well as gain value from this platform.

Would love to sign up for a paid version but so far I’m not convinced with the quality of the answers, however I am new so that’s probably got something to do with it I would imagine.

Gotta pay to play right?

 

[JohnLocke]

I'm just telling you that it's not a kindergarten and just because you don't get the right answer, you don't stand in a corner and say everyone else is stupid! You shouldn't even consider paying for anything, you won't get anything out of it. - It's meant as good advice and not something I will comment further on, because then we'll just close the thread.

 

[Sigma]

Apologies to come off that way John, guess I'm just a bit frusrated. Hope you have a good weeked.

 

[EliasIT]

Have you tried contacting any of these UAE consultants such as EmiratesSetup, etc., to get some more information?

 

[Sigma]

Have you tried contacting any of these UAE consultants such as EmiratesSetup, etc., to get some more information?

The ones that have contacted me seem to be very keen to just sign me up to a recurring bill for calculating taxes now already etc.
There are too many incentives for them to tell me what exact date I have to start submitting on.

 

[kislokan]

you need to register for VAT also, get in touch with an agent in UAE asap

 

[emihunter]

Hey guys

Just trying to get a handle on the new CT regs in the UAE and thought I'd bounce my situation off you all to ensure I'm on track.

Here's my deal:

• I own a FZCO incorporated with IFZA since 1 March 2022.
• Marketing, Consultancy, Internet Content licenses.
• Keeping profits just shy of 375K AED for now, and have not registed with VAT or Tax since I am not above the threshold.

I'm just a bit confused about the actual deadlines there are as to when we need to register etc.

Here is my understanding:

• We've got until 31 December 2024 to register for Corporate Tax.
• Post-registration, our first tax return, and any payment is due by 30 September 2025.

Sound about right to you guys?

Just do not want to get fined or flagged for something as stupid as not registering.

TL;DR:

• Company in IFZA Dubai freezone, started 1 March 2022.
• Register for Corporate Tax by 31 Dec 2024.
• File and pay taxes by 30 Sep 2025.

Am I missing anything?

Any info will be highly appreciated.

I've addeda screenshot of what I have found on the UAE FTA website.

first check what your financial year as per the company documents is. most likely it is Jan 24-Dec 24. Registration and payment of the corporate tax can be done by Sep 2025 so you have plenty of time.
keep in mind you can elect for small business relief and not actually have to file your taxes or pay any taxes. this scheme is for businesses with revenue less than 3 million AED and will be valid up to 2026.

 

[Nomado]

keep in mind you can elect for small business relief and not actually have to file your taxes or pay any taxes. this scheme is for businesses with revenue less than 3 million AED and will be valid up to 2026.

Do you know if the small business relief is automatically applied when the tax filling is done if less than 3M aed are declared ? Or is it needed to apply for it somewhere ?
Audit needed as a proof?

 

[emihunter]

Do you know if the small business relief is automatically applied when the tax filling is done if less than 3M aed are declared ? Or is it needed to apply for it somewhere ?
Audit needed as a proof?

in the final stages when you're registering there'll be a box that allows you to elect for small business relief. If your company is an LLC you may need to submit audited statements, but I think an unaudited financial statement will suffice if you're actually a small business

 

[sergeylim88]

what do you mean if company is llc
all companies in freezones are FZCO

 

[JustAnotherNomad]

Why don't you just contact the Federal Tax Authority? You can call them or even send an official inquiry.

 

[emihunter]

Why don't you just contact the Federal Tax Authority? You can call them or even send an official inquiry.

every time I call them and ask for specific advise they've told me to contact a tax agent. tax agents also often sound clueless and tell me to contact the FTA lol