Blogs

Chapter Nineteen – Transitional Rules Transitional provisions are crucial in any tax regime to ensure a smooth shift from existing practices to adopt the new regulatory framework. These transitional rules guide how businesses prepare their opening balance sheet for tax…

In the UAE Corporate Tax framework, compliance with tax obligations is not only a legal requirement but also a key factor in maintaining business credibility and operational integrity. While the legislation provides avenues for lawful deductions, credits, and refunds, it…

The chapter seventeen of the Federal Decree-Law No.47 of 2022 outlines the documentary and procedural obligations for filing returns, preparing financial statements, maintaining records, and complying with transfer pricing rules. The provisions of this chapter ensure that the tax authority…

This chapter establishes the rules on when and how the taxable persons must register for Corporate Tax, the scenarios where the authority can initiate registration, and the conditions that must be satisfied for deregistration. It also offers the authority with…

The UAE Corporate Tax regime offers a range of deductions, exemptions, and reliefs to help taxpayers and encourage investment and economic growth, where these benefits are meant to be applied in good faith and in line with commercial reality. To…

The corporate tax compliance in UAE is a fundamental responsibility for businesses operating within the country. The chapter Fourteen of the Federal Decree-Law No. 47 of 2022 outlines the requirements related to the corporate tax payable and the conditions under…

The Chapter Thirteen of the Federal Decree-Law No. 47 of 2022 establishes the conditions and methods for calculating the corporate tax payable by a taxable person, mentioning how amounts must be reported, the order in which the tax liabilities need…

In the United Arab Emirates (UAE), the corporate tax framework provides mechanisms that permit related entities to consolidate their tax reporting obligations for efficient tax process and compliance reasons. One such mechanism is the formation of a Tax Group, which…

Chapter Eleven – Tax Loss Provisions Under the UAE Corporate Tax framework, certain deductions are permitted to ensure that the taxable base reflects the financial performance of a business.  The adjustment for tax losses enables businesses to offset losses from…

The Article 34, 35, and 36 of the Federal Decree Law No. 47 of 2022 outlines the rules governing transactions between related parties and connected persons. This helps to ensure that transactions with related parties and connected persons are conducted…

This chapter outlines the provisions for the deductibility of business expenses under the UAE Corporate Tax regime when calculating the taxable income of a taxable person. Taxable persons understand more about allowable expenditures, the limitations of expenses in certain categories,…

This chapter explains the reliefs such as Transfers with a Qualifying Group and Business Restructuring Relief offered by the authority for certain businesses or income types to be exempt from corporate tax. Article 26 – Transfers Within a Qualifying Group…

Chapter Seven – Exempt Income The chapter seven of the UAE Corporate Tax Law covers the exempt cases where certain types of income are eligible to be taxed, reflects UAE’s alignment with global tax principles and foster economic competitiveness. The…

The chapter six of the Federal Decree Law No. 47 of 2022 and deals with rules and regulations for determining taxable income, and small business relief. This provides a clear computation for calculating taxable income and reduces complexity in corporate…

This chapter contains Article 18 and Article 19 of the corporate tax law which defines the framework for Qualifying Free Zone Persons (QFZP) for corporate tax purposes and election to be subject to corporate tax. Article 18 – Qualifying Free…

Find expert tips on choosing the right VAT consultant in Dubai. Stay compliant, avoid penalties, and improve cash flow with KGRN’s FTA-registered VAT services.

Confused about UAE Corporate Tax? Discover who qualifies as a taxable person, the difference between residents & non-residents, and how the tax base is calculated.

Article 4,5,6,7,8,9, & 10 Of Federal Decree Law No. 47 of 2022 Let us explore chapter three of the UAE Corporate Tax Law which covers exempt categories such as government entity, extractive businesses, non-extractive natural resource business, qualifying public benefit…

The UAE Ministry Of Finance (MoF) Releases New Decision For Unincorporated Partnerships, Family Foundations And Foreign Partnerships  On November 18, 2024, the UAE Ministry of Finance (MoF) released Ministerial Decision No. (261) of 2024, which superseded the Ministerial Decision No….

