The UAE Cabinet has recently issued new decisions pertaining to tax procedures, penalties, and exemptions, aiming to streamline the corporate tax landscape
. Under Cabinet Decision No. (75) of 2023, the Federal Tax Authority (FTA) will enforce administrative penalties from August 1, 2023, on taxable individuals and legal entities who fail to comply with the corporate tax law.
These penalties apply in cases of late filing and payment of corporate tax, as well as failure to inform the FTA of any changes in tax records that may necessitate amendments. To facilitate compliance, the UAE government has designed the penalties carefully, ensuring they do not unduly burden businesses adhering to the new regulations.