Tax procedures in the UAE are regulated by Federal Decree-Law No. 28 of 2022 On Tax Procedures (hereinafter referred to as the Law), which replaced the previous law.
Main aspects of the Law:
1. Registration and Record Keeping. According to Article 4 of the Law, companies are required to keep accounting records and preserve all tax documents and commercial books for a minimum of five years. All information must be submitted to the regulatory authorities in Arabic (Article 5 of the Law).
2. Filing Tax Returns. Companies shall file tax returns on time and pay taxes. Article 8 of the Law regulates the procedure for filing returns, including the responsibility for the accuracy of the information provided. Incomplete and inaccurate returns may be rejected.
3. Voluntary Disclosure. In case of errors in submitted returns or other tax documents, companies may submit a voluntary disclosure to correct them (Article 10 of the Law). This may help reduce the amount of penalties.
4. Tax Audit. The Federal Tax Authority (FTA) has the right to conduct tax audits to verify compliance with...