FTA Decision No. 3 of 2024

The Timeline specified for Registration of Taxable Persons for Corporate Tax for the purposes of Federal Decree-Law No. 47 of 2022 on the Taxation of Corporations and Businesses and its amendments

Issued 26 February 2024 (Effective 1 March 2024)

The Chairman of the Board of Directors of the Federal Tax Authority has decided:

• Having reviewed the Constitution;
• Federal Decree-Law No. 13 of 2016 on the Establishment of the Federal Tax Authority, and its amendments;
• Federal Decree-Law No. 28 of 2022 on Tax Procedures;
• Federal Decree-Law No. 47 of 2022 on the Taxation of Corporations and Businesses, and its amendments;
• Cabinet Decision No. 49 of 2023 on Specifying the Categories of Businesses or Business Activities Conducted by a Resident or Non-Resident Natural Person that are Subject to Corporate Tax;
• Cabinet Decision No. 56 of 2023 on Determination of a Non-Resident Person’s Nexus in the State for the Purposes of Federal Decree-Law No. 47 of 2022 on the Taxation of Corporations and Businesses;
• Cabinet Decision No. 74 of 2023 on the Executive Regulation of the Federal Decree-Law No. 28 of 2022 on Tax Procedures;
• Cabinet Decision No. 75 of 2023 on the Administrative Penalties for Violations Related to the Application of Federal Decree-Law No. 47 of 2022 on the Taxation of Corporations and Businesses, and its amendments;
• Ministerial Decision No. 43 of 2023 Concerning Exception from Tax Registration for the Purpose of Federal Decree-Law No. 47 of 2022 on the Taxation of Corporations and Businesses;
• Decision of the Chairman of the Board of Directors No. 9 of 2021 on the Delegation to the Vice Chairman of the Board of Directors of the Federal Tax Authority; and
• Pursuant to the approval of the Board of Directors on the Timeline specified for Registration of Persons for Corporate Tax, at the 30^th meeting held on 29 December 2023 and the 31^st meeting held on 23 February 2024.

Article 1 – Definitions

The words and expressions contained in this Decision shall have the same meaning assigned against each in the Federal-Decree Law No. 47 of 2022 referred to above, unless the context otherwise requires.

Article 2 – Registration of Persons for Corporate Tax Purposes

For the purposes of Clause 1 of Article 51 of the Federal Decree-Law No. 47 of 2022 referred to above, any Taxable Person shall submit an application for Tax Registration in accordance with the timelines prescribed in Articles 3, 4 and 5 of this Decision.

Article 3 – Timeline for the Tax Registration of Resident Juridical Persons

1. 1. A juridical person that is a Resident Person, incorporated or otherwise established or recognised prior to the effective date of this Decision, shall submit the Tax Registration application, in accordance with the following table:

   Date of Licence issuance irrespective of year of issuance	Deadline for submitting a Tax Registration application
   1 January – 31 January	31 May 2024
   1 February – 28/29 February	31 May 2024
   1 March – 31 March	30 June 2024
   1 April – 30 April	30 June 2024
   1 May – 31 May	31 July 2024
   1 June – 30 June	31 August 2024
   1 July – 31 July	30 September 2024
   1 August – 31 August	31 October 2024
   1 September – 30 September	31 October 2024
   1 October – 31 October	30 November 2024
   1 November – 30 November	30 November 2024
   1 December – 31 December	31 December 2024
   Where a person does not have a Licence at the effective date of this Decision	(3) three months from the effective date of this Decision

   2. For the purposes of Clause 1 of this Article, where a juridical person has more than one Licence, the Licence with the earliest issuance date shall be used.
   3. A juridical person that is a Resident Person incorporated or otherwise established or recognised on or after the effective date of this Decision, shall submit a Tax Registration application, in accordance with the following table:

   Category of juridical persons	Deadline for submitting a Tax Registration application
   A person that is incorporated or otherwise established or recognised under the applicable legislation in the State, including a Free Zone Person	(3) three months from the date of incorporation, establishment or recognition
   A person that is incorporated or otherwise established or recognized under the applicable legislation of a foreign jurisdiction that is effectively managed and controlled in the State	(3) three months from the end of the Financial Year of the person

   Article 4 – Timeline for the Tax Registration of Non-Resident Juridical Persons

   1. A juridical person, that is a Non-Resident Person prior to the effective date of this Decision, shall submit a Tax Registration application in accordance with the following table:

   Category of juridical persons	Deadline for submitting a Tax Registration application
   A person that has a Permanent Establishment in the State	(9) nine months from the date of existence of the Permanent Establishment
   A person that has a nexus in the State	(3) three months from the effective date of this Decision

   2. A juridical person, that is a Non-Resident Person on or after the effective date of this Decision, shall submit a Tax Registration application in accordance with the following table:

   Category of juridical persons	Deadline for submitting a Tax Registration application
   A person that has a Permanent Establishment in the State	(6) six months from the date of existence of the Permanent Establishment
   A person that has a nexus in the State	(3) three months from the date of establishment of the nexus

   Article 5 – Timeline for Tax Registration of Natural Persons

   A natural person conducting a Business or Business Activity in the State shall submit a Tax Registration application in accordance with the following table:

   Category of natural persons	Deadline for submitting a Tax Registration application
   A Resident Person who is conducting a Business or Business Activity during the 2024 Gregorian calendar year or subsequent years whose total Turnover derived in a Gregorian calendar year exceeds the threshold specified in the relevant tax legislation	31 March of the subsequent Gregorian calendar year
   A Non-Resident Person who is conducting a Business or Business Activity during the 2024 Gregorian calendar year or subsequent years whose total Turnover derived in a Gregorian calendar year exceeds the threshold specified in the relevant tax legislation	(3) three months from the date of meeting the requirements of being subject to tax

   Article 6 – Late Registration for Corporate Tax

   Where Persons referred to in Articles 3, 4 and 5 of this Decision fail to submit a Tax Registration application as per the timelines stated above, Administrative Penalties shall be applied in accordance with Cabinet Decision No. 75 of 2023 referred to above.

   Article 7 – Abrogation of Conflicting Provisions

   All provisions contrary to or inconsistent with the provisions of this Decision shall be abrogated.

   Article 8 – Publication and Application of this Decision

   This Decision shall be published in the Official Gazette and shall come into effect as of 1 March 2024.