Corporate tax return filing in Dubai

What goes into a corporate tax return

The return starts with the accounting profit in your financial statements. Businesses with revenue below AED 50 million can generally prepare these under IFRS for SMEs, and larger businesses use full IFRS. Taxable income is then worked out by adding back expenses the law does not allow and removing income that is exempt.

Once taxable income is known, the first AED 375,000 is taxed at 0% and the rest at 9%. If you have tax losses from earlier periods, they can usually be used to reduce taxable income, up to 75% of the taxable income for the period, subject to conditions.

The return also asks about related-party transactions, the reliefs you are claiming and, for some businesses, whether your financial statements are audited. Each answer must match your records, because the FTA can ask for the workings.

SBR and nil returns versus taxable returns

A Small Business Relief return is for a resident business whose revenue has stayed at or below AED 3 million in the current and all previous tax periods. You elect for relief in the return, and the business is treated as having no taxable income. A nil return is for a company that had no taxable income in the period, for example because it did not trade.

These returns are shorter, but they are not empty forms. We still check that revenue is correct, that you meet the conditions for relief, and that your financial statements support the figures. Our fee for a return with Small Business Relief is AED 500 per year (excl. VAT).

A taxable return needs a full computation, with adjustments, exempt income, losses and related-party disclosures. Our fee for a regular return is AED 1,000 per year (excl. VAT). Both prices assume you provide your financial statements. If you need them prepared, our Accounting & Bookkeeping service covers that, and a 10% bundle saving applies to the recurring fees when you also take VAT returns with us.

Deadlines and payment

The return and any tax due must be filed and paid within 9 months of the end of your tax period. For a year ending 31 December 2025, the deadline was 30 September 2026. For a year ending 31 March 2026, it is 31 December 2026. For a year ending 31 December 2026, it will be 30 September 2027.

Filing and payment are separate. Submitting on time does not stop late payment penalties if the money arrives late. We plan the work so you have the final figure several weeks before the deadline.

Nine months sounds like a long time, but it usually is not. Your financial statements must be closed first, and if you need an audit, the auditor needs time too. We suggest starting the return within three months of your year end, which leaves room to deal with questions without pressure.

Common adjustments we check

Entertainment for clients and other third parties is only 50% deductible. Fines and penalties are generally not deductible. Donations are only deductible when made to approved recipients. These three items appear in most SME accounts and are often missed.

Payments to owners, directors and their relatives must be at market value to be deductible in full. This matters most for owner-managed businesses where salary, rent or service fees are paid to the shareholder.

Where a business has significant borrowing, interest deductions may be limited. Dividends from UAE companies and some foreign dividends may be exempt. We review each item against your accounts so nothing is double-counted or left out.

If you have missed a return

If a deadline has passed, file as soon as possible. Penalties for late filing build up monthly, and late payment penalties are charged on any tax due. Check the FTA penalty table for the amounts that apply to you.

Missed returns usually mean missing or incomplete books. We can prepare catch-up accounts for the period and then the return, so you deal with both problems at once. Catch-up work is quoted after a short review.

If you are also late registering, sort the registration first, because a return cannot be filed without a corporate tax TRN. We handle both in sequence and keep you informed of what is outstanding at each stage.