The Council of Ministers issued two decisions to redefine the administrative fines that were imposed for violating tax laws before the date of June 28, 2021 in the country, to equal 30%/ of the total unpaid fines on that date in the event that some conditions are met, and to determine the controls and procedures related to requests for installments, exemptions and refunds in whole or in part. For administrative fines imposed on any person for violating the provisions of the Tax Procedures Law or tax laws.
In detail, according to the first decision, the Federal Tax Authority determines the administrative fines imposed on the registrant before the date of June 28, 2021, which have not been paid, to equal 30%/ of the total of those unpaid fines, in the event that the registrant pays the full amount of the tax payable up to a maximum in December 31, 2021, and the registrar paid 30% of the total unpaid administrative fines, up to a maximum of December 31, 2021.
In the event that the Registrant does not pay the full tax payable or 30%/ of the total of those unpaid administrative fines up to a maximum of December 31, 2021, the Registrant can fulfill the two conditions up to a maximum of December 31, 2022.
In accordance with the decision whose provisions came into force on January 01, 2022, the Federal Tax Authority will determine the procedures necessary to implement these provisions, bearing in mind that the administrative fines imposed on the registrant will be re-established with a maximum of 30 working days from the previously specified dates.
Controls and procedures related to installment requests, exemption, and full or partial response.
According to the second decision, which will come into force as of the first of next March, the committee formed by a decision of the Chairman of the Authority’s Board of Directors approves the payment of administrative fines in installments if four conditions are met; The first is that the request for installment is in respect of unpaid administrative fines only, and the second is that the administrative fines required to be paid in installments for a person shall not be less than 50,000 dirhams. The committee formed by the decision of the Chairman of the Federal Tax Authority Board of Directors may make any amendment to that amount.
The third condition is that the administrative fines required to be paid in installments shall not be in dispute before the Tax Dispute Resolution Committee, the competent courts, or any other bodies concerned with considering tax objections or appeals in accordance with the mechanism stipulated in the Federal Law on Tax Procedures and its amendments, with the exception of objection through The reconsideration mechanism, as the fourth condition is that there is no tax payable on the person for the tax period in question.
exemption controls.
And in accordance with the decision of the Council of Ministers .. the committee formed by the decision of the Chairman of the Authority’s Board of Directors approves the exemption from administrative fines in the event that three main controls are met; The first is that the violation in respect of which the administrative fines have arisen is not related to a crime of tax evasion, the second is that the application be submitted within the period specified by the committee, and the third condition for approval of exemption from administrative fines is that the person’s request is related to one of nine cases, including: the death of the registered natural person Or the owner of the sole proprietorship/when death was a direct cause of non-compliance with the tax obligation/.
The illness of the registered natural person or the owner of the sole proprietorship/when the illness prevented him from fulfilling his tax obligation on time/.
The death, illness, or resignation of an essential employee of a registered establishment (provided that it is proven that this was a direct reason for not implementing the tax obligation on time/).
Existence of precautionary or preventive restrictions or measures imposed by government authorities (whenever they were a direct cause of non-implementation of the tax obligation).
The existence of a general defect in the systems of the Federal Tax Authority or the payment systems or the telecommunications services used /when that was a direct cause for the failure of a group of persons to implement tax duties on time/.
Execution of any of the penalties restricting freedom by a registered natural person or the owner of a sole proprietorship.
Person carrying out tax duties and paying all tax amounts due from him in accordance with the tax law through another account registered for tax purposes with the Authority.
If a person has been declared insolvent or bankrupt, and the tax amounts due from him have been paid before the date of the bankruptcy or insolvency declaration, unless the purpose of the declaration of bankruptcy or insolvency is to evade the payment of those administrative fines.
Any other cases as determined by the committee.
Fines refund controls.
With regard to the controls and procedures for refunding administrative fines, the decision stipulated that the committee formed by the decision of the Chairman of the Authority’s Board of Directors shall determine the cases and rules for refunding fines collected during the five years preceding the date of consideration of their response, in a manner that achieves tax justice and equality between legal positions for taxpayers.
The Cabinet decision also specified the procedures, documents and data necessary for submitting requests for installments of administrative fines for violating or exempting tax laws, the mechanism for studying requests for installments and exemptions, the committee’s procedures and consideration of requests, the implementation of the committee’s decisions, and the transitional provisions related to the implementation of the decision.
This step is a continuation of the package of supportive measures that the UAE government is implementing in order to facilitate violators and support the economic and tax systems by adding more flexibility in various procedural aspects.
