- City Fajr Shuruq Duhr Asr Magrib Isha
- Dubai 03:59 05:25 12:20 15:41 19:10 20:35
The Ministry of Finance has allowed businesses within the UAE to use incurred losses (from the date of the introduction of corporate tax) to reduce taxable income in future financial periods. In an explanation related to the "Corporate Tax" law, which will come into effect from its first financial year starting from or after June 1, 2023, the ministry stated that tax losses can be carried forward and used against taxable income in future years, provided that the conditions set by the Ministry are met.
Tax losses from one company within a group can also be used to deduct taxable income for another company within the same group, subject to certain specified conditions. The ministry explained that tax losses will be created for the purposes of corporate tax (i.e., tax losses) when the total deductions that businesses are entitled to exceed the gross income for the relevant financial period.
The ministry also indicated that a group of companies in the UAE can apply to form a tax group and be treated as a single taxpayer, subject to certain specified conditions. The tax group in the UAE will be required to submit only one tax return on behalf of the entire group.
Follow Emirates 24|7 on Google News.