Multinational enterprises in the UAE with consolidated revenues of €750 million or more must register for the OECD Pillar Two top-up tax by November 30, 2026. The Federal Tax Authority announced that qualifying groups must complete registration via EmaraTax, while domestic UAE firms remain exempt.
The UAE Federal Tax Authority has issued Decision No. 13 of 2026, establishing mandatory supplier verification rules under Article 54(bis) of the UAE VAT Law. Taxable businesses must verify supplier identities, licenses, signatories, and premises before claiming input tax deductions. The FTA may disallow deductions if transactions are tied to tax evasion under a 'knew or should have known' standard.
UAE corporate tax returns and tax payments must be settled within nine months following the end of an entity's financial year. Businesses missing the deadline face monthly late filing penalties starting at AED 500 alongside a 14 percent annual late payment charge. Certain companies with revenue above AED 50 million or qualifying free zone entities must also prepare audited accounts before submission.
UAE corporate entities must comply with Federal Tax Authority Decision No. 13 of 2026 regarding input VAT deductions. Taxable businesses are required to verify supplier identity, commercial address, license validity, and transaction rationale before claiming input tax. The FTA may deny claims under a 'knew or should have known' standard if transactions involve tax evasion.
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