Corporate tax: FTA launches corporate tax workshop platform

UAE’s Federal Tax Authority (FTA) has unveiled a dedicated ‘Corporate Tax Virtual Workshops’ awareness platform, which seeks to provide knowledge and support for taxpayers who are subject to corporate tax.

The new feature forms part of the steps the FTA has taken to ensure a smooth implementation of the corporate tax law that came into effect at the beginning of this month and aims to strengthen the country’s position as a leading global centre for business and investment.

On this new platform, the FTA offers educational materials, currently including 13 virtual awareness workshops in both Arabic and English about registration for corporate tax.

The workshop series is set to continue throughout June with two workshops weekly. The workshops are targeted at participants who are subject to corporate tax as well as other stakeholders.

“The launch of the new ‘Corporate Tax Virtual Workshops’ forms part of the FTA’s commitment to enhancing communication with taxpayers and all stakeholders in the UAE, as well as to provide diverse awareness channels to facilitate self-compliance with tax regulations, by setting up clear and transparent procedures,” said Khalid Ali Al Bustani, FTA director general.

“The platform was launched just as the FTA opened the door for corporate tax registration through the EmaraTax digital tax services platform, where private and public joint stock companies resident in the UAE began registering as of May 15,” Al Bustani added.

FTA invited companies – both private and public joint stock companies and other private companies resident in the UAE – to take part in the awareness workshops on ‘Registration for Corporate Tax’ available on the FTA website.

Early registration allows companies and businesses enough time to meet all of their legal obligations, said Al Bustani.

The authority said the awareness workshops are available in both Arabic and English on the ‘Corporate Tax Virtual Workshops’ platform on the FTA website. They include a detailed explanation of how to create a new user profile on the EmaraTax platform, how to register for corporate tax, the documents required for registration and the stages for processing the registration application and issuing a tax registration number for corporate tax.

FTA: Corporate tax comes into effect

Meanwhile, the UAE announced that it will impose a federal levy on corporate earnings in January 2022, dismantling a tax-free regime that’s made it a magnet for global business.

The corporate tax law – which levies a headline 9 per cent rate on income of certain businesses that exceed $102,000 (Dhs375,000) – is part of the country’s broader strategies that are aimed at aligning the Gulf state with new international standards.

It also aligns with a global minimum tax on multinational corporations endorsed by the G20 countries in 2021.

The UAE unveiled a raft of measures ahead of the introduction of corporate tax, exempting government entities, extractive businesses, free zone entities as well as small businesses and non-resident persons from registering and paying for corporate tax.

The corporate tax represents a significant shift for a country that’s long attracted businesses from around the world, thanks to its status as a tax-free business hub.

Read: Introducing TaxGPT, the AI-powered UAE corporate tax assistant