Tax period for a taxable person corresponds to their financial year for which a tax return must be filed
The Federal Decree-Law No. 47 of 2022 on Taxation of Corporations and Businesses (UAE CT Law) applies to tax periods starting on or after June 1, 2023. According to the UAE CT Law, the tax period for a taxable person, other than a natural person, corresponds to their financial year or part thereof for which a tax return must be filed. Typically, this is the 12-month period for which the taxable person prepares its financial statements or the Gregorian calendar year (i.e., January 1 – December 31) in other cases.
If a corporate tax-registered person ceases to be taxable for any reason, a tax deregistration application must be filed with the federal tax authority (FTA) within three months of the end date, as specified in FTA Decision No. 6 of 2023. This applies in cases of cessation of business, dissolution, liquidation, or other similar circumstances.
Read an August 2024 report prepared by the KPMG member firm in the United Arab Emirates