The UAE’s Federal Tax Authority (FTA) has called on all natural persons subject to Corporate Tax to submit their Tax Registration applications by March 31, 2025 to avoid administrative penalties.
The FTA previously issued a guide titled ‘Registration of Natural Persons (CTGRNP1)’ to inform individuals about the requirements for Corporate Tax registration.
According to the FTA, a natural person is defined as a living individual of any age, residing in the UAE or elsewhere.
Such persons are subject to Corporate Tax if they conduct a business or business activity in the UAE. This includes sole establishments and individual partners in unincorporated partnerships conducting business or business activities in the UAE.
The FTA clarified that the first potential tax period for natural persons conducting a business or business activity is the 2024 calendar year.
UAE corporate tax filing
In a press release issued on Tuesday, the FTA stated that any natural person conducting a business or business activity in the UAE during 2024 or subsequent years, with a total turnover exceeding AED 1 million in that year, is considered a taxable person.
Such individuals must register for Corporate Tax by March 31 of the year following the year in which their turnover exceeded AED 1 million and fulfil all Corporate Tax obligations.
For instance, if a natural person conducting business in the UAE during 2024 records revenue exceeding AED 1 million by July 31, 2024, they must submit their Corporate Tax registration application by March 31, 2025. Additionally, they are required to file a Corporate Tax return by September 30, 2025.
Failure to submit a Tax Registration application by the specified deadline will result in an administrative penalty of AED 10,000.
The FTA has urged all concerned individuals to review Corporate Tax legislation, implementing decisions, guides, public clarifications, and awareness materials available on its website.
Corporate Tax registration is accessible through the EmaraTax platform, which provides 24/7 digital tax services.
The Tax Registration process is outlined in a step-by-step format on the platform. The FTA has also published the ‘Corporate Tax Registration – Taxpayer User Manual’, detailing the registration process.
Individuals already registered for VAT or Excise Tax can use their existing accounts on EmaraTax to complete their Corporate Tax registration. Upon approval, they will receive a Tax Registration Number for Corporate Tax purposes.
New users can create an account on EmaraTax by registering with an email ID and phone number. Once the profile is created, users can select the Corporate Tax registration option and complete the process.
Corporate Tax registration applications can also be submitted through Tas’heel Centres across the UAE.
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