Deadline: March 31, 2025 – Avoid Fines!
The UAE Corporate Tax (CT) system has been in place for nearly two years, and most businesses are aware of their obligations. However, high-income individuals may unknowingly fall under the CT scope and risk penalties for non-compliance!
💡 The UAE follows a self-assessment tax system, meaning individuals must determine whether they qualify for Corporate Tax and fulfill their tax obligations accordingly. If eligible, you must register for a Corporate Tax Number, file tax returns, and pay any applicable tax.
📊 Who Needs to Register?
✅ UAE Residents or Non-Residents with a Permanent Establishment in the UAE
✅ Individuals Engaged in Business or Commercial Activities in the UAE
✅ Annual Business Income Exceeding AED 1 Million (from 2024 onward)
Real-Life Examples:
📌 Case 1: Rental Income from Real Estate ➡️ Scenario: An individual earns AED 1.5 million per year in rental income from two apartments in the UAE.
✅ No Corporate Tax Required – Rental income is classified as real estate investment income, which is exempt from CT.
📌 Case 2: Freelance Business Income ➡️ Scenario: A freelancer develops accounting software at home in Sharjah and sells it to businesses, earning AED 1.2 million annually.
❌ Corporate Tax Registration Required – Since this is commercial activity and revenue exceeds AED 1 million, the individual must register for CT.
📌 Case 3: Investment Income from Shares ➡️ Scenario: An individual is a shareholder in a UAE company but does not run a business independently.
✅ No Corporate Tax Required – Dividends and investment income are not subject to Corporate Tax.
⚠️ Act Now – Deadline: March 31, 2025!
If you meet the criteria and fail to register on time, you could face hefty fines. Don’t wait until it’s too late—secure your compliance now!
📞 Need help with Corporate Tax registration? Contact us today!
📞 Get Started Today! Contact us at +971 58 836 3280 or visit our website www.foreverrichuae.com to begin your journey as a licensed real estate agent in Dubai!
