Federal Tax Authority reminds eligible businesses to submit simplified corporate tax returns and maintain supporting records despite Small Business Relief benefits
Abu Dhabi: The Federal Tax Authority (FTA) has urged businesses eligible for Small Business Relief under the UAE Corporate Tax regime to continue fulfilling all corporate tax obligations, including registration, filing tax returns and maintaining supporting records.
The Authority clarified that while eligible businesses can benefit from simplified reporting requirements, they are still required to submit corporate tax returns for each tax period and retain documents demonstrating their eligibility for the relief.
The FTA also called on taxable persons, as well as exempt persons required to register, to file their corporate tax returns or annual declarations and pay any corporate tax due within nine months of the end of their tax period or financial year, as applicable.
September deadline for many businesses
The Authority stressed the importance of early preparation by gathering all necessary documentation and ensuring payments are made on time to avoid penalties and other compliance measures.
It noted that businesses whose financial year ended on 31 December 2025 must submit their corporate tax returns and settle any corporate tax liabilities no later than 30 September 2026.
The FTA also clarified that eligible businesses must formally elect to apply Small Business Relief through their corporate tax returns.
Simplified filing, not exemption from filing
The Authority emphasised that eligibility for the relief does not remove the obligation to submit a tax return.
Instead, businesses that elect to apply the relief benefit from a simplified corporate tax return, reducing the amount of information required to be filed.
The FTA explained that Small Business Relief allows an eligible resident taxable person to be treated as having earned no taxable income for corporate tax purposes, provided its revenue does not exceed AED3 million during the relevant tax period and all previous tax periods.
To qualify, businesses must be able to provide evidence demonstrating that their revenue has remained below the threshold throughout the applicable periods.
Supporting compliance
Abdulaziz Mohammed Al Mulla, Director General of the FTA, said the Authority remains committed to enhancing its services in line with international best practices and supporting businesses in complying with tax legislation.
He noted that corporate tax registration, return submissions and tax payments can be completed at any time through the EmaraTax digital platform.
“Corporate Tax registration, tax return submission, and payment of Corporate Tax due are available 24 hours a day, seven days a week through the EmaraTax digital tax services platform, which provides a clear, simple, and seamless filing process,” he said.
Taxpayers can submit returns directly through the platform or seek assistance from FTA-approved tax agents listed on the Authority’s website.
Record-keeping requirements
The FTA said the records required may vary according to the nature of the business, but core documentation should be retained, including:
Records of transactions during the tax period
Asset records, including acquisitions and disposals
Liability records
Records of shares and ownership interests held at the end of the tax period
The Authority also encouraged taxpayers to review the Corporate Tax Law, implementing decisions and official guidance available on the FTA website to ensure full compliance.
