A type of direct tax known as corporate tax is imposed on the net income or profit that corporations and other entities make from their operations.
The specified timeline for the taxable person for corporate tax registration in UAE.
Resident Juridical Persons
The deadline for tax registration varies according to the month of license issuing for resident juridical persons who were incorporated or constituted before the decision’s implementation date.
Non-Resident Juridical Persons
Both new and established non-resident juridical persons must register within three months of the decision’s effective date or their establishment of a connection with the state, whichever occurs first.
Natural Persons
Depending on their residency status and turnover limits, natural individuals conducting business in the UAE are required to register within certain timeframes. People who fulfill the standards for tax responsibility but are not residents must register within three months of becoming liable for taxes. Residents who surpass turnover thresholds must register by March 31 of the next calendar year.
Also read, How to Register for Corporate Tax in UAE 2023?
Penalties for Not Registering on Time
The ruling emphasizes that organizations that disregard the required registration deadlines face administrative fines. This aligns with Cabinet Decision No. 75 of 2023, which highlights the authority’s resolve to uphold tax law compliance. 10,000 will be a penalty on the Taxable Person’s failure to file a Tax Registration application in compliance with the Corporate Tax Law within the deadline set by the Authority.
Conclusion
“To prevent fines and guarantee flawless compliance with taxes duties, businesses and people operating within the jurisdiction should become aware of these deadlines.”
