VAT and Corporate Tax Return Filing in the UAE

Businesses registered with the UAE Federal Tax Authority (FTA) must file VAT returns and, separately, an annual Corporate Tax return. AIM Auditing prepares and submits both for mainland, free zone, and offshore companies across Abu Dhabi, Dubai, and the wider UAE, working from your accounting records to meet FTA deadlines and reduce the risk of penalties.

We’ve handled audit, accounting, and tax matters for UAE businesses since 2002, and are an approved auditor for ADGM, DAFZA, and DMCC. That background is what informs how we approach VAT return filing UAE businesses need and Corporate Tax return filing UAE businesses need — as two related but distinct obligations, each with its own rules, deadlines, and documentation requirements.

What VAT and Corporate Tax Return Filing Involves

A VAT return is a periodic report, submitted through the FTA’s EmaraTax portal, showing your output VAT (charged on sales) against your input VAT (paid on purchases), with the difference either payable to the FTA or reclaimable.

A Corporate Tax return is a separate, annual filing that reports your taxable income for the financial year and calculates the tax due under UAE Corporate Tax Law. The two returns run on different schedules, cover different figures, and are filed independently — a business can be VAT-registered without automatically being in a different Corporate Tax bracket, and vice versa.

VAT Return Filing UAE Businesses Need

Registration for VAT is mandatory once taxable supplies and imports exceed AED 375,000 over the preceding 12 months (or are expected to in the next 30 days), and optional above AED 187,500. Once registered, a business must file VAT returns for every tax period, even if there’s no VAT to declare.

Tax periods are typically quarterly for businesses with annual turnover below AED 150 million, and monthly for those at or above it, though the FTA can assign a different period.

Returns (Form VAT 201) and any payment due are generally required within 28 days of the end of the tax period.

Filing covers taxable sales and purchases, output VAT, recoverable input VAT, and any exempt or zero-rated supplies.

Our VAT return service covers preparing the return from your sales and purchase records, reconciling input and output VAT, checking invoice compliance (TRN, VAT rate, supply date), and submitting through EmaraTax before the deadline.

Corporate Tax Return Filing UAE Businesses Need

UAE Corporate Tax applies to financial years starting on or after 1 June 2023, at 0% on taxable income up to AED 375,000 and 9% above that threshold. Every taxable person, including most free zone entities, must register with the FTA and hold a Corporate Tax registration number, even where the tax due is zero

Small Business Relief

Small Business Relief lets a resident business with revenue at or below AED 3 million elect to be treated as having no taxable income for that period, simplifying the return. This is a transitional measure with a defined end date set by the FTA.

Qualifying Free Zone Person (QFZP)

Qualifying Free Zone Person (QFZP) status allows eligible free zone companies 0% tax on qualifying income only, provided all conditions are met; non-qualifying income is taxed at the standard 9%. SBR and QFZP cannot be claimed together in the same period.

The Corporate Tax return itself must be filed within nine months of the end of the relevant tax period, with tax due by the same deadline. Filing draws on your financial statements, so accurate bookkeeping through the year makes the return simpler and reduces the chance of a miscalculation.

Our Filing Process

Review Your Records

We check your bookkeeping, invoices, and prior filings for completeness before the return is prepared.

Reconcile the Figures

For VAT, we match input and output tax against your ledgers; for Corporate Tax, we work from your financial statements to determine taxable income and any adjustments.

Prepare the Return

VAT 201 or the Corporate Tax return is prepared with supporting workings kept on file.

Review With You

We share the figures before submission so nothing is filed without your sign-off.

Submit Through EmaraTax

Submit through EmaraTax ahead of the FTA deadline, and confirm submission with you.

Handle Follow-Up

Handle follow-up, including any FTA queries, clarification requests, or amendments if they arise.

Documents You’ll Need

Sales and purchase invoices for the period
Bank statements
Profit and loss statement / financial statements
Prior VAT returns (for VAT filings)
Import/export records, where relevant
Details of any exempt or zero-rated supplies
Free zone licence and QFZP documentation, where applicable

Common Mistakes and Penalties

Late or incorrect VAT and Corporate Tax filings carry administrative penalties under UAE tax law, and repeated violations can increase the fine. The most common errors we see are: missing the filing deadline, misclassifying zero-rated or exempt supplies, claiming input VAT without valid tax invoices, and electing Small Business Relief without checking eligibility for the full look-back period. If a business has already filed incorrectly, a voluntary disclosure to the FTA is usually the right first step, and we assist with those too.

Why Businesses Work With AIM

AIM Auditing has provided audit, accounting, VAT, and Corporate Tax services to UAE businesses since 2002, and is an approved auditor for ADGM, DAFZA, and DMCC. We’re based in Abu Dhabi, with offices in Dubai and ADGM, and we work with mainland, free zone, and offshore companies. We don’t outsource filings to a call centre or a template — a person who has reviewed your records prepares and submits your return, and stays available if the FTA follows up.

We’re transparent about scope: we prepare and file your returns based on the records you provide, and we flag any gaps or documentation issues before submission. We don’t provide personalised legal advice, and where a filing position is genuinely uncertain, we’ll tell you rather than guess.

FAQ

Do I need to file a VAT return if I had no sales this period?

Yes. VAT-registered businesses must file a return for every tax period even when there’s nothing to declare — a “nil” return still needs to be submitted by the deadline.

Are VAT return filing and Corporate Tax return filing done together?

No. They’re separate filings on separate schedules — VAT returns are typically quarterly or monthly, while Corporate Tax returns are filed once per financial year

What happens if my business qualifies for Small Business Relief?

You can elect to be treated as having no taxable income for that tax period, which simplifies the Corporate Tax return, but the election has revenue conditions across current and prior periods that need checking first.

Do free zone companies still need to file Corporate Tax returns?

Yes. Free zone companies are taxable persons and must register and file, even if they ultimately qualify for 0% tax on qualifying income as a Qualifying Free Zone Person.

What if I've already filed a VAT return with an error?

A voluntary disclosure can usually correct it. Acting early tends to keep the situation more straightforward with the FTA

Can AIM Auditing handle both VAT and Corporate Tax return filing?

Yes. AIM Auditing can prepare and file both VAT and Corporate Tax returns based on your accounting records, while keeping the two separate filing requirements, deadlines, and documentation requirements in view.

Get Your VAT or Corporate Tax Return Filed

Ready to get your VAT return or Corporate Tax return filed correctly and on time? Contact AIM Auditing or talk through your filing requirements.