Published: June 2025 | Author: Saadiyat Accounting, Dubai's Accounting and Tax Service Experts

What Is the New Corporate Tax Penalty Waiver About?

The Federal Tax Authority (FTA) permits the sidestepping or recovery of a penalty of AED 10,000 when a business corporate tax return or declaration is submitted within seven months of the first tax period and meets the business meeting deadlines.

That is two months earlier than the usual 9-month deadline.

This rule applies to all companies, even those which do not pay taxation but are mandated to file and register an annual declaration.

Who Is Eligible For the Waiver?

You’re eligible if:

- You have not registered yet, but you are willing to submit your return within 7 months.
- You have incurred the penalty but have not paid yet.
- You have made payment and want to request refund via the FTA account for submitted payment.

The UAE firms whether nascent or well established stand to lose out under such timelines.

🗓️ Key Dates for Corporate Tax Compliance in 2025

1. For businesses with tax year ending December 31, 2024:

• 7-Month Filing Deadline: July 31, 2025

• 9-Month Standard Deadline: September 30, 2025

2. For businesses with tax year ending March 31, 2025:

• 7-Month Filing Deadline: October 31, 2025

• 9-Month Standard Deadline: December 31, 2025

⚠️ Importance
Failing to meet the seven month deadline incurs the penalty again of AED ten thousand for each license with consolidation possible if you have branches or legal entities.

Our Services

At Saadiyat Accounting , we help businesses in Dubai and the UAE with: 

• Accounting and bookkeeping services

• Tax Services

• Financial and management reporting

• Audit support and internal control reviews

• Business setup and consultancy services

• Economic Substance Regulation (ESR) compliance

• Transfer Pricing advisory

• FTA portal registration and technical support

• Tax refund applications for overpaid VAT or penalties

From emerging businesses to mainland LLCs and free zone companies, we ensure you remain compliant while strategically managing taxes. 

Worry about the 2025 tax deadlines? Reach out to our specialist team now.

Visit our Services Page to learn more about how we assist with tax compliance, VAT, accounting, and business setup in the UAE.

Contact us now to meet the 2025 deadline and avoid unnecessary penalties.