Corporate and VAT Tax
COMPREHENSIVE CORPORATE & VAT TAX SERVICES
Our skilled team of accountants and tax advisors will assist you in efficiently completing your corporate tax registration, VAT filing, and ensuring full compliance on time.
Get Started Today
Home>
Services>
Corporate and VAT Tax
The UAE's new corporate tax law has left many companies dealing with unfamiliar regulations and procedures. Our team of tax experts is here to help you understand how corporate tax and VAT affect your business, take full advantage of available exemptions and reliefs, and ensure you meet compliance deadlines to avoid penalties.
MUST KNOW
Corporate Tax Registration: Our team will help register your business for corporate tax with the FTA and handle all deadlines for your corporate tax obligations.
VAT & Tax Compliance: We ensure your business complies with all UAE corporate and VAT tax regulations, avoiding penalties and legal issues.
Tax Optimization: Our experts help you optimize your tax position, reducing your liability and maximizing your financial efficiency.
What is Corporate Tax UAE?
Corporate tax in the UAE is imposed on the taxable income (net profit) of businesses operating within the country. The new corporate tax policies were implemented on June 1, 2023, with most businesses becoming fully taxable by January 1, 2024.
Background of Corporate Tax UAE
The UAE has long been a favored destination for global entrepreneurs and investors, thanks to its stable political environment, strategic location, excellent business infrastructure, and previously, a 0% corporate tax rate. As the fifth-largest economy in the Middle East, the UAE has been shifting away from reliance on oil revenue, according to the IMF.
Is Corporate Tax the Same as VAT?
Corporate tax and VAT in the UAE are distinct. Corporate tax is mandatory for all businesses, while VAT is only applicable once certain thresholds are met. VAT is a consumption tax on goods and services paid by the consumer, whereas corporate tax is based on the taxable income of the business.
Who Will Be Subject to Corporate Tax UAE?
All businesses in the UAE, including free zone companies, are generally subject to corporate tax, with some specific exemptions. This includes UAE-based corporations, individuals engaged in business activities, and foreign entities with a Permanent Establishment in the UAE. Tax obligations began on June 1, 2023, with the start of tax calculations depending on the business's financial year.
How Much Is the Corporate Tax UAE?
The UAE's Ministry of Finance has established a tiered corporate tax structure: a 0% rate for businesses with net yearly profits up to AED 375,000, a 9% rate for those with profits exceeding AED 375,000, and a minimum 15% rate for large multinational companies with global revenues over EUR 750 million, aligned with the OECD's Base Erosion and Profit Shifting Project.
Corporate Tax Registration
Businesses must register for Corporate Tax through the Federal Tax Authority's (FTA) website by submitting required forms and documents, including Emirates ID, trade license, passport, financial records, and business activity details. Once submitted, the application will be reviewed, and if approved, the company will receive a tax registration number (TRN). Approval usually takes 20 days, with possible extensions for additional information.
Corporate Tax Planning
Effective corporate tax planning is essential for optimizing your business's financial performance. Our corporate tax planning services include analyzing your business structure, identifying tax-saving opportunities, and developing strategies to minimize tax liabilities. We help you navigate the complexities of UAE corporate tax regulations, ensuring that your business remains compliant while maximizing its tax efficiency. Our team of tax experts provides tailored solutions that align with your business goals, helping you achieve sustainable growth and financial stability.
Corporate Tax Compliance
Ensuring compliance with UAE corporate tax regulations is crucial to avoid penalties and legal issues. Our corporate tax compliance services include preparing and filing accurate tax returns, maintaining proper documentation, and adhering to all regulatory requirements. We keep you updated with the latest changes in tax laws and regulations, ensuring that your business stays compliant. Our comprehensive compliance support helps you manage your corporate tax obligations efficiently, allowing you to focus on your core business activities.
Tax Risk Management
Managing tax risks is an important aspect of corporate tax strategy. Our tax risk management services include identifying potential tax risks, developing mitigation strategies, and implementing effective controls. We conduct thorough risk assessments to ensure that your business is prepared to handle any tax-related challenges. Our experts provide guidance on best practices for tax risk management, helping you protect your business's financial interests. By proactively managing tax risks, you can enhance your business's resilience and stability.
Transfer Pricing
Transfer pricing regulations are crucial for businesses with cross-border transactions. Our transfer pricing services include preparing transfer pricing documentation, conducting benchmarking studies, and ensuring compliance with UAE and international regulations. We help you develop and implement transfer pricing policies that align with your business strategy and regulatory requirements. Our experts provide guidance on managing transfer pricing risks and optimizing your transfer pricing arrangements. With our support, you can navigate the complexities of transfer pricing and protect your business's financial interests.
Corporate Tax Advisory
Our corporate tax advisory services provide expert guidance on a wide range of tax-related matters, including tax planning, risk management, and regulatory compliance. We help you navigate the complexities of the UAE corporate tax system, identify potential tax-saving opportunities, and develop strategies to manage tax risks. Our advisors have extensive experience in various industries and are equipped to provide customized solutions to meet your specific needs. With our corporate tax advisory services, you can make informed decisions that optimize your tax position and support your business's growth objectives.
International Taxation
For businesses with international operations, managing cross-border tax obligations is crucial. Our international taxation services include tax planning, compliance, and advisory support for cross-border transactions. We help you understand the tax implications of your international activities, develop strategies to optimize your global tax position, and ensure compliance with international tax regulations. Our experts provide guidance on double tax treaties, withholding taxes, and other international tax matters. By managing your international tax obligations effectively, you can enhance your business's global competitiveness and financial performance.