The FTA explained that late submission of a Tax Return or a delay in settling the Corporate Tax Payable will result in an administrative penalty of AED 500 for each month, or part thereof, during the first 12 months, increasing to AED 1,000 for each month, or part thereof, from the 13th month onwards.
The UAE’s Federal Tax Authority (FTA) has reiterated the importance of early preparation and timely submission of Corporate Tax Returns and payment of Corporate Tax Payable, within the prescribed deadlines for each Tax Period, in order to avoid incurring late payment penalties and non-compliance fines.
This announcement was made on 14 September 2025.
The FTA underlined that all Taxable Persons subject to Corporate Tax, as well as Exempt Persons required to register, must submit their Tax Returns (or annual declarations, in the case of Exempt Persons required to register for Corporate Tax) and settle the Corporate Tax Payable to the FTA within a maximum of nine months from the end of their relevant Tax Period (or from the end of the financial year for an Exempt Person required to register).
The FTA explained that late submission of a Tax Return or a delay in settling the Corporate Tax Payable will result in an administrative penalty of AED 500 for each month, or part thereof, during the first 12 months, increasing to AED 1,000 for each month, or part thereof, from the 13th month onwards.
The FTA further clarified that a Tax Return may be filed directly by the Taxable Person or by any authorised individual acting on their behalf. This includes a registered tax agent or legal representative. However, if a Taxable Person provides inaccurate information in their Tax Return or fails to meet administrative requirements, penalties may apply under the Tax Procedures Law and the Corporate Tax Law.
The FTA highlighted that Corporate Tax registration is available through the EmaraTax digital tax services platform, launched as part of the FTA’s comprehensive digital transformation strategy and aimed at facilitating voluntary tax compliance and providing user-friendly, accessible services for taxpayers.
The EmaraTax platform is continuously updated and enables users to complete tax procedures easily and transparently, 24/7, including Corporate Tax registration, filing of Tax Returns, settling of Corporate Tax Payable, and other tax-related services.
The FTA called on all Taxable Persons to review the Corporate Tax Law, along with all related legislation including Cabinet Decisions, Ministerial Decisions, FTA Decisions, guides and public clarifications issued by the FTA, and awareness materials related to Corporate Tax, all of which are available on the FTA’s official website.
