An initiative to exempt from a fine of delay in registration in corporate tax

The Ministry of Finance and the Federal Tax Authority announced the issuance of the Cabinet’s decision regarding the launch of an initiative aimed at exempting those who are subject to corporate tax, and some categories of the exempted persons demanding registration with the Federal Tax Authority, from administrative fines resulting from the delay in submitting the tax registration request during the specified deadline, provided that these categories are submitted by the tax declaration or annual permit as the case, within a period not exceeding 7 months from the date of the end Their first tax period, according to the provisions of the Corporate Tax Law.

The decision of the Council of Ministers to exempt the fine of the delay in the tax registration to devote to the pre -emptive approach, which is followed by the Ministry of Finance and the Federal Tax Authority to enhance tax compliance, and to encourage registrants to submit tax decisions or annual statements before the deadline, and to raise levels of early commitment to legal requirements, and in addition to that the Federal Tax Authority confirmed the application of the necessary procedures to return administrative fines The result of people who meet the conditions.

The initiative reflects the commitment of the Ministry of Finance and the Federal Commission for the continuing taxes to enhance the tax compliance environment in the country, and their endeavor to facilitate the procedures, and to reduce the financial burdens on companies, by enabling those who are subject to the fulfillment of their obligations smoothly, and giving them an opportunity to benefit from exemptions provided that they are committed to submitting tax declarations or annual statements before the specified date.

The initiative is part of the state’s efforts to facilitate the compliance process, during the first year of the implementation of corporate tax, and confirms the government’s commitment to supporting national business and projects, by providing incentives that encourage self -compliance and reduce the administrative and financial burdens associated with the tax registration stage, as well as its contribution to enhancing the state’s position in various global competitiveness indicators.