Corporate tax services in UAE are usually framed to optimize your tax strategy and improving the economic efficiency of the businesses. Registration for UAE Corporate Tax As per the Federal Tax Authority, every taxable person including those under the Free Zone Persons category needs to register for Corporate tax, it may be subject to the authority’s discretion. Once you have done Corporate tax registration in UAE , you will receive a corporate tax registration number by which you can continue to file for Corporate tax. Filing for Corporate Tax After the registration , companies must prepared themselves for corporate tax filing within the nine months after the end of their relevant tax period. If the tax period of a company started on 1 January 2024 , then last day for filing Corporate tax return is 30 September 2025. For the companies whose tax period started on 1 June 2023, then the Corporate tax could be file till 28 February 2025.The Corporate tax returns can be filed on the website of Federal Tax Authority , where by the owned amount can be calculated correctly and hence paid timely. A perfect Corporate Tax planning in Dubai is required for this regime and the First Check Consultants can help you not only at the time of Corporate tax registration in UAE but also in preparing financial statements to support your determined taxable income and submitting your annual Corporate tax returns accurately and timely. How to compute Corporate Tax Services in UAE ? In UAE , Corporate tax is calculated at 9% of the taxable income exceeding AED 375,000 within a financial year along with the adjustments of applicable expenditures and deductions. If your enterprise has earnings below this threshold, it will be subject to a 0 % Corporate Tax rate. With the step by step procedure you can approach to the calculations of UAE Corporate tax : 1 – Collect all the financial records or statements of your company as per the IFRS or similar standards. 2 – After the calculation of revenues and expenditure , calculate the company’s profit within the taxable period and mention it as net profit within your financial statements. 3 – Review your financial statement and identify the non – deductible expenses and income exempted from corporate taxes if they might have been calculated while the computation of net profit. 4 – In the next step, apply the relevant tax rate based on Dubai’s tiered system. Formula for computing Corporate Tax Corporate Tax = Net Profit obtained x Corporate tax rate as applicable Example – If your company’s net profit for the taxable period is AED 800,000. Then calculation of Corporate tax will be as : Since net profit of AED 800,000 exceeds the AED 375,000 threshold, then there will be no need of the adjustments for computing taxable income and hence the taxable income for Corporate tax purposes is AED 800,000. As the taxable income surpasses AED 800,000 and applicable tax rate is 9 %, then by using the above formula we will calculate the Corporate tax as, Corporate Tax = AED 800,000 x 9% Corporate Tax = AED 72,000 Since Corporate Tax regime is relatively new in UAE, so it is important for you that take the guidance or advice of experienced Tax consultants in Dubai who can help you to come out of this complex situation . Taxable entities of UAE Diverse entities and people are engaged in financial activities of UAE as: Resident people A normal person engaging in commercial enterprise inside the UAE. Juridical entities incorporated , mounted ,or diagnosed within UAE or overseas entities managed in UAE. Non- Resident people People having permanent establishment in corporate tax services UAE, derive profit sourced within UAE or have a nexus inside the UAE. Branches of the non- resident people inside the UAE are dealt with as the same taxable man or woman for taxation functions. Conclusion The First Check is the team of tremendous Tax consultants in Dubai who analyzes and understands the complexities of Corporate tax services in Dubai and ensures you compliance with all regulations and helps you in improving the economic fitness of your business.
To comply with the VAT and Corporate Tax Regulations, companies in UAE must understand the tax laws and regulations and ensures that their accounting as well as financial system align with the requirements of tax payers. This is the situation where tax consultants come in. A tax consultant in Dubai is an expert who guides the individuals as well as businesses on tax related matters. He is a person whose motive is to minimize your tax liability and maximizes your tax benefits. A tax consultant is essential for navigating the complexities of taxation. Need of Tax Consultant in Dubai Tax consultants or VAT consultants plays a very critical role in helping the businesses to understand the impact of VAT on their business operations and assists the tax payers in implementing the effective VAT strategies for the successful operations of their business. So with the below discussed points the importance or the need of well qualified and experienced tax consultant or a VAT consultant in Dubai: Experience and knowledge The organizations which are providing tax advisory services in Dubai always hires a team of professionals who are experienced as well as knowledgeable with respect to the taxation and laws such as VAT and Corporate Tax. Such consultants understands your business operations to minimize your tax liability and maximize your tax recoveries. Risk assessment Tax consultants in Dubai are experienced enough to assess the risk associated with your business set up. So the precision of data is ensured by the tax or VAT consultants in Dubai by taking extra care. They cross check the VAT files with the help of advanced technology and manual reviews. Compliance Tax consultants holds the expertise in tax laws, tax planning and tax compliance also. So people hire the tax consultant in Dubai which provides the best tax consultants to you for the long as well as short term tax optimization. A tax consultant ensures that the business complies with all the tax regulations in Dubai. How a Tax Consultant in Dubai helps in excise tax? A Tax Consultant in Dubai provides specialized advice on all aspects of excise tax compliance, including understanding of how to calculate the correct amount due ,how to register with Federal Tax Authority (FTA), file returns correctly, understand exemptions and deductions and other related matters. Excise tax is an indirect tax paid on certain commodities known as “excise goods” that are often damaging to human health or the environment. In the year 2017,the excise tax was implemented across the UAE. Products registered as excise goods are: Carbonated drinks including beverages and sweetened drinks. Nicotine and tobacco products. E – cigarettes and fluids used in electronic smoking devices. Energy drinks and alcohol A tax consultant can help you for the excise tax advisory services in Dubai in the following ways: Compliance the taxation laws – Ensures the businesses to comply with all the tax regulations of Dubai which includes registration with in Federal Tax Authority(FTA) ,filing of returns and payment of all the taxes on time. Determines excise law in industries – For businesses operating in highly regulated industries,a tax consultant in dubai understands the requirements for determining the amount payable for excise taxes. In Dubai excise taxes are applicable across a range of industries from oil and gas production to telecommunications and tourism sectors. Maintaining records – Maintaining the tax records is a daunting task in Dubai. Therefore a tax consultant maintains your documents required for excise tax records and reconciliation a hassle free task . Manages excise tax obligations – An experienced and knowledgeable tax consultant is dedicated for helping you and your businesses to understand your business operations and applying effective strategies for managing excise tax obligations. Updated on changing regulations – Tax regulations doesn’t remains the same forever, they are subject to change and thus an experienced tax consultant can help the business to be updated on any changes in excise tax and will guide the tax payers to comply with the laws . Supports in auditing – At the time of excise audit by the concerned authorities , a tax consultant always provide support in documentation and explanation of the tax positions . To ensure compliance with all the legal obligations relating to the payment of excise taxes in Dubai, many businesses now hiring business set up consultants in UAE who are specializes in offering advice on tax liabilities for various products and services available in UAE market. CONCLUSION The First Check Consultant is a business set up consultants in UAE which primarily deals in Corporate tax services in UAE including VAT and Corporation Tax, audit and assurance, compliance and risk management, etc. The team of experienced professionals will help you to navigate the complexities of UAE taxation policies and ensuring you the compliance and fully optimizing tax liabilities. The First Check Consultants has an extensive experience in various domains which understands the needs of each client and provide them the best output with excellence, integrity and client satisfaction. Read More: The Importance of Corporate Tax Planning in Dubai, UAE for a Business Which Company Provides The Best Business Setup in Dubai, UAE? How To Find The Right UAE Business Partner For Your Needs What Is The Corporate Governance Of The UAE? Who is the Best Business Setup Consultant in UAE? Who is required to register for corporate tax in UAE?