The UAE’s Corporate Tax revenue has increased by 33.9%, reaching AED 46.52 billion for tax periods ending in the 2025 financial year. The Federal Tax Authority (FTA) announced the latest figures on 11 November 2026, highlighting higher tax collections and improved compliance among businesses.
Corporate Tax revenue stood at AED 34.75 billion in 2024. The latest increase brings total Corporate Tax collections since the tax was introduced to AED 81.27 billion by the end of 2025.
The FTA also reported better rates of timely tax return filing across Corporate Tax, VAT and Excise Tax. These figures show that more businesses are meeting their tax responsibilities. However, they also highlight why companies must maintain accurate financial records and follow their tax filing schedules.
Corporate Tax Filing Improves, but Businesses Must Stay Alert
According to the FTA, the rate of timely Corporate Tax return filing reached 91% in 2026, compared with 87% in 2025. The on-time Corporate Tax payment rate stood at 97%.
VAT filing also improved. The rate of returns submitted on time reached 83% in 2026, up from 81% in 2025. Its on-time payment rate was 98%. For Excise Tax, timely filing increased to 92%, compared with 91% in 2025, while the on-time payment rate reached 98%.
These figures show progress, but filing remains an important part of tax compliance. Paying tax and submitting a return are two separate responsibilities. Businesses must complete both when required. This makes proper Corporate Tax services in Dubai, tax planning and regular financial reviews important for companies operating in the UAE.
VAT and Excise Tax Collections Also Reported
Alongside the Corporate Tax figures, the FTA reported AED 28.27 billion in VAT revenue distributed to the federal and emirate governments from January to August 2026. Excise Tax revenue for the same period reached AED 1.40 billion.
These figures provide an update on tax collections across the UAE. However, the announcement did not provide matching figures for the same period in 2025. Therefore, the VAT and Excise Tax amounts should not be presented as year-on-year growth.
Businesses registered for VAT should continue to review their transactions, maintain supporting records and submit accurate returns. Professional VAT services in Dubai can help companies manage these duties and reduce the risk of filing errors.
Dormant Companies and Small Businesses Must Check Their Filing Duties
The latest announcement is also a reminder for companies with little or no business activity. A dormant company is not automatically free from Corporate Tax filing duties. The FTA states that taxpayers must file a Corporate Tax return regardless of their income level or company status.
Businesses eligible for Small Business Relief must also meet their filing requirements. The relief does not automatically remove the duty to submit a return. Companies should keep records that support the information in their returns and show whether they qualify.
Ignoring these duties can lead to late filing and administrative penalties. Paying any tax due does not replace the need to submit the required return.
What UAE Businesses Should Do Now
Businesses should review their tax registration details, accounting records and filing dates. They should also check their assigned tax periods and deadlines through the EmaraTax portal. Corporate Tax returns and payments are generally due within nine months after the end of the relevant tax period.
Companies should not wait until the deadline to organise their records. Accurate bookkeeping services, regular account reviews and clear financial reporting can help businesses prepare their returns and identify errors before submission. Companies should also review their records to support any tax relief claims.
How Dubai Business and Tax Advisors Can Help
As tax compliance becomes a regular part of business operations, companies need reliable financial records and clear advice. Dubai Business and Tax Advisors helps businesses manage their financial and tax responsibilities through Corporate Tax advisory, VAT compliance, accounting services in Dubai, bookkeeping, financial reporting, and audit and assurance support.
Its team can help businesses review their financial records, understand their tax responsibilities and prepare for relevant filing requirements. With the right accounting and tax support, companies can improve their compliance processes and avoid common filing mistakes.
The latest FTA figures show that tax compliance is improving across the UAE. For businesses, the next step is to keep their records accurate, meet their filing duties and ensure their tax processes keep pace with the country’s requirements.
