A penalty of AED 10,000 will be imposed on companies that fail to register for corporate tax on time.
The announcement was made by the UAE's Ministry of Finance, following an amendment to the law concerning taxation of corporations and businesses.
Cabinet Decision No.10 of 2024 will come into effect on March 1.
The fine will be imposed on businesses that do not submit their registration applications within the timelines specified by the Federal Tax Authority.
The ministry said that the penalty was introduced to ensure compliance with tax laws. It also added that the amount is set in line with the late registration penalties imposed for excise tax and value added tax.