UAE’s New Free Zone Business Setup Assurances Awes Businesses – License in 2 Hours, Visa in 2 Days  The Ajman city in UAE has established Ajman NuVentures Centre Free Zone (ANCFZ), a groundbreaking free zone with a unique approach to…

The United Arab Emirates is known for its thriving economy, excellent infrastructure, investor-friendly environment and one of the world’s largest oil producing countries. The UAE government decided to diversify its economy and sources of income beyond oil resources and to…

Discover answers to the most common UAE company formation questions. Learn about licenses, legal structures, costs, and setup steps in Dubai & the UAE.

The UAE Ministry of Finance Issues Decision on Accreditation of E-Invoicing Service Providers The UAE is making significant progress toward a fully electronic and compliant E-Invoicing system. In order to enhance security, streamline transactions and improve tax reporting, the UAE…

Why Transfer Pricing Documentation Matters: Best Practices For Businesses in UAE For multinational companies in the UAE, maintaining proper transfer pricing documentation is crucial to remain compliant with tax regulations and stay away from its associated risks. To effectively navigate…

UAE Announces New Tax Rules For Qualifying Investment Funds (QIFs) and Qualifying Limited Partnerships (QLPs) On April 6, 2025, the ministry of finance has issued the Cabinet Decision No.34 of 2025 on the Qualifying Investment Fund and Qualifying Limited Partnerships…

Business valuation is the process of determining a company’s economic worth by analyzing its financial performance, market position, and assets. It provides a clear, data-driven estimate of value, essential for strategic and financial decisions. For business owners, entrepreneurs, and financial…

Starting a company in Dubai’s business hub is a smart choice for entrepreneurs. It offers a conducive business environment, modern infrastructure, and a varied economy. This guide will show you the perks of starting a business here. You’ll learn about…

FTA Decision No. 2 of 2025: Updated Policy on Issuance of Clarifications and Directives (Effective from 1 March 2025)  The Federal Tax Authority (FTA) has issued Decision No. 2 of 2025, introducing an updated and consolidated Policy on Issuance of…

FTA Decision No. 1 of 2025: Extension of Deadlines for Tax Assessment Review and Reconsideration Requests (Effective from 1 March 2025)  Date of Issue: 17 February 2025  Effective Date: 1 March 2025  The Federal Tax Authority (FTA) has issued Decision…

The roll out of corporate tax regulations in the UAE represents a transformative shift in the UAE’s financial landscape. As part of the corporate tax requirement, businesses are now required to adhere to specific accounting standards, primarily the International Financial…

How To Prepare For Your Annual Audit? Best Practices For UAE Businesses As most of the businesses in UAE approach the end of the fiscal year, it is crucial to prepare for the annual/yearly audit. This is the right time…

Dubai stands as a global hub for innovation, trade, and entrepreneurship, attracting businesses from around the world with its strategic location, world-class infrastructure, and investor-friendly policies. As of 2025, the emirate’s economy continues to thrive, driven by diversification into sectors…

Establishing an offshore company has become an increasingly popular strategy for businesses and individuals seeking to optimize their financial and operational structures. By setting up a company in a jurisdiction outside of one’s home country, often in a low-tax or…

Frequently Asked Questions (FAQs) About ICV Certification In UAE Securing an ICV certificate in UAE brings long-term growth for businesses and it’s crucial to stay competitive in the evolving business landscape. We have answered the most commonly asked questions in…

General Interest Deduction Limitation Rule in the UAE Corporate Tax: All You Need To Know  The UAE Ministry Of Finance issued Ministerial Decision No. 126 of 2023 on 30 May 2023, in relation to the General Interest Deduction Limitation Rule…

As Crypto Mining becomes increasingly popular, the attention to the tax treatment on CryptoCurrency Mining is essential. Businesses and individuals in UAE involved in the crypto mining activities have concerns regarding the VAT application on such activities. To rectify this…

On 6th February 2025, the UAE Ministry of Finance (MoF) published a public consultation paper on eInvoicing which includes the proposed UAE e-Invoicing data dictionary. This public consultation aims to gather feedback from all stakeholders on eInvoicing, promote transparency and…

