Knowledge of taxation is essential for running any business. Businesses operating in the UAE must be familiar with the country’s taxation system, including the newly introduced corporate tax. In this article, we will explore the details of corporate tax, its tax period, and the deadline for submission.
In an effort to comply with international standards, the UAE government has introduced a new corporate tax structure. Known for its oil-based economy, the UAE aims to diversify its revenue sources through such tax reforms. The government has been investing in innovation and technology and making tax reforms to attract more businesses. This shift began with the introduction of VAT in 2018 and has now progressed with the introduction of corporate tax. The Ministry of Finance announced the introduction of corporate tax on January 31, 2022, with implementation expected to begin with the start of the new financial year in June 2023.

Determination of the Corporate Tax Period
The taxable period of a taxable person is defined as the financial year or part thereof for which a tax return is to be filed. According to the decree, the corporate tax period or financial year of a taxable person shall be the Gregorian calendar year or the twelve (12) month period for which the taxable person prepares their financial statements.
A taxable person can request a change in their tax period, including the start or end date or a different tax period, subject to conditions set by the authority.
Deadline for Submission
According to Article 51 of the Decree, a taxable person is required to file their tax returns with the authorities as prescribed. Such returns need to be filed no later than nine months from the end of the relevant tax period or on a date directed by the authority.
Illustrations
If the financial year ends on May 31st:
– The Corporate Tax Law will be applicable from June 1, 2023; hence, the first tax period will be from June 1, 2023, to May 31, 2024. The return filing due date for this period will be February 28, 2025.
If the financial year ends on December 31st:
– The Corporate Tax Law will be applicable from June 1, 2023, but will apply from the next financial year, i.e., January 1, 2024. The first tax period will be from January 1, 2024, to December 31, 2025. The return filing due date will be September 30, 2026.
Businesses with an accounting period from June 1st to May 31st will have 26 months for registration, while those with an accounting period from January 1st to December 31st will have 33 months for registration.
Tax Return Requirements
The tax return should include the following information:
– The name, address, and tax registration number of the taxable person
– The date on which the tax submission is made
– The basis of accounting used in the financial statements
– The tax period to which the tax return applies
– The taxable income for the mentioned tax period
– The amount of tax loss relief claimed
– The amount of tax loss that is transferred
– The tax credits available
– The final corporate tax payable
If the authority requires any information, documents, or records for implementing the decree law, the taxable person must comply and provide the necessary documents.
If the disclosure of information concerns national security or is contrary to the public interest, the minister may prescribe the form in which the tax return needs to be filed with the authority.
Conclusion
As a business operating in the UAE, it is crucial to understand the corporate tax law and its nuances. Companies must be aware of the tax period and the deadline for submission to comply with regulations and file their tax returns on time, avoiding penalties. A comprehensive understanding of these topics can ensure smooth business operations.
How Unicorn Global Solutions Can Help with Corporate Tax Submission
Unicorn Global Solutions is an expert in corporate tax submission and can assist you in meeting your tax obligations efficiently. We ensure that your financial records are accurately maintained and that all tax forms are completed correctly and submitted on time. Our team of experienced accountants will work closely with you to understand your business and identify all applicable tax deductions and credits to minimize your tax liability. We also provide guidance on tax planning strategies to help you make informed financial decisions and achieve your long-term goals. Let Unicorn Global Solutions take the stress out of corporate tax submission and help you stay compliant with tax laws. Text us on WhatsApp or call us today.