Quick answer: The Federal Tax Authority (FTA) administers VAT at 5%, excise tax, and corporate tax at 9% across UAE. Register via EmaraTax if turnover exceeds AED 375,000.
If you're running a business in the Emirates, or just trying to figure out who actually collects tax here, you're probably looking for the Federal Tax Authority. It's the body that handles VAT, excise, and now corporate tax across all seven emirates.
The tax authority in UAE is the Federal Tax Authority (FTA), established by Federal Decree-Law No. 13 of 2016. It administers and collects federal taxes — Value Added Tax (VAT) at 5%, excise tax on tobacco, energy drinks and sugary beverages, and the 9% corporate tax that came into force for financial years starting on or after 1 June 2023. You register, file, and pay through the FTA's EmaraTax portal. Dubai and Abu Dhabi don't have separate tax bodies for these federal taxes — the FTA covers the whole country.[1][2]
The Federal Tax Authority is headquartered in Abu Dhabi and reports to the Ministry of Finance. It was set up under Federal Decree-Law No. 13 of 2016 to administer, collect and enforce federal taxes.[1]
Three taxes sit under its remit right now:
Customs duties are separate — those run through emirate-level customs authorities, not the FTA. Personal income tax? Still doesn't exist for individuals in the UAE.
Most businesses interact with the tax authority in UAE through one portal: EmaraTax. Registration, returns, payments, refunds, clarifications — it all goes through there.
You'll need to register if:
Miss a corporate tax registration deadline and the penalty is AED 10,000. Honestly, that one catches a lot of people who assumed free zone status meant they could skip registering. It doesn't. Qualifying Free Zone Persons still register — they just may pay 0% on qualifying income.[4]
Each tax has its own rhythm.
VAT returns are usually quarterly, sometimes monthly for larger taxpayers — the FTA assigns your period when you register. Due 28 days after the period ends.
Excise tax returns are monthly. Due by the 15th of the following month.
Corporate tax returns are annual. Due within 9 months of the end of the relevant tax period. So a company with a calendar year ending 31 December 2024 files by 30 September 2025.[4]
Late filing, late payment, incorrect returns — all carry administrative penalties under Cabinet Decision No. 49 of 2021 (as amended). Penalties start at AED 1,000 for a first-time late return and escalate.[6]
Disagree with an assessment? You have options, and the order matters.
First, you can request a reconsideration from the FTA within 40 business days of being notified of the decision. The FTA has 40 business days to respond.[7]
Still unhappy? You escalate to the Tax Disputes Resolution Committee (TDRC) within 40 business days of the reconsideration decision. The TDRC sits under the Ministry of Justice and is the next step before court.
After that, federal courts — but you generally need to have paid the tax and penalties (or a portion) first. This is where people slip up: skipping the reconsideration stage and going straight to court doesn't work. The sequence is enforced.
For genuine uncertainty about how a rule applies to your situation, the FTA also runs a private clarification service. Fee is AED 1,500 for a single-tax clarification and AED 2,250 for multi-tax, per the FTA's published service fees.
A few realities about dealing with the tax authority in UAE that aren't always obvious:
For more on the corporate tax side specifically, see our UAE corporate tax guides. For VAT registration mechanics, check the VAT answers section.
Need this checked for your situation? Talk to a UAE-licensed lawyer →
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Citations
[1] Federal Decree-Law No. 13 of 2016 on the Establishment of the Federal Tax Authority — Ministry of Finance, mof.gov.ae [2] Federal Decree-Law No. 8 of 2017 on Value Added Tax — FTA, tax.gov.ae [3] Federal Decree-Law No. 7 of 2017 on Excise Tax — FTA, tax.gov.ae [4] Federal Decree-Law No. 47 of 2022 on the Taxation of Corporations and Businesses — FTA, tax.gov.ae [5] FTA Decision No. 3 of 2024 on the Timeline for Corporate Tax Registration — FTA, tax.gov.ae [6] Cabinet Decision No. 49 of 2021 amending Cabinet Decision No. 40 of 2017 on Administrative Penalties — FTA, tax.gov.ae [7] Federal Decree-Law No. 28 of 2022 on Tax Procedures — FTA, tax.gov.ae
Sub-questions our research cluster pulls together — each links to its full Tier-B/C answer.
Nearly all UAE businesses must register for Corporate Tax, including mainland and free-zone companies. Rates: 0% on income up to AED 375,000, then 9%.
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This is general legal information, not legal advice. For advice tailored to your specific situation, consult a UAE-licensed lawyer.
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