The Public Company Accounting Oversight Board (PCAOB) recently proposed new updates requiring auditing firms to provide specific information regarding their audit practices on an engagement and firm level, expanding the public reporting.  Audit Firms that work with accelerated filers and …

Corporate Tax Return Filing in UAE If you’re running a business in the UAE, it is mandatory to file for Corporate Tax Return to comply with the tax regulations and avoid penalties. The Federal Tax Authority issues the timeframe for…

How to Choose the Best Auditing Firm in UAE in 2025? Have you ever thought about the impact that your business will create when choosing the right auditing partner?  If you agree that your business is much beyond the selling…

How To Prepare for Corporate Tax Filing in the UAE? The UAE has completely transitioned into the corporate tax era, making a paradigm shift in the country’s business landscape. With the introduction of corporate tax regulations, businesses now should adapt…

Important Guidelines for Correcting Errors or Omission in VAT Returns  The UAE FTA issued Decision No.8 of 2024 which outlines the Mechanism for correction of error or omission in the tax return submitted for VAT in UAE (effective from 1…

The UAE Ministry of Finance (MoF) announced amendments to Ministerial Decisions under Federal Decree-Law No. 47 of 2022 on Corporate Taxation. The Ministerial Decision No. (301) of 2024 on Tax Groups and Ministerial Decision No. (302) of 2024 on Participation…

On 30 September 2024, The Federal tax Authority in UAE included key provisions in the VAT regulations for the introduction and implementation of electronic invoicing (e-invoicing).  To establish a groundwork for e-invoicing, the UAE government amends certain provisions on the…

Domestic Minimum Top-up Tax (DMTT) for MNEs Will be Effective from 1, January 2025  The UAE Ministry of Finance (MoF) announced a significant update in the corporate tax regulation by introducing a 15% Domestic Minimum Top-up Tax (DMTT) for Multinational…

UAE Cabinet Decision No. 142 of 2024: Introduction of Top-up Tax on Multinational Enterprises (Effective from 1 January 2025)  Date of Issue: 31 December 2024  Effective Date: 1 January 2025  The UAE Cabinet has issued Cabinet Decision No. 142 of…

A new framework has been introduced by the financial markets of a Gulf Cooperation Council (GCC), to streamline fund passporting that integrate & strengthen the position of GCC financial markets in the global investment landscape. During the 29th meeting of…

Discover a complete guide to Mainland Company Setup in Dubai. Learn about legal requirements, licenses, benefits, and step-by-step processes for starting your business in the UAE’s thriving market.

The FTA’s introduction of corporate tax in the UAE mandates certain entities to prepare their financial statements based on IFRS or IFRS SMEs for reporting, which has elevated significant difficulties for entities that do not previously adopt IFRS standards. According…

UAE Ministerial Decision No. 302 of 2024: Participation Exemption and Foreign Permanent Establishment Exemption for Corporate Tax Law  Issued on 10 December 2024 | Effective from 11 December 2024  In a significant development, the UAE Ministry of Finance has issued…

Cabinet Decision No. 127 of 2024: Reverse Charge Mechanism for Precious Metals and Precious Stones (Effective from 15 February 2025)  Date of Issue: 16 December 2024  Effective Date: 15 February 2025  The UAE Cabinet has issued Cabinet Decision No. 127…

The IFZA Free Zone offers exclusive benefits like a Lifetime Visa, tax benefits, & more for entrepreneurs, startups, & global establishments, to set up a business in the thriving market of the UAE.

Planning to kick-start your dream business in Dubai or across UAE in 2025?  Here’s a clear roadmap to get started with your company formation process in Dubai or across the UAE and get down to business.  The business setup procedure…

Ministerial Decision No. 301 of 2024: Tax Group Provisions under UAE Corporate Tax Law (Effective from 10 December 2024)  Date of Issue: 9 December 2024  Effective Date: 10 December 2024  The UAE Ministry of Finance has issued Ministerial Decision No….

