Tax desk
Relief from the tax, not from the filing
An election that treats a business under the revenue threshold as having no taxable income for the period. It removes what you pay. It does not remove the registration, the return or the records.
- Threshold
- AED 3,000,000 revenue
- Still required
- Registration and return
- Decision
- Elected per tax period
What it covers
What the engagement covers
Claiming the relief is usually right, but not always. Electing it means you cannot use the period's losses later, which matters if next year looks different.
Ask what applies to you- Revenue threshold testing per period
- Eligibility across related entities
- Election filed with the return
- Loss and interest carry-forward impact
- Record-keeping the relief still requires
- Review of when to stop claiming it
Who it is for
Three situations this is built for
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Businesses under the threshold
Revenue below the limit for the period, and a decision to make about electing.
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Start-ups in their first years
Where this year's relief may cost next year's loss relief.
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Groups with small subsidiaries
Eligibility tested across related parties, not entity by entity.
How it runs
Three stages, start to finished
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Review
Eligibility test
Revenue tested for the period and the ones before it, across every related entity.
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Work
Trade-off review
We model the year with and without the election before recommending either.
-
Close
Elect and file
The election submitted with the return, with the working kept for the file.
Not included
What the fee does not cover
Listed because a scope is only clear when both halves are written down. Each of these is available; none is assumed.
- Preparing the return itself
- Bookkeeping to evidence the revenue figure
- Restructuring to fall under the threshold
- Advice on periods already filed
Questions we get
Answered plainly.
No. Falling under the threshold removes the tax, not the obligation. Businesses below it still register and still submit a return, and the late-registration penalty applies either way.
Often not. Electing the relief means the period's loss cannot be carried forward against a profitable year later. If you expect to be profitable soon, the loss may be worth more than the relief.
Same desk
Also under Tax & Compliance Advisory
Talk to the tax desk
Send us last year's revenue figure.
We will tell you whether you qualify, and whether claiming it is actually the better outcome for you.