The UAE Ministry of Finance has issued Ministerial Decision No. (105) of 2023, which clarifies the conditions under which a person may continue or cease to be deemed an exempt person for Corporate Tax purposes. This decision aims to ensure transparency and efficiency in the tax system while promoting business growth in the UAE.

Under the decision, businesses that fail to meet exemption conditions due to unforeseen circumstances must submit an application to the Federal Tax Authority within twenty business days. The person is expected to rectify the failure within the same period, which can be extended by an additional twenty business days if the failure is beyond their control.

At Canzaps Middle East, we provide comprehensive support in navigating the Corporate Tax requirements. Our expert team offers tailored services including tax planning, exemption eligibility assessment, application preparation, and compliance reviews. With our assistance, businesses can ensure compliance with the latest regulations and effectively navigate the UAE’s evolving tax landscape.

The issuance of this decision reflects the UAE’s commitment to a transparent and efficient tax system. It provides clear guidelines on Corporate Tax exemption conditions, promoting fairness and compliance among businesses in the UAE.