How to File Corporate Tax in UAE?

Step-by-step guide on how to file corporate tax in UAE through online EmaraTax. All businesses in UAE must file corporate tax in UAE. Filing corporate tax in the UAE is still a new territory for many businesses. Some companies are only now going through their first return, while others are busy figuring out what can and can’t be deducted. And with deadlines and corporate tax penalties hanging over your head, it’s not something you want to push aside.

The good news is that the process isn’t as intimidating as it first looks. Once you understand the steps, it becomes part of your business routine. Of course, if you’d rather not take chances with compliance, that’s when firms like Xact Auditing can take the load off your shoulders.

In this guide, we’ll walk through how corporate tax filing works in the UAE in 2025, step by step. The goal is simple: clear instructions and practical tips you can actually use.

Process to File Corporate Tax in UAE

Step 1: Register with the FTA

The very first move is registration. Everything goes through the FTA’s online portal, and without it, you can’t move forward.

To get set up, the system usually asks for a few key things:

• Your trade license and company documents
• Emirates ID copies of the owners or managers
• Financial papers, often your latest audited statements

Once you’ve submitted everything and the FTA gives the green light, you’ll be assigned a Tax Registration Number (TRN). Think of this number as your company’s tax identity card, which you’ll be using for every filing.

Step 2: Get Your Books in Order

This is where a lot of companies slip. Filing isn’t difficult, but if your books are messy, you’ll be chasing paperwork at the last minute.

Here’s how to stay on top of it:

• Have your audited financial statements ready in advance
• Keep contracts, invoices, receipts, and payroll records organized in one place
• Remember, the FTA expects you to store everything for seven years – yes, that long

Some businesses rely on accounting software, but in practice, most serious firms still get an auditor involved. That’s why many hand this stage over to Xact Auditing because clean records now mean fewer headaches later.

Step 3: Work Out Taxable Income

This is not the same as “profit in your books.” UAE law has its own rules on what counts.

• Allowed deductions: staff costs, rent, utilities, and other core business expenses
• Not allowed: penalties, certain fines, and personal-style entertainment costs
• Exempt income: dividends and qualifying shareholding profits may be excluded

The result after adjustments? That’s your taxable income.

Step 4: File Through the FTA Portal

Once your taxable income is ready, head back to the portal. Filing is electronic only.

You’ll submit:

• Company and TRN details
• Income calculations and adjustments
• Supporting financial statements

Each tax period is usually 12 months, matching your financial year. The deadline? Nine months after year-end.

For example: If your year closes in December 2025, your filing deadline is September 2026. Miss that, and the penalties start rolling.

Step 5: Pay What’s Due

Submitting is half the job, and payment is the other half. The FTA portal lets you pay through multiple methods, including local bank transfers.

• Once submitted, the system generates the tax liability amount.

• Pay online via:

  • Bank transfer (GIBAN)

  • Credit/Debit card

The FTA doesn’t wait, and delayed payments quickly turn into daily penalties. Many businesses avoid this by setting up filing schedules with Xact Auditing, making sure deadlines and cash planning stay on track.

Avoid These Costly Mistakes

Even experienced businesses sometimes trip up. Watch out for these:

• Forgetting to register early
• Missing filing deadlines
• Mixing personal and business expenses
• Mislabeling non-deductible costs
• Not reconciling bank statements with reported income

One small slip can bring a fine, which is why outsourcing the compliance part makes sense for a lot of companies.

Who Needs to File Corporate Tax in UAE?

Not every company ends up paying corporate tax, but almost every registered business has to file. Right now, in 2025, this is how the tax rules break down:

• Businesses making more than AED 375,000 in taxable income fall under the 9% corporate tax rate.
• Free zone businesses can still enjoy 0%, but only if they meet the FTA’s qualifying rules.
• Multinationals with revenues above EUR 750 million fall under global “Pillar Two” tax rules.
• Small businesses under the threshold may qualify for relief but still must register and file.

Why Filing Matters More Than You Think

Many business owners assume tax is only about “paying the government.” In reality, filing properly protects you from:

• Penalties for late or wrong submissions
• Future disputes if the Federal Tax Authority (FTA) comes knocking
• Bad records that scare away investors or banks

Think of it this way: a clean tax record is like a good credit score for your business. It keeps doors open.

Documents Required to File UAE Corporate Tax 

• Trade License Copy
  – Valid and updated trade license of the business.

• Tax Registration Number (TRN) Certificate
  – Proof of corporate tax registration with the Federal Tax Authority (FTA).

• Emirates ID & Passport of Authorized Signatory
  – Identification of the person filing the return.

• Audited/Unaudited Financial Statements
  – Preparation of financial audit in compliance with IFRS (Income Statement, Balance Sheet, Cash Flow).

• Bank Statements
  – To support financial records of income and expenses.

• Invoices & Expense Records
  – Sales invoices, purchase invoices, payroll records, and receipts.

• Details of Related Parties & Connected Transactions (if applicable)
  – For Transfer Pricing disclosure and compliance.

Questions related to Corporate Tax in UAE

Some common questions on the EmaraTax portal include:

1. Business Structure

   • Is your business a mainland entity or a free zone entity?

   • Do you qualify as a Qualifying Free Zone Person (QFZP)?

2. Exemptions & Reliefs

   • Are you claiming Small Business Relief (revenue ≤ AED 3 million)?

   • Do you have any exempt income (e.g., dividends from UAE entities)?

3. Related Party Transactions

   • Do you have any related parties or connected persons?

   • Are you required to submit a Transfer Pricing in UAE Disclosure Form?

4. Foreign Income

   • Did you earn any income outside the UAE?

   • If yes, is foreign tax credit being claimed?

5. Tax Grouping (if applicable)

   • Are you part of a Tax Group?

   • Are you filing as a Parent Company or a Subsidiary?

After working with dozens of businesses in the UAE, we’ve noticed that a few small habits make corporate tax return filing far easier:

• Closing your accounts every month instead of cramming everything in at year-end
• Keeping business and personal expenses separate from day one
• Using cloud accounting so everyone has visibility in real time
• Scheduling quarterly reviews with a tax consultant instead of waiting until the deadline
• Keeping up with FTA updates, because the rules are still evolving in 2025

File Your Corporate Tax Return in UAE Smoothly with Xact Auditing

Corporate tax in the UAE can look intimidating on paper, but once you break it down, it really comes down to five steps: register, keep your books in order, calculate, file, and pay. Do it properly, and it becomes part of your normal business routine. Leave it unchecked, and the penalties grow fast.

The smartest move? Learn the basics so you stay informed, but lean on professionals to handle the details. With Xact Auditing, you don’t just submit a return; you get a partner making sure your business stays compliant and stress-free.