Every UAE company must keep proper accounting records and register for corporate tax, which is 0% on taxable income up to AED 375,000 and 9% above it. VAT registration is mandatory once taxable supplies pass AED 375,000 in 12 months, and voluntary from AED 187,500. Nexobiz keeps your books and coordinates registration and filing for both.
Key dates and thresholds for new companies
| Obligation | What applies | Penalty if missed |
|---|---|---|
| Corporate tax registration | Generally within three months of incorporation, even if no tax is due | AED 10,000 for late registration |
| VAT registration | Mandatory above AED 375,000 of taxable supplies in 12 months; voluntary from AED 187,500. Apply within 30 days of crossing the threshold | AED 10,000 for late registration |
| E-invoicing | Businesses with revenue under AED 50 million: appoint an accredited service provider by 31 March 2027 and go live by 1 July 2027 | Set by the e-invoicing rules |
Thresholds and dates as published by the UAE Federal Tax Authority and Ministry of Finance at the time of writing. We confirm what applies to your company.
What we do
- Bookkeeping monthly or quarterly, in an accounting system you can access.
- Financial statements and management reports you can act on.
- VAT: registration, quarterly or monthly returns, and record keeping.
- Corporate tax: registration on EmaraTax and the annual return.
- E-invoicing readiness: preparing your invoicing for the national e-invoicing system.
- Coordination with auditors where your free zone or tax position needs audited statements.
How it works
- Onboarding. We review your licence, activity, bank accounts and any existing records.
- Registration. We register you for corporate tax, and for VAT when you need it.
- Monthly routine. You share invoices, receipts and statements; we record and reconcile them.
- Returns. We prepare VAT and corporate tax returns for your review before filing.
- Reporting. You receive clear statements and reminders before each deadline.
For the full picture of what a new company must register for, read corporate tax and VAT registration for new UAE companies.
Frequently asked questions
Do free zone companies pay corporate tax?
Free zone companies must register and file. A qualifying free zone person can pay 0% on qualifying income if it meets the conditions, such as real substance in the free zone; other income is taxed at the normal rates.
Do I need to register for VAT if my sales are low?
VAT registration is mandatory only once taxable supplies pass AED 375,000 in 12 months. Below that, you can register voluntarily from AED 187,500.
Do I need audited financial statements?
Some free zones and some tax positions require audited statements. We confirm what applies to your company and coordinate with an auditor if needed.
How long must I keep my records?
UAE tax law requires records to be kept for several years; for corporate tax the period is seven years. We keep your records organised so you can produce them when asked.
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