Recently, the United Arab Emirates (UAE) has introduced corporate tax, and businesses need to be well aware of the obligation and need to register at the right time to avoid penalty. But if a company doesn’t register within the assigned time frame and incurs a penalty, then it may submit a reconsideration request to the Federal Tax Authority. This blog aims to provide an insight into how to submit a reconsideration request of your UAE Corporate Tax late registration penalty fee.

Eligibility Criteria for Submitting a Reconsideration Request

The UAE Corporate Tax penalty fee on late registration may be reconsidered by the company. However, before submitting a reconsideration request, it is essential to ensure that you meet the eligibility criteria. You can submit a reconsideration request if:

1.You have an FTA online profile.

2.You request reconsideration of an FTA decision.

3.Within 40 business days following the date of the original decision by the FTA, you raise the request for reconsideration.

You do not need to be a taxable person registered with the FTA, or to have an appointed tax agent, to ask for a reconsideration.

Required Documents and Forms

To submit a reconsideration request you will need the following documents:

Procedures and Steps

1. Login to EmaraTax: You can log in EmaraTax account using your login details or using UAE Pass. If you don‘t have an EmaraTax account, sign up for yours by clicking the ‘sign up’ button. If you forgot your password, you can redo your password with the tool “forgot password”.
2. Select the Taxable Person: While you will first get to EmaraTax online via the email and password you had registered with, the EmaraTax online user dashboard will be automatically displayed on successful login. The first thing is if you have 2 factor authentication enabled, you will be asking for an OTP received to your registered email and the mobile number to login successfully. Choose the Taxable Person from the list and click ‘View’ which opens the dashboard.
3. Click on “Other services”: From within the Taxable person profile for which you want to raise a reconsideration request, click “Other services”.
4. Click on “View All” on the Reconsideration tile: You will be directed to the Reconsideration Application dashboard.
5. Click on “New Request”: Then click on “New Request” to open the form for a Reconsideration request.
6. Enter the FTA decision reference numbers: Provide the FTA decision reference numbers of the records you’re seeking Reconsideration.
7. Select the category: Choose the category your request relates to from the drop down.
8. Proceed to the Application form: Click Proceed to Open the Application form for a Reconsideration.
9. Read the guidelines and instructions: This ‘guidelines and instructions’ page will help you understand about the important requirements to be met while submitting a Reconsideration request in the UAE. It also gives you an idea of the kinds of information you should have when you are filling out the Reconsideration application.
10. Confirm that you have read the instructions and guidelines: Check the checkbox that you read the instructions and guidelines.
11. Start the Reconsideration application: To advance to the Reconsideration application, click on “Start.”
12. Verify the details: Check to see if the fields are pre filled according to the Taxable person profile.
13. Save as draft: If you want to save the form to come back later, you are good to select ‘Save as draft.’
14. Provide details of the FTA decision: Provide details of the FTA decision for which this particular reconsideration request is brought.
15. Provide a detailed description: Give a full description of why FTA should reconsider the original decision and put forward relevant documents (in case any).
16. Provide references of legal provisions: Supply references of legal provisions of FTA or its guidance (with necessary documents, if any).
17. Review the information: Check for correct information.
18. Confirm the declaration: To confirm you have reviewed the declaration, simply mark the checkbox.
19. Submit the Reconsideration application: After you click Submit, the Reconsideration application will be submitted.

FAQs

1. 1.Is there a way to request a reconsideration with respect to FTA decision that is pending with Waiver Committee regarding a penalty?

Yes. FTA can process your reconsideration and waiver request for a penalty at the same time.

1. Can FTA do anything that doesn’t require reconsideration?

FTA will reconsider only those decisions they have directed to a Taxpayer. Any response to a request like an inquiry, a complaint or a clarification is not a decision. Given this, such responses cannot be reconsidered.

2. What happens if my reconsideration request is rejected?

You can appeal any decision regarding this because the Department of Justice has the Tax Dispute Resolution Committee (TDRC).

3. How long does it take to receive a response from the FTA?

FTA will take 45 business days to respond to a completed application for a reconsideration request.

In conclusion, if you fulfill the eligibility criteria and submit all the required documents and forms, UAE corporate tax late registration penalty fee reconsideration request is a very simple process, without having to pay anything. If you follow the steps and procedures outlined in this article, you stand a better chance of getting your reconsideration request approved, and not spending much money for incomplete services. Review the guidelines and instructions carefully and seek professional advice when necessary.