The Council of Ministers issued two decisions to redefine the administrative fines that were imposed for violating tax laws before the date of June 28, 2021 in the country, to equal 30%/ of the total unpaid fines on that date in the event that some conditions are met, and to determine the controls and procedures related to requests for installments, exemptions and refunds in whole or in part. For administrative fines imposed on any person for violating the provisions of the Tax Procedures Law or tax laws.
In detail, according to the first decision, the Federal Tax Authority determines the administrative fines imposed on the registrant before the date of June 28, 2021, which have not been paid, to equal 30%/ of the total of those unpaid fines, in the event that the registrant pays the full amount of the tax payable up to a maximum in December 31, 2021, and the registrar paid 30% of the total unpaid administrative fines, up to a maximum of December 31, 2021.
In the event that the Registrant does not pay the full tax payable or 30%/ of the total of those unpaid administrative fines up to a maximum of December 31, 2021, the Registrant can fulfill the two conditions up to a maximum of December 31, 2022.
In accordance with the decision whose provisions came into force on January 01, 2022, the Federal Tax Authority will determine the procedures necessary to implement these provisions, bearing in mind that the administrative fines imposed on the registrant will be re-established with a maximum of 30 working days from the previously specified dates.
Controls and procedures related to installment requests, exemption, and full or partial response.
According to the second decision, which will come into force as of the first of next March, the committee formed by a decision of the Chairman of the Authority’s Board of Directors approves the payment of administrative fines in installments if four conditions are met; The first is that the request for installment is in respect of unpaid administrative fines only, and the second is that the administrative fines required to be paid in installments for a person shall not be less than 50,000 dirhams. The committee formed by the decision of the Chairman of the Federal Tax Authority Board of Directors may make any amendment to that amount.
The third condition is that the administrative fines required to be paid in installments shall not be in dispute before the Tax Dispute Resolution Committee, the competent courts, or any other bodies concerned with considering tax objections or appeals in accordance with the mechanism stipulated in the Federal Law on Tax Procedures and its amendments, with the exception of objection through The reconsideration mechanism, as the fourth condition is that there is no tax payable on the person for the tax period in question.
exemption controls.
And in accordance with the decision of the Council of Ministers .. the committee formed by the decision of the Chairman of the Authority’s Board of Directors approves the exemption from administrative fines in the event that three main controls are met; The first is that the violation in respect of which the administrative fines have arisen is not related to a crime of tax evasion, the second is that the application be submitted within the period specified by the committee, and the third condition for approval of exemption from administrative fines is that the person’s request is related to one of nine cases, including: the death of the registered natural person Or the owner of the sole proprietorship/when death was a direct cause of non-compliance with the tax obligation/.
The illness of the registered natural person or the owner of the sole proprietorship/when the illness prevented him from fulfilling his tax obligation on time/.
The death, illness, or resignation of an essential employee of a registered establishment (provided that it is proven that this was a direct reason for not implementing the tax obligation on time/).
Existence of precautionary or preventive restrictions or measures imposed by government authorities (whenever they were a direct cause of non-implementation of the tax obligation).
The existence of a general defect in the systems of the Federal Tax Authority or the payment systems or the telecommunications services used /when that was a direct cause for the failure of a group of persons to implement tax duties on time/.
Execution of any of the penalties restricting freedom by a registered natural person or the owner of a sole proprietorship.
Person carrying out tax duties and paying all tax amounts due from him in accordance with the tax law through another account registered for tax purposes with the Authority.
If a person has been declared insolvent or bankrupt, and the tax amounts due from him have been paid before the date of the bankruptcy or insolvency declaration, unless the purpose of the declaration of bankruptcy or insolvency is to evade the payment of those administrative fines.
Any other cases as determined by the committee.
Fines refund controls.
With regard to the controls and procedures for refunding administrative fines, the decision stipulated that the committee formed by the decision of the Chairman of the Authority’s Board of Directors shall determine the cases and rules for refunding fines collected during the five years preceding the date of consideration of their response, in a manner that achieves tax justice and equality between legal positions for taxpayers.
The Cabinet decision also specified the procedures, documents and data necessary for submitting requests for installments of administrative fines for violating or exempting tax laws, the mechanism for studying requests for installments and exemptions, the committee’s procedures and consideration of requests, the implementation of the committee’s decisions, and the transitional provisions related to the implementation of the decision.
This step is a continuation of the package of supportive measures that the UAE government is implementing in order to facilitate violators and support the economic and tax systems by adding more flexibility in various procedural aspects.
