UAE's corporate tax: How ready are companies in meeting deadline?

The UAE's corporate tax regime is now in full effect, and the September 30, 2025 corporate tax return filing deadline looms large. With 30 days remaining, businesses face a moment of truth.

- BY JAMES MATHEW

Compliance is no longer a regulatory checkbox; it is a strategic imperative. Companies that maintain financial hygiene will transition seamlessly, while those scrambling at the last-minute risk penalties, liquidity strain, and reputational setbacks.

A few are ready, but many are scrambling. Across the UAE, businesses can be broadly grouped into two camps:

■ A small minority that is audit-ready and well-prepared.

■ A vast majority still racing against time to reconcile accounts, complete audits, and prepare filings.

The audit-ready companies are usually those with bank borrowings. Since audited accounts are mandatory to secure and maintain credit facilities, these businesses have built a discipline of structured financial reporting.

As a result, they stand comfortably positioned to file their corporate tax returns with fewer disruptions. In contrast, many others are encountering the compliance challenge head-on for the first time. Years of operating without audits or reconciliations have left gaps that now appear daunting.

Biggest hurdle