The UAE’s introduction of corporate tax has transformed how businesses operate and report their income. By October 2025, over 640,000 companies had already registered with the Federal Tax Authority(FTA)—a clear sign of growing compliance and awareness. Whether you’re a startup or a multinational, understanding FTA corporate tax registration is now essential for staying compliant and avoiding costly penalties.
Why Corporate Tax Registration Matters
Corporate tax registration isn’t optional — it’s a legal requirement for all UAE-based entities engaged in commercial activity. The FTA uses this system to ensure fair taxation and strengthen the UAE’s economic transparency. Businesses that fail to register within the stipulated time frame can face AED 10,000 penalties, suspension of FTA services, or even operational delays.
Who Must Register
Every LLC, partnership, branch office, or freelancer earning more than AED 1 million annually must register through the FTA’s EmaraTax portal. Even Free Zone companies—though often eligible for tax exemptions—must complete registration to maintain compliance and claim benefits.
UAE Corporate Tax Rates & Thresholds
- 0% tax on profits up to AED 375,000 (benefiting small businesses).
- 9% tax on profits exceeding AED 375,000.
- 0% for Qualifying Free Zone Persons (QFZP) who meet all conditions.
- 15% for Multinationals under the new DMTT (Domestic Minimum Tax Top-up) rules effective January 2025.
These rates keep the UAE among the most business-friendly tax regimes globally — far lower than regional and global averages.
Corporate Tax Registration Deadlines
The FTA mandates that every business must register within 3 months of incorporation or before the first financial year ends. Late registration incurs a fixed AED 10,000 penalty, while delayed filing can result in monthly fines of AED 500 to AED 1,000.
For details, refer to the official Federal Tax Authority (FTA) guidelines.
Step-by-Step FTA Registration Process (via EmaraTax)
- Create an EmaraTax Account: Visit the FTA portal and sign up.
- Submit Business Details: Include trade license number, legal form, and address.
- Upload Required Documents: Valid trade license, MOA/AOA, passport, Emirates ID, and shareholder details.
- Add Financial Information: Provide turnover data and expected taxable income.
- Submit Application: Review before submission to avoid errors.
- Await Approval: The process typically takes 10–20 business days.
The process is straightforward — but attention to detail is crucial.
Documents Required
- Valid Trade License
- Memorandum & Articles of Association (MOA/AOA)
- Passport and Emirates ID of shareholders
- Bank account details
- Board Resolution (for larger firms)
- Power of Attorney (if applying through a representative)
Missing or invalid documents are among the top causes of FTA rejections.
Free Zone vs Mainland Registration
While both must register with the FTA, the treatment differs:
- Free Zone entities (QFZPs): May enjoy 0% tax but must meet qualifying conditions (income source, audited accounts, etc.).
- Mainland companies: Taxed at 9% on profits exceeding AED 375,000.
Failing to register disqualifies even Free Zone firms from enjoying tax benefits.
Common Mistakes to Avoid
- Submitting incomplete or outdated documents.
- Selecting the wrong entity type (e.g., Free Zone vs Mainland).
- Missing registration deadlines.
- Assuming Free Zone companies are exempt from all tax obligations.
- Providing unaudited or inaccurate financial data.
Partnering with professionals can prevent these pitfalls.
📎 For expert help with Corporate Tax Registration in UAE, visit
AlZarooni Associates – Corporate Tax Registration in UAE
Penalties for Non-Compliance
| Violation | Penalty |
|---|---|
| Late registration | AED 10,000 |
| Late filing (months 1–12) | AED 500/month |
| Late filing (after 12 months) | AED 1,000/month |
| Late payment | 14% annual interest |
| Incorrect return | AED 500 per filing |
FTA can waive penalties under Cabinet Decision No. 3 of 2024 if businesses rectify their filings promptly.
Why Choose AlZarooni Associates
AlZarooni Associates is a trusted corporate tax consultant in Dubai offering expert support for all stages of tax registration and compliance.
Why businesses trust them:
- Deep expertise in FTA compliance & EmaraTax processes
- Custom tax strategies for Free Zone and Mainland entities
- Ongoing tax advisory & filing support
- Proven record of penalty prevention timely filings
📎 Learn more about professional Corporate Tax Registration in Dubai
AlZarooni Associates – Corporate Tax Services
Call to Action
Don’t risk penalties or delayed approvals. With corporate tax compliance now a legal necessity, every day counts. Let experts handle your registration while you focus on growing your business.
📞 Contact AlZarooni Associates today to streamline your FTA Corporate Tax Registration — ensuring full compliance, accurate filings, and peace of mind.
Quick FAQs
All companies, freelancers, and individuals earning over AED 1 million annually.
9% on profits above AED 375,000 and 0% below.
A fixed AED 10,000 penalty applies.
Yes — even if exempt, registration is mandatory.
Typically between 10–20 working days.
Conclusion
Corporate tax registration is more than a procedural requirement — it’s a cornerstone of your business’s financial credibility in the UAE. With over 640,000 companies already registered, compliance is no longer optional.