Unified UAE Legislation Database

Corporate Tax Public Clarification No. CTP003 of 2024: Clarification On the First Tax Period of a juridical person

Status

In force

Issuing Authority

FTA

Effective date

XX.XX.XXXX

Official Link

https://

Issue

The Federal Decree-Law No. 47 of 2022 on the Taxation of Corporations and Business, and its amendments ("Corporate Tax Law") applies to Tax Periods commencing on or after 1 June 2023.

 

Under the Corporate Tax Law, a Taxable Person's Tax Period is the Financial Year or part thereof for which a Tax Return is required to be filed.

 

The Financial Year of a Taxable Person shall be the Gregorian calendar year, or the 12-month period for which the Taxable Person prepares financial statements.

 

The Corporate Tax Law does not provide a specific provision for the first Financial Year of a juridical person that is a Taxable Person.

 

This Public Clarification is intended to clarify the first Tax Period under the Corporate Tax Law for:

a. a juridical person that is a Taxable Person and is subject to the provisions of the Commercial Companies Law.
b. a Non-Resident Person who is a juridical person who has a Permanent Establishment.
c. a Resident Person that is incorporated or otherwise established or recognised under the applicable legislation of a foreign jurisdiction that i...