Corporate Tax Filing in the UAE – Deadlines, Documents & Penalties

A Professional Guide for UAE Businesses – Compliance Requirements and How IAS Can Support You

The implementation of Corporate Tax in the UAE marks a major milestone in the country’s tax landscape. For the first time, companies are now required to calculate taxable profits, maintain structured documentation, and file an annual Corporate Tax return. While the UAE’s tax rate remains globally competitive at only 9%, the compliance expectations are detailed and require professional attention.

As businesses approach their first or second Corporate Tax filing cycle, many are realising the importance of proper planning, timely documentation, and accurate tax computations. With penalties now applicable for late filing, late payment, incorrect returns, and insufficient records, Corporate Tax is no longer an administrative formality, it is a core compliance requirement.

Integrity Accounting Services (IAS) supports companies across all sectors with Corporate Tax filing, tax computations, documentation, and reconsideration submissions.

This guide outlines everything UAE businesses need to know about deadlines, documents, penalties, and best practices.

Understanding Corporate Tax in the UAE

Corporate Tax applies to most UAE businesses that generate taxable profits. Although the legislation is principles-based, compliance requires careful interpretation of the law, executive regulations, and FTA guidance. Companies must ensure their accounting records, financial statements, and tax adjustments are properly maintained to support the figures declared in the return.

This can be particularly challenging for SMEs, growing entities, or businesses with multiple income streams, related-party transactions, or free zone operations. As the UAE transitions into a documentation-driven tax environment, early preparation is more important than ever.

Corporate Tax Filing Deadlines

Corporate Tax returns must be filed within nine months from the end of the financial year.

Most UAE companies follow a calendar year, meaning the filing deadlines for 2025 and 2026 are already here or fast approaching. Below is an expanded table, including common 2025 and 2026 financial year-ends, especially those whose deadlines have already passed, something many clients are now dealing with.

Corporate Tax Filing Deadlines for FY 2025 & FY 2026

This expanded view makes compliance planning clearer for companies that operate on non-calendar financial years and helps identify any potential late filings or missed submissions.

Documents Required for Corporate Tax Filing

Corporate Tax requires a high level of documentation to support taxable income calculations and tax adjustments. The FTA may request these documents during audits or reviews.

Financial Statements & Accounting Records

Financial statements must be prepared under IFRS, and all ledgers, trial balances, and reconciliations must support the tax return.

Tax Adjustments & Supporting Schedules

Businesses must provide evidence and calculations for:

• Non-deductible expenses
• Exempt income
• Unrealised gains/losses
• Entertainment adjustments
• Interest deductibility rules
• Arm’s length pricing for related-party transactions

Transfer Pricing Documentation

Companies with related-party transactions must prepare a Transfer Pricing Disclosure Form and, where applicable, a Master File and Local File.

Free Zone Evidence

To claim the 0% t rate as a Qualifying Free Zone Person, documentation must prove:

• Substance and staffing
• Core Income-Generating Activities (CIGAs) performed in the UAE
• Segregation of qualifying and non-qualifying income

Incomplete documentation is one of the most common reasons for penalties and adjustments.

Practical Case Studies: How Issues Commonly Arise

Case Study 1: Filing Without Proper Working Papers

A consulting firm submits its Corporate Tax return based on final financial statements but cannot provide schedules for provisions, allocations, or accruals during an FTA review. As a result, several deductions are disallowed, increasing taxable income and resulting in penalties.

Case Study 2: Missed 31 December 2024 Deadline

A business with a 31 March financial year-end delays its audit and tax computations. By the time tax working papers are ready, the 31 December 2024 deadline has passed. The business now faces late filing penalties and late payment penalties.

Case Study 3: Incorrect Related-Party Pricing

A free zone business charges related entities below-market prices without benchmarking. During review, the FTA challenges the pricing and adjusts taxable income, resulting in tax exposure and penalties for incorrect filing.

These cases show the importance of early preparation and maintaining proper audit trails.

Corporate Tax Penalties in the UAE

Penalties apply when businesses fail to comply with their Corporate Tax obligations.

• 1. Late Filing Penalty
  A fixed penalty applies for failing to file the Corporate Tax return on time.
• 2. Late Payment Penalty
  A monthly penalty equivalent to 14 percent annually is imposed on unpaid tax amounts.
• 3. Incorrect Return Penalties
  Submitting incorrect information or understatement of tax may lead to fixed penalties and recurring penalties on the tax difference.
• 4. Failure to Maintain Proper Records
  Penalties of AED 1,000 per violation, increasing to AED 20,000 for repeated violations, apply when businesses cannot provide supporting documentation.
• 5. Voluntary Disclosure Penalties
  If a business does not correct errors through a timely voluntary disclosure, penalties of 1 percent per month apply.

How IAS Helps Businesses Stay Fully Compliant

• 1. Complete Corporate Tax Filing Support
  IAS prepares your full Corporate Tax computation, reconciles financial statements, and files the return with the FTA.
• 2. Corporate Tax Health Checks
  We identify risks, errors, and documentation gaps that may lead to penalties or FTA queries.
• 3. Transfer Pricing Compliance
  IAS prepares Disclosure Forms, benchmarking studies, and complete Transfer Pricing documentation.
• 4. Free Zone Compliance & QFZP Support
  Our team ensures free zone entities maintain the substance and documentation needed to qualify for the 0% rate.

Corporate Tax filing is now a core compliance requirement for all UAE businesses. With deadlines fast approaching and many already lapsed companies must ensure they prepare early, maintain accurate records, and understand the full tax implications of Corporate Tax in the UAE