Today's Edition
ABU DHABI (WAM)
The Ministry of Finance (MoF) and the Federal Tax Authority (FTA) have announced the issuance of a Cabinet Decision launching an initiative to waive administrative penalties for corporate taxpayers and certain exempt persons who failed to submit their tax registration applications with the FTA within the required time-frame.
To qualify, eligible parties must file their tax return or annual statements within a period not exceeding seven (7) months from the end of their first tax period, as stipulated under the Corporate Tax Law.
The Cabinet’s decision reflects the proactive approach of the Ministry of Finance and the Federal Tax Authority to enhance tax compliance.
It aims to encourage registrants to file tax returns or annual statements before the deadline, bolstering early compliance with legal requirements.
Additionally, the FTA confirmed that necessary procedures will be implemented to refund administrative fines collected from those who meet the specified criteria.
The initiative reaffirms the continued commitment of MoF and FTA to enhancing the tax compliance environment in the UAE, facilitating procedures, and easing financial burdens on businesses.
It aims to enable taxpayers to meet their obligations smoothly and benefit from the exemptions, provided they file their tax returns or annual declarations within the prescribed timeframe.
The decision is expected to significantly support the UAE’s ongoing effort to ensure better compliance during the first year of corporate tax implementation.
It underscores the government’s commitment to supporting national businesses by providing incentives that encourage voluntary compliance, reduce administrative and financial burdens associated with tax registration, and further strengthen the UAE’s standing across global competitiveness indices.
