Who We Serve · United Arab Emirates
MHBC helps newly set-up UAE companies open proper books, register for the taxes that apply, and keep clean first-year records — with one point of contact for the whole finance function.
The situation
A UAE company takes on compliance obligations from the moment it is licensed. It must keep proper accounting records, and register for Corporate Tax with the Federal Tax Authority — generally within three months of incorporation for companies formed on or after 1 March 2024.
VAT registration follows a different test: it becomes mandatory once taxable supplies and imports exceed AED 375,000 over a twelve-month period, with voluntary registration available above AED 187,500.
Where MHBC helps
The first-year finance function, run by one team.
We set up the system, file the registrations that apply to your licence and activity, and keep the records your first Corporate Tax return will be built from.
Accounting system & chart of accounts set-up
We help you choose and set up an accounting system and chart of accounts suited to your licence and activity, so records are structured correctly from the first transaction.
Opening books & record-keeping
We establish your books and a routine for maintaining them, meeting the record-keeping standards the Federal Tax Authority expects from the outset.
Corporate Tax registration
We assess your registration deadline and prepare the Corporate Tax application through the FTA's EmaraTax portal, generally within three months of incorporation for companies formed on or after 1 March 2024.
VAT registration assessment
We check whether your turnover meets the AED 375,000 mandatory or AED 187,500 voluntary threshold, and prepare the VAT registration through EmaraTax where it applies.
First-year records & Small Business Relief review
We keep clean first-year records ready for your first Corporate Tax return, and review eligibility for Small Business Relief where revenue stays within the AED 3 million threshold.
“The choices made in the first year — the accounting system, the chart of accounts and how records are kept — shape every return and audit that follows.”
How it runs
Some of this happens once, at the start. The rest runs on a calendar for as long as the company trades.
One-time
Choosing and setting up the accounting system and chart of accounts, Corporate Tax registration, and VAT registration where a threshold is met.
Recurring
Ongoing bookkeeping, VAT return filing each tax period, and the annual Corporate Tax return within nine months of the financial year-end — all on a fixed compliance calendar.
“A UAE company takes on compliance obligations from the moment it is licensed — not from the moment it turns a profit. Year one is where every later filing is either made routine or made difficult.”
Frequently asked
- When does a new UAE company have to register for Corporate Tax?
- A resident company incorporated on or after 1 March 2024 must apply to register for Corporate Tax within three months of its date of incorporation. Registration is required regardless of profit, and an administrative penalty of AED 10,000 applies for late registration.
- Does a startup need to register for VAT straight away?
- Not necessarily. VAT registration is mandatory only once taxable supplies and imports exceed AED 375,000 over a twelve-month period; below that, a business may register voluntarily above AED 187,500. Until a threshold is met, registration remains optional.
- Do we need proper accounting records before the business makes any profit?
- Yes. Under the UAE Corporate Tax regime, taxable persons must keep accounting records and supporting documents from the start of the first tax period, whether or not any tax is due, and retain them for seven years so a return can be filed and supported.
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