The Council of Ministers issued two decisions to redefine the administrative fines that were imposed for violating tax laws before the date of June 28, 2021 in the country, to equal 30%/ of the total unpaid fines on that date in the event that some conditions are met, and to determine the controls and procedures related to requests for installments, exemptions and refunds in whole or in part. For administrative fines imposed on any person for violating the provisions of the Tax Procedures Law or tax laws.
In detail, according to the first decision, the Federal Tax Authority determines the administrative fines imposed on the registrant before the date of June 28, 2021, which have not been paid, to equal 30%/ of the total of those unpaid fines, in the event that the registrant pays the full amount of the tax payable up to a maximum in December 31, 2021, and the registrar paid 30% of the total unpaid administrative fines, up to a maximum of December 31, 2021.
In the event that the Registrant does not pay the full tax payable or 30%/ of the total of those unpaid administrative fines up to a maximum of December 31, 2021, the Registrant can fulfill the two conditions up to a maximum of December 31, 2022.
In accordance with the decision whose provisions came into force on January 01, 2022, the Federal Tax Authority will determine the procedures necessary to implement these provisions, bearing in mind that the administrative fines imposed on the registrant will be re-established with a maximum of 30 working days from the previously specified dates.
Controls and procedures related to installment requests, exemption, and full or partial response.
According to the second decision, which will come into force as of the first of next March, the committee formed by a decision of the Chairman of the Authority’s Board of Directors approves the payment of administrative fines in installments if four conditions are met; The first is that the request for installment is in respect of unpaid administrative fines only, and the second is that the administrative fines required to be paid in installments for a person shall not be less than 50,000 dirhams. The committee formed by the decision of the Chairman of the Federal Tax Authority Board of Directors may make any amendment to that amount.
The third condition is that the administrative fines required to be paid in installments shall not be in dispute before the Tax Dispute Resolution Committee, the competent courts, or any other bodies concerned with considering tax objections or appeals in accordance with the mechanism stipulated in the Federal Law on Tax Procedures and its amendments, with the exception of objection through The reconsideration mechanism, as the fourth condition is that there is no tax payable on the person for the tax period in question.
exemption controls.
And in accordance with the decision of the Council of Ministers .. the committee formed by the decision of the Chairman of the Authority’s Board of Directors approves the exemption from administrative fines in the event that three main controls are met; The first is that the violation in respect of which the administrative fines have arisen is not related to a crime of tax evasion, the second is that the application be submitted within the period specified by the committee, and the third condition for approval of exemption from administrative fines is that the person’s request is related to one of nine cases, including: the death of the registered natural person Or the owner of the sole proprietorship/when death was a direct cause of non-compliance with the tax obligation/.
The illness of the registered natural person or the owner of the sole proprietorship/when the illness prevented him from fulfilling his tax obligation on time/.
The death, illness, or resignation of an essential employee of a registered establishment (provided that it is proven that this was a direct reason for not implementing the tax obligation on time/).
Existence of precautionary or preventive restrictions or measures imposed by government authorities (whenever they were a direct cause of non-implementation of the tax obligation).
The existence of a general defect in the systems of the Federal Tax Authority or the payment systems or the telecommunications services used /when that was a direct cause for the failure of a group of persons to implement tax duties on time/.
Execution of any of the penalties restricting freedom by a registered natural person or the owner of a sole proprietorship.
Person carrying out tax duties and paying all tax amounts due from him in accordance with the tax law through another account registered for tax purposes with the Authority.
If a person has been declared insolvent or bankrupt, and the tax amounts due from him have been paid before the date of the bankruptcy or insolvency declaration, unless the purpose of the declaration of bankruptcy or insolvency is to evade the payment of those administrative fines.
Any other cases as determined by the committee.
Fines refund controls.
With regard to the controls and procedures for refunding administrative fines, the decision stipulated that the committee formed by the decision of the Chairman of the Authority’s Board of Directors shall determine the cases and rules for refunding fines collected during the five years preceding the date of consideration of their response, in a manner that achieves tax justice and equality between legal positions for taxpayers.
The Cabinet decision also specified the procedures, documents and data necessary for submitting requests for installments of administrative fines for violating or exempting tax laws, the mechanism for studying requests for installments and exemptions, the committee’s procedures and consideration of requests, the implementation of the committee’s decisions, and the transitional provisions related to the implementation of the decision.
This step is a continuation of the package of supportive measures that the UAE government is implementing in order to facilitate violators and support the economic and tax systems by adding more flexibility in various procedural aspects.
