2023-07-31 15:56:51
Dubai: The Ministry of Finance has issued strict guidelines for the implementation of corporate tax in the UAE. The new rule will come into effect from August 1. The amendment is in the rules including payment of tax, refund and insolvency situation.
Corporate tax was implemented in the UAE last June. The figures should be recorded and kept for the next five years. If the account is in dispute, it should be kept for the next four years or until the dispute is resolved. Whatever eventually happens, keep the count until then. Accounting related documents can be submitted in English. If any particular part is requested, it should be translated in Arabic.
If the taxpayer appoints a lawyer for legal assistance, the entire documents and appointment order shall be handed over to the authorities. In the event that the excess tax is not claimed back, it will be allocated to the future tax amount or to the tax liability of the company. Conditions to be followed in settlement of tax evasion cases have also been revised. The auditor may hold the documents related to the audit of the company. If a tax evasion is found, it should be given an opportunity to avoid the violation by paying a fine before going to court. The fine for tax evasion is 50,000 dirhams. The new tax rules and Cabinet decisions are available on the website of the Ministry of Finance.
Read Also – Fuel prices will rise; UAE announces new petrol and diesel prices
The new decree issued by the UAE Cabinet regarding corporate tax mainly points out three violations of the law. Failure to pay and file corporate taxes on time is a violation. Alteration of documents submitted to the Federal Tax Authority by registrants in the corporate tax system is considered a violation of the law if the authority is not notified. Even if the documents required to be maintained and filed under the Corporate Act are not accurate, it will be treated as a violation of the law. Companies with profits of AED 3,75,000 and above have to pay nine percent corporate tax.
Read Also – Good news for Indian passport holders; E-Visa is ready, now you can easily fly to this country
Watch Asianet News Live on YouTube…
1690819940
#corporate #taxation #regulations #effective #tomorrow #UAE #ministry #instructions
