Federal Tax Authority (FTA) in UAE: Role, Functions, Services and Penalties
The Federal Tax Authority (FTA) administers federal taxes in the UAE. EmaraTax is the FTA’s portal for tax registration, filing returns, and making payments. This blog covers the taxes it handles, the services available to you, and what to check if you miss an obligation.
Key takeaways
• The FTA administers VAT, Excise Tax, and Corporate Tax.
• Use EmaraTax portal for FTA online tax services, including registration and filing returns.
• VAT and Corporate Tax have different registration rules; registering for one does not cover the other.
• Sweetened-drink excise amounts changed on 1 January 2026.
• Late registration and missing records can lead to administrative penalties.
Quick Navigation of FTA Portal
- Login Page: Access your FTA account for tax-related activities.
- E-Services Portal: Manage tax registration, filing, and other services.
- Contact Us: Reach out to the FTA for inquiries and support.
- Services Overview: Explore available FTA services.
- Service Cards Guide (PDF): A detailed guide on FTA services.
Whats is the Federal Tax Authority (FTA)
The Federal Tax Authority (FTA) is the UAE government body responsible for “administering, collecting and enforcing federal taxes”. Established under Federal Decree-Law No. 13 of 2016, it also helps taxpayers understand and meet their tax obligations.
Role of FTA in the UAE's Tax System
The Federal Tax Authority (FTA) turns the UAE’s federal tax rules into day-to-day processes. It administers and collects taxes, checks compliance, and helps taxpayers understand what is expected of them.
Economic diversification and revenue
Federal taxes provide revenue beyond oil. In 2025, the FTA reported collecting AED 46 billion from VAT and Excise Tax, compared with AED 41 billion in 2024. These figures cover VAT and Excise Tax, not all federal taxes. Refer to the FTA’s 2025 annual-report announcement.
Tax administration
The FTA manages registration, returns, payments, and other tax services through EmaraTax and its service channels. Its Tax Registration Department reviewed approximately 1.7 million transactions in 2025.
Compliance and taxpayer support
The FTA enforces tax obligations, but its role also includes helping businesses comply. Taxpayers can use its service directory, guidance, and inquiry channels to understand the requirements that apply to them before registering, filing, or requesting a refund.
Major Taxes Administered by the FTA
The FTA is responsible for managing several key taxes in the UAE. These include:
1. Value Added Tax (VAT)
The standard rate is 5%, although zero-rated and exempt supplies also exist.
2. Excise Tax
The FTA administers tax on specified goods, including tobacco products, energy drinks, electronic-smoking products, and sweetened drinks. From 1 January 2026, sweetened drinks are subject to a sugar-content-based amount per litre rather than a blanket percentage rate. Refer to the Cabinet Decision No. 197 of 2025, Articles 2, 10 and 15.
3. Corporate Tax
The regime applies to tax periods beginning on or after 1 June 2023. Under the general rate schedule, taxable income up to AED 375,000 is taxed at 0%, and the portion above that amount at 9%; specific rules, including for qualifying free-zone persons, may differ.
FTA Services and Functions
The Federal Tax Authority (FTA) offers services across each stage of a taxpayer’s relationship with the UAE tax system:
- Tax registration: Apply for VAT, Excise Tax, or Corporate Tax registration through the relevant FTA service.
- Returns and payments: File tax returns and pay amounts due through EmaraTax.
- Tax refunds: Apply for eligible refunds, including VAT refunds for tourists and UAE nationals building new residences.
- Record changes and deregistration: Update registration details or apply to deregister when the relevant requirements are met.
- Clarifications and inquiries: Request a private tax clarification or contact the FTA about a tax-service issue.
- Penalty-related requests: Apply for an instalment plan, waiver, or refund of an administrative penalty where eligible.
- Tax residency certificates: Apply for a certificate to establish UAE tax-residency status for an eligible purpose.
FTA Penalties on Non Compliance
FTA penalties depend on the violation and the tax involved. VAT and Excise Tax are covered by the applicable Tax Procedures/indirect-tax penalty schedule, while Corporate Tax has its own administrative-penalty schedule.
| Violation | Applicable tax | Penalty (AED) |
| Required tax records not kept | VAT, Excise Tax, Corporate Tax | AED 10,000 per violation; AED 20,000 for a repeat violation within 24 months |
| Requested tax data or documents not submitted in Arabic | VAT, Excise Tax, Corporate Tax | AED 5,000. This is separate from failing to keep records. |
| Registration application is submitted late | VAT, Excise Tax, Corporate Tax | AED 10,000. For Corporate Tax, the FTA's waiver initiative can exempt an eligible taxpayer from this penalty if the first Tax Return, or Annual Declaration where applicable, is submitted within 7 months of the end of the first Tax Period or Financial Year. |
| Deregistration application is submitted late | VAT, Excise Tax, Corporate Tax | AED 1,000 for late submission and AED 1,000 monthly thereafter, up to AED 10,000, under the applicable schedule. |
| Prices are not displayed inclusive of tax when required | VAT or Excise Tax | AED 5,000 under the relevant tax schedule. |
| Designated-zone conditions are breached | VAT or Excise Tax | The higher of AED 50,000 or 50% of the tax chargeable on the goods, where applicable. The VAT and Excise Tax conditions differ. |
| Required excise-goods price lists are not provided to the FTA | Excise Tax | AED 5,000 for the first violation; AED 10,000 for a repeat violation. |
| The FTA is not notified when the margin scheme is applied | VAT | AED 2,500 |
| A tax invoice or permitted alternative is not issued within the legally specified period | VAT | AED 2,500 for each detected case |
Important: The VAT and Excise Tax amounts above reflect the FTA-published penalty schedule as amended from 14 April 2026. The Corporate Tax amounts are taken from the separate Corporate Tax administrative-penalty schedule under Cabinet Decision No. 75 of 2023 and its amendments.
FTA Customer Care
To contact FTA, you can use the following methods:
Method | Details | Response Time |
| Online Form | Fill out the form on the FTA website with your name, email, phone number, and inquiry details. | Within 2 business days |
| Toll-Free Number | Call 800 82923, available Monday to Saturday from 7:30 a.m. to 10:00 p.m. | Within 8 minutes |
| Send queries to info@tax.gov.ae. | Within 2 business days | |
| In-Person Support Center | Visit FTA offices: - Abu Dhabi: Emirates Property Investment Company Building, P.O. Box 2440 - Dubai: Central Park Business Towers, DIFC, P.O. Box 2440 | Within 15 minutes |
| Live Chat | Access the 24/7 live chat option on the FTA website. | Within 5 minutes |
| Social Media Channels | Connect via social media: - YouTube | Not specified |
The Federal Tax Authority administers the UAE’s federal taxes, but what you need to do depends on your tax and registration status. Check the relevant FTA service, keep the required records, and use EmaraTax for the applicable online service.
Frequently Asked Questions
About Author
I’m a Senior Content Writer at ClearTax, specializing in e-invoicing, VAT, and Tax compliance. Over the years, I’ve researched and written everything from blog posts to whitepapers and product guides, helping ClearTax expand in Malaysia, KSA, UAE, Singapore, Belgium, France and beyond. My goal is to write the most comprehensive, understandable, readable, and accurate content on any topic that has ever existed on the internet. Outside of writing, I love reading self-help books, creating videos, and playing video games.
Rajan Rauniyar
Senior Content Writer- International
