TaxSavvyAE

Penalty waiver for late registration

I was charged AED 10,000 for late Corporate Tax registration. Can I get it waived?

The situation

The FTA runs a waiver for the late registration penalty. It applies to the first tax period when the first return or annual declaration is filed within 7 months of that period ending.

The law

  • Cabinet Decision 75 of 2023 as amended by Cabinet Decision 10 of 2024: AED 10,000 penalty

What it means for you

The waiver is automatic when the conditions are met; no request is needed. If you already paid, the amount is credited to your EmaraTax account for use or refund. Example: first tax period 1 January to 31 December 2025; return filed on 20 July 2026, within 7 months, so the penalty is waived. Filed on 15 August 2026, it is not.

What to do

  1. Find the end date of your first tax period.
  2. File the first return within 7 months if still possible.
  3. Check the EmaraTax account for the credit.
  4. Request a refund if you want the cash back.

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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