Is Audit Season approaching? No worries! We are here with this ultimate checklist to navigate your internal auditing process smoothly and confidently. From a mere compliance check to a strategic decision-making process. Internal auditing has evolved from a mere compliance…

From data analysis to decision making, AI is revolutionizing the accounting and finance industry. As we investigate the dynamics of accounting and finance, the practical implementation of AI technology presents impressive growth in enterprises by increasing efficiency and accuracy. Embracing…

Tax Alert! Bahrain to Introduce Domestic Minimum Top-up Tax for MNEs On September 1, 2024, the Kingdom of Bahrain introduced the domestic minimum top-up tax (DMTT) for large multinational enterprises (MNEs), by releasing the Decree Law (11) of 2024.  Moreover,…

Key Updates to DMCC Regulations and Licensing Rules You Need to Know The Dubai Multi Commodities Centre (DMCC) has recently updated its regulatory framework, with new rules coming into effect on October 10, 2024. These changes are designed to simplify…

Navigating FTA’s UAE Corporate Tax Guide – Real Estate Investment for Natural Persons On 24 October 2024, the UAE’s Federal Tax Authority released a comprehensive guide that outlines the implications on income derived from real estate investments for natural persons….

The International Financial Reporting Standards (IFRS) for Small and Medium-sized Entities (SMEs) were developed by the International Accounting Standards Board (IASB) as a simplified framework for smaller businesses. These standards cater specifically to entities that do not have public accountability,…

VAT Update Alert! Amendments On Executive Regulations Effective From 15th November 2024 On 2 October 2024, The UAE Federal Tax Authority released amendments to VAT Executive Regulations of Federal Decree-Law No. 8 of 2017 by publishing Cabinet Decision No. 100…

The first UAE Corporate Tax Filing Deadline was extended by FTA to 31st December 2024 On 25th September 2024, The Federal Tax Authority (FTA) released Decision No. 7 of 2024, declaring a crucial deadline extension for specific taxpayers to file…

VAT Public Clarification (VATP038) on Manpower & Visa Facilitation Services in UAE On 31 May 2024, the Federal Tax Authority (FTA) issued VAT Public Clarification VATP038 regarding the VAT treatment of manpower and visa facilitation services concerning employment visas and…

Golden Visa – Your gateway to success in UAE Are you dreaming of long-term residence in UAE? Whether you are starting a business, going to work or planning to study in UAE, the UAE’s ICP (Federal Authority for Identity and…

Ministerial Decision No. 261 of 2024: Clarifications on Unincorporated Partnerships, Foreign Partnerships, and Family Foundations (Effective from 1 June 2023)  Date of Issue: 28 October 2024  Effective Date: 1 June 2023  The UAE Ministry of Finance has issued Ministerial Decision…

The Taxation Era started already in the UAE. The introduction of Corporate Tax in the UAE brought a significant impact in the business world. Business owners, entrepreneurs, freelancers and other taxable persons must be aware of the UAE Corporate Tax Regime.

Discover a complete guide to the business restructuring process, its benefits, and essential steps. Learn how restructuring can improve efficiency, reduce costs, and drive business growth. Find expert insights and practical guidelines to optimize your company’s performance.

Learn how to set up an offshore company in Dubai. Explore the process, benefits, costs, and expert guidance for businesses and startups in the UAE.

Learn how to set up a company in Ras Al Khaimah Free Trade Zone 2025. Explore types of licenses, costs, benefits, step-by-step process, pros & cons, and FAQs for entrepreneurs and investors.

Explore the top 15 benefits of forming a company in Dubai’s free zones, from tax exemptions to 100% foreign ownership. Learn why Dubai is the perfect hub for your business.

Register corporate tax in UAE with the help of leading tax agents in UAE. Businesses can stay compliant, enjoy tax benefits, mitigate risks and streamline financial processes with best tax agents. How to Register Corporate Tax in UAE? Step-by-step Guide…

The Ras Al Khaimah Free Trade Zone (RAK FTZ), which was established in the year 2000, is a business and industrial hub of world-class caliber that offers a wide range of cost-effective packages and appealing incentives. At the moment, the…

Dubai has rapidly emerged as one of the most attractive destinations for entrepreneurs and small business owners worldwide. Its strategic location, world-class infrastructure, and investor-friendly policies create the perfect environment for startups and small enterprises to flourish. Whether you’re looking…

Introduction to Tax Groups The Corporate Tax Law has introduced Tax Groups as a framework allowing corporations to streamline their tax processes. This guide is designed to provide a straightforward overview of what Tax Groups are, their benefits, and how…

