TaxSavvyAE

Choosing the financial year at registration

What financial year should I choose when registering for Corporate Tax?

The situation

The tax period follows your financial year as set in your company documents. Most companies use the calendar year, but other 12-month periods are allowed.

The law

  • Art 57, Federal Decree-Law 47 of 2022: The tax period is the financial year or a period the FTA approves
  • Art 53, Federal Decree-Law 47 of 2022: Return due within 9 months of the end of the tax period

What it means for you

Pick a year end that matches your audit cycle and group reporting. Changing it later needs FTA approval. Example: an Indian-owned group with a 31 March year end may choose 31 March for the UAE company too, so the return is due by 31 December. A wrong year end at registration causes return timing errors.

What to do

  1. Check the year end in your memorandum or parent policy.
  2. Enter it carefully on EmaraTax.
  3. Diarise the return 9 months after year end.
  4. Apply to the FTA if you need to change it.

We can do this for youCorporate Tax registration on EmaraTax for companies, free zone entities, non-residents and individuals in business: AED 2,250

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