The Council of Ministers issued two decisions to redefine the administrative fines that were imposed for violating tax laws before the date of June 28, 2021 in the country, to equal 30%/ of the total unpaid fines on that date in the event that some conditions are met, and to determine the controls and procedures related to requests for installments, exemptions and refunds in whole or in part. For administrative fines imposed on any person for violating the provisions of the Tax Procedures Law or tax laws.
In detail, according to the first decision, the Federal Tax Authority determines the administrative fines imposed on the registrant before the date of June 28, 2021, which have not been paid, to equal 30%/ of the total of those unpaid fines, in the event that the registrant pays the full amount of the tax payable up to a maximum in December 31, 2021, and the registrar paid 30% of the total unpaid administrative fines, up to a maximum of December 31, 2021.
In the event that the Registrant does not pay the full tax payable or 30%/ of the total of those unpaid administrative fines up to a maximum of December 31, 2021, the Registrant can fulfill the two conditions up to a maximum of December 31, 2022.
In accordance with the decision whose provisions came into force on January 01, 2022, the Federal Tax Authority will determine the procedures necessary to implement these provisions, bearing in mind that the administrative fines imposed on the registrant will be re-established with a maximum of 30 working days from the previously specified dates.
Controls and procedures related to installment requests, exemption, and full or partial response.
According to the second decision, which will come into force as of the first of next March, the committee formed by a decision of the Chairman of the Authority’s Board of Directors approves the payment of administrative fines in installments if four conditions are met; The first is that the request for installment is in respect of unpaid administrative fines only, and the second is that the administrative fines required to be paid in installments for a person shall not be less than 50,000 dirhams. The committee formed by the decision of the Chairman of the Federal Tax Authority Board of Directors may make any amendment to that amount.
The third condition is that the administrative fines required to be paid in installments shall not be in dispute before the Tax Dispute Resolution Committee, the competent courts, or any other bodies concerned with considering tax objections or appeals in accordance with the mechanism stipulated in the Federal Law on Tax Procedures and its amendments, with the exception of objection through The reconsideration mechanism, as the fourth condition is that there is no tax payable on the person for the tax period in question.
exemption controls.
And in accordance with the decision of the Council of Ministers .. the committee formed by the decision of the Chairman of the Authority’s Board of Directors approves the exemption from administrative fines in the event that three main controls are met; The first is that the violation in respect of which the administrative fines have arisen is not related to a crime of tax evasion, the second is that the application be submitted within the period specified by the committee, and the third condition for approval of exemption from administrative fines is that the person’s request is related to one of nine cases, including: the death of the registered natural person Or the owner of the sole proprietorship/when death was a direct cause of non-compliance with the tax obligation/.
The illness of the registered natural person or the owner of the sole proprietorship/when the illness prevented him from fulfilling his tax obligation on time/.
The death, illness, or resignation of an essential employee of a registered establishment (provided that it is proven that this was a direct reason for not implementing the tax obligation on time/).
Existence of precautionary or preventive restrictions or measures imposed by government authorities (whenever they were a direct cause of non-implementation of the tax obligation).
The existence of a general defect in the systems of the Federal Tax Authority or the payment systems or the telecommunications services used /when that was a direct cause for the failure of a group of persons to implement tax duties on time/.
Execution of any of the penalties restricting freedom by a registered natural person or the owner of a sole proprietorship.
Person carrying out tax duties and paying all tax amounts due from him in accordance with the tax law through another account registered for tax purposes with the Authority.
If a person has been declared insolvent or bankrupt, and the tax amounts due from him have been paid before the date of the bankruptcy or insolvency declaration, unless the purpose of the declaration of bankruptcy or insolvency is to evade the payment of those administrative fines.
Any other cases as determined by the committee.
Fines refund controls.
With regard to the controls and procedures for refunding administrative fines, the decision stipulated that the committee formed by the decision of the Chairman of the Authority’s Board of Directors shall determine the cases and rules for refunding fines collected during the five years preceding the date of consideration of their response, in a manner that achieves tax justice and equality between legal positions for taxpayers.
The Cabinet decision also specified the procedures, documents and data necessary for submitting requests for installments of administrative fines for violating or exempting tax laws, the mechanism for studying requests for installments and exemptions, the committee’s procedures and consideration of requests, the implementation of the committee’s decisions, and the transitional provisions related to the implementation of the decision.
This step is a continuation of the package of supportive measures that the UAE government is implementing in order to facilitate violators and support the economic and tax systems by adding more flexibility in various procedural aspects.