What is Corporate Tax Advisory in UAE? - Get Help from Dubai Corporate Tax Consultants
20/11/2025
YOUNG AND RIGHT ACCOUNTING & TAX CONSULTANCY
From corporate tax registration to audits and bookkeeping, Young & Right offers personalized solutions that keep your business compliant and stress-free. Let’s take the complexity off your plate—starting with a free consultation.
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As the UAE embraces a new era of tax transparency and fiscal responsibility, corporate tax preparation is no longer optional — it’s essential. Whether you're a small startup, an established free zone company, or a multinational corporation, preparing for corporate tax in the UAE requires strategic planning, regulatory compliance, and expert guidance.
This guide walks you through everything you need to know about corporate tax preparation in the UAE — from legal frameworks and financial readiness to choosing the right advisory partner. And more importantly, we’ll show how Young & Right can help you file smarter, reduce risks, and stay compliant with Federal Tax Authority (FTA) mandates.
The Federal Decree-Law No. 47 of 2022 introduced a corporate tax regime for the UAE, effective tax periods beginning on or after 1 June 2023. This marks a historic transformation in the country’s fiscal policy, aligning the UAE with international tax standards set by the OECD.
The corporate tax rate is one of the most competitive globally, featuring a tiered structure:
• 0% tax applies to taxable income up to AED 375,000. This supports small and medium-sized businesses.
• 9% tax applies to taxable income above AED 375,000.
• Large multinational enterprises (MNEs) with global revenue over €750 million are subject to the 15% minimum tax under the OECD Pillar Two / Domestic Minimum Top-Up Tax (DMTT) rules, effective 1 January 2025.
The corporate income tax regime broadly applies to all businesses in the UAE and is a critical aspect of corporate tax compliance.
• All UAE-incorporated businesses (mainland and free zone).
• Foreign legal entities with a Permanent Establishment (PE) in the UAE.
• Individuals conducting business under a commercial license with revenue exceeding AED 1 million annually.
• Free Zone Persons (subject to qualifying criteria for the 0% tax rate).
• Federal Tax Authority (FTA): The FTA is the primary regulatory body responsible for corporate tax registration, reviewing submitted tax returns, and enforcing Transfer Pricing and General Anti-Abuse Rules (GAAR).
• Ministry of Finance (MoF): The UAE Ministry of Finance defines national tax policy, including tax thresholds and implementation dates.
• OECD & DMTT: Compliance with these international rules is mandatory for large MNEs, necessitating specialized tax advisory services.
The introduction of Corporate Tax in the UAE marks a significant shift, making expert guidance essential for businesses operating in the UAE. Seeking the best Corporate Tax Services in UAE means partnering with seasoned tax consultants and corporate tax advisors in Dubai who possess a deep understanding of the new UAE Corporate Tax Law and complex tax regulations. Leading firms in Dubai can help businesses, whether small or large, navigate the complexity of corporate tax by providing comprehensive corporate tax advisory services, including an assessment of the corporate tax impact on their operations. Professional tax consultants in Dubai and the wider UAE offer tailored tax strategies and tax management solutions to ensure companies that are subject to corporate tax maintain full compliance with the current tax laws and regulations. These trusted advisors assist in processes like determining the relevant tax period, guiding companies to register for corporate tax, securing their Tax Registration Number (TRN), and managing accurate filing in the UAE, complementing existing obligations like Value Added Tax (VAT). To ensure a strategic and seamless transition to the new corporate tax system, contact us today to connect with a corporate tax consultant in UAE or a corporate tax consultant in Dubai who can provide the necessary relevant tax expertise and compliance services in the UAE.
Corporate tax affects a wide range of entities and activities:
• Mainland companies: Fully taxable on UAE-sourced and worldwide income
• Free zone companies: May qualify for 0% tax on qualifying income, subject to:
• Economic substance compliance
• Transfer pricing documentation
• Eligible activities
• Foreign businesses: Taxable if they earn UAE-sourced income or have a UAE permanent establishment
• Individuals: Subject to tax if they hold a business license
• Strategic tax planning involves identifying and leveraging legitimate tax incentives and exemptions to optimize your tax position.
• Exempt Entities: Categories exempt from corporate tax include Government entities, government-controlled organizations, extractive and non-extractive natural resource businesses, Public Benefit Entities, and Qualifying Investment Funds.
Tax Relief Provisions:
• Small Business Relief: Annual revenue < AED 3 million (valid until the end of 2026).
• Participation Exemption: Applies to dividends and capital gains from qualifying shareholdings.
• Group Relief: Allows for the transfer of losses and assets at 'no gain, no loss' for eligible group structures.
• Free Zone Companies: May qualify for 0% tax on "Qualifying Income" if they comply with Economic Substance requirements and maintain proper Transfer Pricing documentation.
Corporate tax preparation is the process of organizing, calculating, and reporting your business’s taxable income in compliance with UAE tax laws. It involves:
• Reviewing financial records
• Adjusting for non-deductible and exempt items
• Preparing transfer pricing documentation
• Filing returns with the FTA EmaraTax portal
• Avoiding penalties through timely and accurate submissions
Corporate tax preparation is a detailed, multi-step process that transforms your accounting records into a compliant tax return.
1. Financial Readiness and Bookkeeping
Accurate financial statements are the foundation. Your bookkeeping must:
• Be maintained according to IFRS (International Financial Reporting Standards).
• Track revenue, operating expenses, tax-deductible costs, and capital gains.
• Maintain records for a minimum of seven years to be ready in the event of a tax audit.
2. Calculation of Taxable Income
The core of preparation is converting accounting profit into Adjusted Taxable Income.
• Adjustments: Include depreciation adjustments, interest expense caps, and limitations on entertainment costs.