The education sector experiences a mix of VAT rates depending on the service type and the institution’s ownership. Notably, private and public school education, excluding higher education, alongside goods and services provided by these institutions, are exempt from VAT. The…

Introduction This blog serves as a comprehensive guide to the UAE Corporate Tax regime, specifically focusing on tax groups. It aims to provide a clear understanding of the formation, compliance obligations, and changes in membership relating to tax groups. This…

Introduction Understanding the concept and importance of Corporate Tax in the UAE are vital for natural persons engaged in business activities within the country. This section will provide an overview of the applicability of Corporate Tax to natural persons, highlighting…

Ministerial Decision No. 265 of 2023: Updated List of Qualifying and Excluded Activities for Free Zone Corporate Tax Regime (Effective from 1 June 2023)  Date of Issue: 27 October 2023  Effective Date: 1 June 2023  The UAE Ministry of Finance…

Cabinet Decision No. 100 of 2023: Clarification on Determining Qualifying Income for Free Zone Entities (Effective from 1 June 2023)  Date of Issue: 25 October 2023  Effective Date: 1 June 2023  The UAE Cabinet has issued Cabinet Decision No. 100…

Overview Federal Decree-Law No. 47 of 2022 on Corporations and Businesses (“Corporate Tax Law”) was issued on 3 October 2022 and published on 10 October 2022 in Issue #737 of the Official Gazette of the United Arab Emirates (“UAE”).  The…

Cabinet Decision No. 75 of 2023 and Amendments: Administrative Penalties for Corporate Tax Violations (Effective from 1 August 2023, Updated 1 March 2024)  Date of Issue: 10 July 2023 (Amended on 22 February 2024)  Effective Date: 1 August 2023 (Amendments…

While COVID-19 may have slowed down certain activities, as well as inadvertent breakdowns in financial reporting matters. Consequently, global regulators and watchdogs have issued reports and standards to address these concerns. In this edition of the Audit & Accounting Alert,…

Amount of Annual Income Subject to Corporate Tax-CD-116 of 2022 0% CT rate Taxable Person Income not exceeding (375,000) shall be subject to Corporate Tax at the rate of (0%) zero percent in the Tax Period irrespective of whether the…

Caculating Corporate Tax liability Corporate Tax Reliefs Transfer of Tax Loss–(Article 38) Tax loss can be offset against taxable income of another person if: Tax Return To complete a tax return for CT folloing information will be included: a) The…

Deductible Expenses–(Article 28) Interest Expenses Entertainment Expenditure –(Article 32) 50% of entertainment expenses are deductible. Entertainment include the followings:a) Meals.b) Accommodation.c) Transportation.d) Admission fees.e) Facilities and equipment used in connection with such entertainment, amusement or recreation. Non-Deductible Expenses–(Article 33) Contact…

Tax Base –(Article 12) State Sourced Income–(Article 13) Permanent Establishment–(Article 14) Fixed or Permanent Place–(Article 14) Fixed or Permanent Place–Exceptions (Article 14) A fixed place or permanent place is not operated by the non-resident person, or its related party or…

Taxable Income–(Article 20) Taxable Income– Financial Statements (Article 20) Taxable Person that prepares financial statements on an accrual basis may elect to take into account gains and losses on a realization basis in relation to: Exempt Income–(Article 22) Participation Exemption…

Related Parties–(Article 35) Transactions between Related Parties–(Article 34) Arm’s length ruleThe arm’s length result of a transaction or arrangement between Related Parties must be determined by applying one or a combination of the following transfer pricing methods:a. The comparable uncontrolled…

This article provides useful information about corporation tax registration and deregistration. Read on to simplify your company tax compliance journey. Registration–(Article 51) Tax Groups–(Conditions: Article 40) If a Government Entity have one or more subsidiaries where hold 95% or more…

Government Entities – Exceptions (Article 5) (automatic exemption) Government Controlled Entities that are specified in a Cabinet Decision – Exceptions (Article 6) (automatic exemption) Extractive Business – CONDITIONS (Article 7) a. The Person directly or indirectly holds or has an…