Latest news with #CorporateTaxLaw.The
Al Etihad
6 days ago
- Business
- Al Etihad
Aldar welcomes new UAE tax depreciation decision as a positive step for real estate sector
18 July 2025 15:15 ABU DHABI (ALETIHAD)Aldar has welcomed the UAE Ministry of Finance's new Ministerial Decision on Depreciation Adjustments for Investment Properties held at Fair Value, calling it a positive and progressive development for the real estate sector under the UAE Corporate Tax decision, issued under Federal Decree-Law No. (47) of 2022 on the Taxation of Corporations and Businesses, allows taxpayers who elect the realisation basis to deduct tax depreciation from their taxable income on investment properties held at fair value. The depreciation amount permitted will be the lower of the tax written down value or 4% of the original cost of the property per 12-month tax period, or prorated for shorter Ministry's move ensures tax neutrality by aligning deductions with those available to businesses using historical cost accounting, thereby promoting equity across different reporting standards. The decision also clarifies the application of tax depreciation in various scenarios including property transfers between related or third parties, developments, and claw-back events. This is expected to support clearer compliance planning and improved financial foresight for Falaknaz, Group Chief Financial and Sustainability Officer at Aldar, praised the decision, saying: 'Aldar expresses its gratitude for the UAE Ministry of Finance for this progressive and well-calibrated step, which reflects a deep commitment to fairness, clarity, and international best practices in the implementation of the Corporate Tax Law. By enabling depreciation deductions for investment properties held at fair value, this decision creates parity between different accounting treatments, helping companies plan long-term capital deployment more effectively. It will also reinforce investor confidence, attract institutional capital, and enhance the UAE's standing as a transparent, competitive, and globally integrated investment destination—particularly for the real estate sector.' Aldar, which operates through two primary divisions—Aldar Development and Aldar Investment—holds a significant income-generating property portfolio across commercial, retail, residential, and logistics segments. As of 31 December 2024, Aldar Investment's portfolio had a gross asset value of Dh25.8 billion and generated Dh2.5 billion in EBITDA for the year.
Al Etihad
29-04-2025
- Business
- Al Etihad
Ministry of Finance, Federal Tax Authority launch initiative to waive late registration penalties under Corporate Tax Law
29 Apr 2025 17:38 ABU DHABI (WAM)The Ministry of Finance (MoF) and the Federal Tax Authority (FTA) have announced the issuance of a Cabinet Decision launching an initiative to waive administrative penalties for corporate taxpayers and certain exempt persons who failed to submit their tax registration applications with the FTA within the required qualify, eligible parties must file their tax return or annual statements within a period not exceeding seven (7) months from the end of their first tax period, as stipulated under the Corporate Tax Cabinet's decision reflects the proactive approach of the Ministry of Finance and the Federal Tax Authority to enhance tax compliance. It aims to encourage registrants to file tax returns or annual statements before the deadline, bolstering early compliance with legal the FTA confirmed that necessary procedures will be implemented to refund administrative fines collected from those who meet the specified initiative reaffirms the continued commitment of MoF and FTA to enhancing the tax compliance environment in the UAE, facilitating procedures, and easing financial burdens on businesses. It aims to enable taxpayers to meet their obligations smoothly and benefit from the exemptions, provided they file their tax returns or annual declarations within the prescribed decision is expected to significantly support the UAE's ongoing effort to ensure better compliance during the first year of corporate tax implementation. It underscores the government's commitment to supporting national businesses by providing incentives that encourage voluntary compliance, reduce administrative and financial burdens associated with tax registration, and further strengthen the UAE's standing across global competitiveness indices.
