UAE tax registrants now have until December 31, 2022, to have a penalty for violating tax laws re-determined. Previously, the re-determination deadline was December 31, 2021.

The penalties due until June 28, 2021, will be 30 percent of the total unpaid penalties.

It has been clarified by the Federal Tax Authority (FTA) that tax registrants who did not meet the conditions for the re-determination of administrative penalties by December 31, 2021, may meet them by December 31, 2022.

  1. First, the administrative penalty should have been imposed under Cabinet Decision No. 40 of 2017 before June 28, 2021, and the amount due was not settled in full before that date.
  2. Second, the tax registrant has settled all payable tax by December 31, 2022 (which means that the registrant must not have any tax due at the end of the year 2022).
  3. And third, the tax registrant has settled 30 percent of total unpaid administrative penalties due until June 28, 2021, no later than December 31, 2022.FTA said that if the registrant meets these conditions, the administrative penalties will be recalculated at 30 percent of the total unpaid penalties.Source: UAE tax authority extends penalty revision scheme until December 2022 | Business – Gulf News