UAE Tax Compliance Grows As FTA Sees 651,000 Corporate Registrants And VAT Refund Surge

The UAE tax system has reached a new phase of maturity, with the Federal Tax Authority (FTA) reporting one of the highest corporate tax compliance rates globally and a rapid rise in registration numbers across all tax categories.

By the end of September, corporate tax registrants had surpassed 651,000, reflecting strong uptake of the UAE’s landmark tax framework introduced to support fiscal sustainability and competitiveness.

The Authority also processed AED115.4m ($31.4m) in VAT refunds for newly built homes during August and September, highlighting efficiency improvements in service delivery.

UAE tax compliance

The results demonstrate the strength of the UAE’s legislative and procedural frameworks and the success of the government’s digital transformation strategy, led by the Ministry of Finance and the FTA under the direction of Sheikh Maktoum bin Mohammed bin Rashid Al Maktoum, First Deputy Ruler of Dubai, Deputy Prime Minister and Minister of Finance of the UAE, and Chairman of the FTA Board.

The FTA attributed the surge in compliance to the EmaraTax digital services platform, which now handles thousands of transactions daily with high efficiency.

Corporate tax return submissions and payment processing have been completed seamlessly, even during peak periods, confirming the platform’s scalability and stability.

The Authority’s call centre continues to provide fast, reliable support for taxpayers, while the Zero Digital Bureaucracy programme is further simplifying administrative procedures and cutting red tape across all service channels.

Record registration and refund figures

Alongside 651,000 corporate tax registrants, the FTA confirmed 547,000 VAT registrants, 1,777 excise tax registrants, and 806 registered tax agents nationwide.

The latest report also showed that VAT refunds for UAE citizens on newly built homes totalled AED115.4m ($31.4m) across August and September.

These applications were processed under the streamlined systems introduced to enhance efficiency and taxpayer experience.

E-invoicing and excise tax reforms

The FTA Board approved its budget for 2026 and reviewed progress on the E-Invoicing Project, a joint initiative with the Ministry of Finance. The FTA has completed all legislative and system requirements, paving the way for rollout.

In addition, the FTA Board endorsed operational policies for the new excise tax calculation mechanism for sweetened drinks.

The tiered volumetric model will link tax rates directly to the sugar content of each beverage, part of broader health-oriented tax reforms.

Awareness and voluntary compliance

The Authority continues to run nationwide awareness campaigns through digital and traditional channels to support accurate voluntary compliance.

These initiatives have been central to maintaining some of the world’s highest filing and payment compliance rates.

Sheikh Maktoum commended the progress achieved and directed the FTA to sustain its modernisation drive and service excellence benchmarks in line with international best practices.

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