Cabinet Resolution · UAE

Cabinet Resolution No. (75) of 2023

Concerning the Administrative Penalties for Violations Related to the Application of Federal Decree-Law No. (47) of 2022 Concerning the Corporate Tax

Issued 10 July 2023 · In Force

The Cabinet,

Having reviewed the Constitution; and

Federal Law No. (1) of 1972, Concerning the Competences of Ministries and the Capacities of Ministers, and its amendments thereof; and
Federal Decree-Law No. (13) of 2016, Establishing the Federal Tax Authority, and its amendments; and
Federal Law No. (14) of 2016, Concerning the Violations and Administrative Penalties in the Federal Government; and
Federal Decree-Law No. (28) of 2022, Concerning Tax Procedures; and
Federal Decree-Law No. (47) of 2022, Concerning the Corporate Tax; and
Cabinet Resolution No. (40) of 2017, Concerning the Administrative Penalties for the Violation of the Tax Laws in the State, and its amendments; and
Based upon the proposal submit by the Minister of Finance and the Cabinet's approval,

Hereby resolves as follows:

Article (1) — Definitions

The definitions set forth in Federal Decree-Law No. (28) of 2022 Concerning Tax Procedures and in Federal Decree-Law No. (47) of 2022 Concerning the Corporate Tax shall apply to this Resolution. Otherwise, the following words and expressions shall have the meanings assigned thereto respectively, unless the context otherwise requires:

Tax: The Corporate Tax.
Tax Procedures Law: Federal Decree-Law No. (28) of 2022, Concerning Tax Procedures.
Corporate Tax Law: Federal Decree-Law No. (47) of 2022, Concerning the Corporate Tax.
Due Tax: The Tax that is calculated and levied under the provisions of the Corporate Tax Law.
Administrative Penalties: Amounts imposed on the Person by the Authority for violating the provisions of the Tax Procedures Law, the Corporate Tax Law or the resolutions issued by the Cabinet for the implementation thereof.
Tax Audit: A procedure undertaken by the Authority to examine the commercial records, information, data or goods related to a person to determine whether or not such person fulfills its obligations under the Tax Procedures Law or the Corporate Tax Law.
Declaration: A declaration to be submitted pursuant to the provisions of Clauses (5) and (6) of Article (53) or Clause (1) of Article (55) of the Corporate Tax Law.
Tax Difference: The difference between the due tax as calculated and the due tax as it should have been calculated.

Article (2) — Applicability

Notwithstanding the provisions of Cabinet Resolution No. (40) of 2017, referred to above, the administrative penalties included in the table annexed to this Resolution shall apply to the violations related to the application of the Corporate Tax Law.

Article (3) — Date of Application of Monthly Administrative Penalties

For the purposes of Clauses (3), (6), (7), (8) and (13) of the table annexed to this Resolution, if any penalty is imposed on the same date on a monthly basis, the date for any month, that does not have a corresponding date for that date, shall be considered the last day of that month, provided that the penalty for all other months applies on the same date on which the monthly penalty was first imposed.

Article (4) — Publication and Entry into Force

This Resolution shall be published in the Official Gazette and shall enter into force as of 1 August 2023.

Mohammed bin Rashid Al Maktoum Prime Minister

Issued by us: On: 22 Dhu Al Hijjah 1444 A.H. Corresponding to: 10 July 2023 AD

Table of Violations and Administrative Penalties Annexed to Cabinet Resolution No. (75) of 2023 Concerning the Administrative Penalties for Violations Related to the Application of Federal Decree-Law No. (47) of 2022 Concerning the Corporate Tax

Article 1 — Definitions

In this Resolution, unless the context otherwise requires, the following terms shall have the meanings ascribed to them hereunder:

State: The United Arab Emirates.

Ministry: The Ministry of Finance.

Minister: The Minister of Finance.

Authority: The Federal Tax Authority.

Corporate Tax Law: Federal Decree-Law No. (47) of 2022 on the Taxation of Corporations and Businesses.

Taxable Person: Any Person subject to Tax under the Corporate Tax Law.

Tax Period: The period for which the Tax is calculated and due.

Tax Return: The data and information specified by the Authority, submitted by the Taxable Person for the purposes of the Corporate Tax Law.

Tax Assessment: A decision issued by the Authority to determine the amount of Tax due or payable by any Person.

Administrative Penalties: Amounts imposed on the Person by the Authority for violating the provisions of the Corporate Tax Law or the resolutions issued by the Cabinet for the implementation thereof.

Voluntary Disclosure: A form or other means provided by the Authority whereby a Person may notify the Authority of an error or omission in a submitted Tax Return, a Tax Assessment or an application for Tax Refund.

Tax Audit: A procedure undertaken by the Authority to examine the commercial records, information, data or goods related to a Person to determine whether or not such Person fulfils its obligations under the Corporate Tax Law.

Tax Agent: Any Person registered with the Authority in the Register of Tax Agents.

Legal Representative: Any Person appointed to represent another Person before the Authority and fulfil his Tax obligations on his behalf.

Due Date: The date on which the Tax or Administrative Penalties are due and payable.

Business Day: Any day other than Friday and Saturday or an official holiday in the State.

Article 2 — Applicability

Notwithstanding the provisions of Cabinet Resolution No. (40) of 2017 on the Administrative Penalties for Violations of Tax Laws in the State and its amendments, the Administrative Penalties specified in the table annexed to this Resolution shall apply to violations related to the application of the Corporate Tax Law.

Article 3 — Date of Application of Monthly Administrative Penalties

Article 4 — Publication and Entry into Force