• Tax Group Consolidation: Eligible groups can elect to be treated as a single Taxable Person, simplifying corporate tax solutions and allowing for loss transfers.
3. Transfer Pricing and GAAR
For entities involved in related-party transactions or cross-border tax issues, Transfer Pricing is mandatory:
• Arm’s Length Principle: All intercompany transactions must be priced as if they were conducted between independent parties.
• Documentation: Master File and Local File documentation must be prepared and maintained.
• General Anti-Abuse Rules (GAAR): The FTA can disregard artificial arrangements designed solely to gain a tax advantage, emphasizing the need for robust corporate tax experts and adherence to all tax rules.
Businesses subject to Corporate Tax in UAE must register for Corporate Tax through the Federal Tax Authority (FTA) portal by completing the required application and providing all necessary documents. Upon successful registration, the company will be assigned a unique Tax Registration Number (TRN). It is essential to engage a corporate tax consultant in UAE to ensure the submission is accurate and compliant with the latest tax laws and regulations to successfully secure your Tax Registration Number.
For entities involved in intercompany or international transactions:
• Transfer pricing documentation (Master File + Local File) is mandatory
• Arm’s length pricing principles apply
• General Anti-Abuse Rules (GAAR) allow the FTA to disregard artificial arrangements
Failure to comply may result in reassessments and heavy penalties
Here’s a simplified view of the corporate tax preparation timeline:
Corporate Tax Registration with the FTA
Financial Year-End Closing
Adjustment of Accounting Records
Preparation of Tax Computation
FTA EmaraTax Portal Submission
Payment of Tax Dues within 9 months from year-end
Transfer Pricing Disclosures, if applicable
Your corporate tax return must be filed within 9 months of the end of your financial year. For example:
• Year ending 31 Dec 2024 ➝ Deadline: 30 Sep 2025
• Year ending 31 Mar 2025 ➝ Deadline: 31 Dec 2025
Corporate Tax Registration with the FTA: Mandatory for all businesses, even those liable for 0% tax. This secures your UAE corporate tax registration.
Financial Year-End Closing: Finalize records and Audited Financial Statements (if mandated).
Prepare the Tax Computation: Apply all adjustments and determine the tax liability.
Log in to the FTA EmaraTax Portal: Submission and complete the return.
Payment of Tax Dues: Must be made concurrently with the filing.
As a leading corporate tax consultancy in the UAE, we provide comprehensive tax solutions:
• Corporate Tax Advisory: We offer strategic tax planning and advice on intricate areas like DMTT, Free Zone requirements, and leveraging Participation Exemptions.
• Compliance and Filing Services: We manage your corporate tax registration, prepare accurate tax computations, and handle file corporate tax returns on the FTA EmaraTax Portal with a focus on meeting all deadlines and avoiding administrative penalties.
• Transfer Pricing Documentation: We ensure compliance with the Arm's Length Principle and prepare robust Master and Local Files, mitigating transfer pricing risks.
• Tax Audit Support: We provide audit-readiness services and full representation and assistance in the event of a tax audit, ensuring your financial records stand up to FTA scrutiny.
To ensure compliance with the UAE Corporate Tax Laws, businesses must first determine if they are subject to Corporate Tax and, if so, complete the necessary tax registration process to obtain a Tax Registration Number (TRN). The crucial steps involve accurate record-keeping, determining the relevant tax period, calculating the taxable income based on corporate tax regulations, and timely filing in the UAE of the corporate tax return. Engaging professional tax consultants or a corporate tax consultant in UAE is highly recommended to develop effective tax strategies and ensure adherence to all current tax laws and regulations and avoid penalties.
Hiring a tax expert or firm offers:
• Risk mitigation through compliant filings
• Penalty avoidance via timely submissions
• Strategic planning to lower tax liabilities
• Audit-readiness with well-organized records
• Peace of mind through professional representation before the FTA.
At Young & Right, we focus on one core mission: making corporate tax in UAE clear, compliant, and strategically beneficial for your business. Corporate tax is no longer just a legal formality—it touches every part of your financial planning, reporting, and decision-making. That’s why our team of tax specialists combines technical expertise with practical business insight to guide you through every step of corporate tax UAE compliance and preparation.
We start by reviewing your business structure, contracts, and financial records against UAE tax laws and regulations and the latest corporate tax regulations issued by the authorities. Our consultants identify how the rules apply to your specific activities—whether you operate on the mainland, in a free zone, or across multiple jurisdictions—so that your tax position is accurate, defensible, and aligned with your commercial goals.
As a trusted corporate tax advisory firm, Young & Right helps you:
• Map your income streams and expenses to the correct taxable and non-taxable categories.
• Apply the correct treatments under UAE tax regulations for deductions, provisions, related-party transactions, and cross-border payments.
• Prepare corporate tax calculations, schedules, and working papers that tie back clearly to your financial statements.
• Ensure your documentation and internal controls meet the expectations of a top corporate tax practice in the UAE.
Our tax services in the UAE go beyond simply “filling in the form.” We help you build a robust, repeatable corporate tax preparation in UAE process—covering data collection, reconciliations, review, and final submission—so that your finance team knows exactly what to do each tax period. We also highlight risk areas and potential red flags before they turn into issues, giving you time to correct errors and improve compliance.
The UAE’s tax system is a modern, transparent framework. Proactive tax planning and engaging a reliable corporate tax advisor like Young & Right is the best way to secure your financial future. We are the corporate tax experts with the local and international insight to help your business in the UAE thrive.
Stay fully compliant, avoid penalties, and optimise your tax position with Young & Right — the UAE’s trusted corporate tax specialists for 2025–2026.
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