UAE Corporate Tax Deadlines 2026: How to Pick the Right Financial Year

A practical guide to tax periods, filing deadlines, and year-end planning for UAE businesses.

Your Corporate Tax deadline is not automatically 31 December. It depends on the financial year your business uses for its tax period.

Why Financial Year Choice Matters in 2026

For UAE business owners, one of the biggest Corporate Tax misunderstandings is the difference between a calendar year and a financial year. Under the Corporate Tax regime, your tax period is generally your Gregorian calendar year or the 12-month period for which you prepare financial statements.

That means there is no single UAE-wide filing date for every company. Your filing and payment deadline depends on your own tax period end date, not on a universal 31 December deadline.

Choosing the right financial year is therefore more than an accounting preference. It affects reporting timing, internal close processes, and when your tax cash outflow becomes due.

The Golden Rule: File and Pay Within 9 Months

The UAE Corporate Tax deadline moves with your tax period end

Official UAE guidance states that a Tax Return must be filed, and any Corporate Tax due must be paid, within nine months from the end of the relevant tax period.

  • If your financial year ends on 31 December 2025: the filing and payment deadline is 30 September 2026.
  • If your financial year ends on 31 March 2026: the filing and payment deadline is 31 December 2026.
  • If your financial year ends on 30 June 2026: the filing and payment deadline is 31 March 2027.

Key 2026 Corporate Tax Deadlines to Track

Use your year-end date, not assumptions, to plan compliance

Your Financial Year End Your Filing and Payment Deadline
31 December 2025 30 September 2026
31 March 2026 31 December 2026
30 June 2026 31 March 2027

Important: for some newly incorporated UAE companies, the first tax period may be shorter or longer than 12 months. Official FTA guidance also confirms that, in certain cases, a first tax period can be between 6 and 18 months.

How to Pick the Right Financial Year

Choose a reporting cycle that fits your operating rhythm and cash flow

Option 1: Calendar Year (1 January to 31 December)

This is the most familiar structure for many businesses. It is easy to explain internally, commonly aligns with management reporting habits, and keeps year-end communication straightforward for stakeholders.

Option 2: Non-Calendar Year (for example 1 April to 31 March)

This can be useful if your business is seasonal or if you want your reporting cycle to reflect the way revenue is actually generated across the year. A different year-end can also shift when your Corporate Tax payment becomes due, which may help with internal cash-flow planning.

This is a business-planning choice, not a shortcut around compliance. The key is to select a financial year that your accounting team can close accurately and consistently.

What Happens If You Miss the Deadline

2026 penalty exposure is real and should be budgeted as a risk

  • Late registration penalty: AED 10,000.
  • Late filing penalty: AED 500 per month for the first 12 months, then AED 1,000 per month from month 13 onward.
  • Late payment penalty: 14% per annum, calculated monthly on the unpaid Corporate Tax amount.

The FTA has also announced a waiver initiative for certain late Corporate Tax registrations where the first return or annual declaration is submitted within seven months from the end of the first tax period, subject to official eligibility conditions. Businesses should still plan around the standard deadlines rather than assume waiver availability.

How Founders Should Approach Year-End Planning

Set the books correctly from day one

If you are starting a business, it is cheaper to choose the right reporting structure at setup than to correct accounting, filing, and deadline mistakes later. Your tax calendar should be aligned with bookkeeping discipline, VAT tracking, bank reconciliation, and management reporting from the beginning.

That is exactly why Sarmat built the Advanced Accounting & Financial Management course. It is designed to help founders and finance teams set up a practical financial framework early, including chart of accounts structure, documentation flow, and compliance readiness before the first filing deadline arrives.

View Accounting Course Book Consultation

Official References

SARMAT PROFESSIONAL & MANAGEMENT DEVELOPMENT TRAINING L.L.C | SARMAT GOVERNMENT SERVICES L.L.C

Helping individuals and businesses navigate UAE government procedures with precision and ease.Based in Dubai. Local experts. Government-compliant.

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