UAE Corporate Tax: Businesses must be careful with their ‘branch’ licenses

UAE Corporate Tax: Businesses must be careful with their ‘branch’ licenses

Amidst the cheers for the new year, businesses observing the January to December financial year will transition into the era of corporate tax. Even though their corporate tax returns are due only in September 2025, a few points certainly merit a quick review.

The tax registration will provide recognition to the individuals/companies as registered taxpayers. The online registration process is simple ,and a timely registration is encouraged by the authorities. Adequate time would then be available to the authorities to review the applications and provide feedback.

With the Emaratax technology, the corporate tax registration replicates the information submitted earlier for Value Added Tax (VAT). Reflecting on my experience, a timely application will help identify the gaps – hitherto unnoticed – in VAT registrations and related information. Such gaps need to be rectified first and may prove time consuming before the corporate tax registration is approved.

Plans to close the company in 2024?

Business owners seem to be hesitant to register for corporate tax. The resistance to an eventuality is often amusing. Owners planning to liquidate their companies during 2024 seems to have a misunderstanding that they can avoid registration.

The company’s obligations to register, submit a corporate tax return for