Tax Compliance in Dubai For Foreigners

• Must be filed by all-registered businesses in Dubai, even with zero per cent tax liability. 
• Individuals, freelance professionals, branch offices, PEs, and companies managed and controlled in Dubai’s mainland or freezone. 
• Companies and entrepreneurs must be registered for corporate tax and must possess a tax registration number (TRN). 
• All financial statements must be formulated as per the International Financial Reporting Standards. 
• Qualifying free zone companies must audit their books of accounts before filing the return.

Natural persons, including freelance license holders, are subject to corporate tax if their annual turnover exceeds AED 1,000,000. You can file and pay taxes if you meet this threshold. Investment and real estate income are excluded from this.

The tax period of a company is mostly the financial year, which can be the Gregorian calendar or any 12-month period when the financial statements are prepared. It always starts at the beginning of the fiscal year.

Yes, all types of registered business entities, whether private or public joint stock companies, are required to register for corporate tax in Dubai. However, you must only enroll in value-added tax if your annual turnover exceeds the USD 102,110 threshold.

The types of taxes in Dubai include corporate, excise, VAT, municipal, and social security contributions. There’s no personal, capital gains, stamp duty, or payroll tax in the UAE.

Yes, all businesses registered in Dubai’s freezone are required to register for taxes. They can opt for the 0% special rate for qualifying income.

Yes, you must obtain the services even after registration because the professionals will assist you in filing your tax returns, maintaining financial accounts, and adhering to regulatory mandates by the UAE authorities.

The FTA launched an EmaraTax digital services platform that will help you file various tax returns. You can also register your firm/company for tax registration with this service. It is a user-friendly interface, which can be accessed 24/7.

Yes, branch offices are usually required for corporate taxes because they generate revenue within Dubai’s mainland or freezone through permanent establishment status. The PE status applies to all offices with a fixed place of business or an agent who operates on behalf of its parent entity.

A tax compliance officer in Dubai will help you with the following:

• Prepare and file your annual tax returns. 
• Liaison and respond to queries with the Federal Tax Authority. 
• Create internal tax policies aligned with your business. 
• Establish risk management procedures by identifying and assessing risks relating to the UAE laws. 
• Conduct audits to ensure compliance with the UAE tax regulations. 
• Advise your business strategies and mergers with respect to tax implications. 
• Maintain registers and tax databases to ensure external audit readiness. 
• Track new developments in corporate, VAT, and excise tax laws. 

• Tax Consultation with Experts :- If you face issues with VAT, corporate, or excise tax matters, our experts analyze the scenario and provide optimal tax advice. Our consultants have in-depth knowledge of UAE-specific laws, international taxation, permanent establishment (PE) advisory, real estate taxation, and import-export regulations.
• Custom Registration :- Our associates assist in obtaining a customs registration number or import-export code and help link it with your business Tax Registration Number (TRN).
• Tax Residency Certificate :- To avail benefits under Double Tax Avoidance Agreements (DTAs), our associates help you obtain a UAE Tax Residency Certificate.
• VAT Refund Requests Support :- Our tax agents represent your business before the Federal Tax Authority (FTA) to secure VAT refunds by reconciling invoices and receipts when VAT paid exceeds VAT collected.
• Compliance with FTA Amendments & UAE Regulations :- We continuously monitor updates in UAE tax laws and FTA portal amendments to keep your compliance governance aligned with regulatory changes.
• Tax Health Check :- Enterslice’s tax health check assesses your company’s tax compliance status at a given time. It is essential during corporate restructuring, M&As, dissolution, or business sale, helping identify potential compliance risks and penalties.
• Proactive Tax Planning :- Our Chartered Accountants help reduce tax burdens by aligning your financial models with current UAE tax compliance requirements.
• Transfer Pricing :- Our transfer pricing experts ensure compliance with TP rules, documentation, and filing requirements for your company, branches, and related parties, helping minimize penalties through robust accounting mechanisms.

The Federal Tax Authority has reiterated that if a taxpayer fails to make the return within the due date, the authority will levy a USD 140 per month fee for the first 12 months, which will be increased to USD 280 per month if the noncompliance is continued from the 13th month onwards.

If you’re registered for Value Added Tax, then you must file a return even if you have no taxable supplies at a given time. Businesses with less than USD 40 million annual aggregate are required to file a quarterly return; if turnover exceeds the limit, a monthly VAT return must be filed by the 28th of each month.