At FinExe Consulting FZE, we’ve helped numerous businesses across sectors navigate the shift from a tax-free model to one that now demands accurate reporting, planning, and structuring. Whether you’re a startup, SME, or established firm, here are ten key questions you must ask — and answer — to ensure you remain compliant and optimized under the UAE Corporate Tax regime.

• Is my business subject to UAE Corporate Tax?
  All businesses registered in the UAE are potentially subject to Corporate Tax unless specifically exempt. Exemptions include certain government entities, qualifying investment funds, and businesses engaged in natural resource extraction. For most private companies — whether in the mainland or free zones — Corporate Tax is applicable at 9% on taxable income above AED 375,000.
• Am I a Qualifying Free Zone Person (QFZP)?
  Free zone entities can benefit from a 0% Corporate Tax rate, but only if they meet specific criteria under the QFZP framework. These include maintaining adequate substance, deriving qualifying income, and complying with transfer pricing and documentation requirements. FinExe helps clients assess and document their eligibility to retain the 0% rate.
• What income is taxable, and what is exempt?
  Your taxable income generally includes all UAE-sourced and foreign income unless exempt under the law. Exempt income can include dividends and capital gains from qualifying shareholdings. Understanding the classification of income is essential to accurate tax planning.
• Have I registered with the Federal Tax Authority (FTA)?
  All taxable persons must register for Corporate Tax with the Federal Tax Authority (FTA). Failure to do so can lead to administrative penalties. Even if your business is exempt or qualifies for 0%, you must still register and submit a return annually.
• Is my accounting and bookkeeping system compliant?
  Under the new law, businesses are required to maintain financial statements and records for at least 7 years. Your accounting must clearly reflect taxable income, exempt income, deductions, and adjustments — aligned with IFRS standards.
• What deductions can I claim to reduce my tax liability?
  Legitimate business expenses — including salaries, rent, marketing, depreciation, and utilities — can be deducted from your gross income. However, non-deductible items like personal expenses or fines must be carefully excluded. FinExe can help optimize your expense structure.
• How does transfer pricing affect me?
  If your business has related-party transactions or intra-group dealings, you are required to comply with OECD-based transfer pricing guidelines and maintain proper documentation. This applies even to smaller free zone businesses.
• Do I need to file audited financial statements?
  Certain businesses, especially free zone companies seeking QFZP status, are required to submit audited financials. Even if not mandatory, audited statements can improve your financial credibility and investor confidence.
• What is my tax year and when is my return due?
  Your tax year will typically align with your financial year. For businesses with a calendar year end (Dec 31), the first tax return is due in 2025. The FTA requires returns to be filed within 9 months of the financial year-end.
• Am I ready for a Corporate Tax audit?
  The FTA may conduct desk or field audits to review your compliance. This includes reviewing financial records, tax returns, transfer pricing documentation, and more. Proactive planning and professional support are essential to avoid disputes or penalties.

How FinExe Consulting FZE Can Help
Navigating the UAE Corporate Tax regime requires more than just compliance — it requires strategic alignment. At FinExe Consulting, we provide:

• Corporate Tax registration and filing

• QFZP eligibility assessment and restructuring

• Transfer pricing documentation and advisory

• Financial statement preparation and audit coordination

• Tax planning and risk management strategies

Our team acts as your Virtual CFO and compliance advisor, ensuring your business is both protected and positioned for growth in the new tax era.