The Federal Tax Authority (FTA) has announced that more than 33,900 businesses have benefitted from the Corporate Tax Late Registration Penalty Waiver Initiative as of the end of July 2025.
Launched to support businesses during the transition to the UAE’s Corporate Tax regime, the initiative aims to encourage timely compliance and reduce financial burdens associated with late registration penalties.
The FTA emphasized that Thursday, 31 July, marked the final deadline to benefit from the initiative for the majority of Corporate Tax payers whose first Tax Period runs from 1 January to 31 December 2024.
Despite the growing number of registrations, many businesses in the UAE have yet to sign up—and now face a mandatory AED 10,000 fine if they missed the July 31 deadline. This includes freelancers, small businesses, free zone companies, and even individuals earning business income.
Unlike VAT, Corporate Tax in the UAE is broadly applicable. Registration became official in 2023 and is now mandatory, even if a business isn’t yet profitable.
However, there is still hope.
The FTA is offering a second chance under a temporary waiver program. If your business registers and files its Corporate Tax return within a few months of the end of your financial year, you may still qualify for the fine to be waived.
How to Register on EmaraTax:
- Go to the EmaraTax portal
- Log in using your Emirates ID and business license
- Complete the Corporate Tax registration form
- Submit and save a copy for your records
Stay compliant and avoid penalties.
For more information, visit the FTA official website or contact us.