A shareholder leaves your company. You amend the Memorandum of Association (MOA), update your trade licence and receive approval from the licensing authority. Everything appears to be in order.
Then a notice arrives from the Federal Tax Authority (FTA): an administrative penalty for failing to update your company’s tax records.
This is where an FTA tax record amendment becomes important. Updating your company documents or trade licence does not automatically update your tax registration. If your business is registered for Corporate Tax, VAT or Excise Tax, you must ensure that the information held by the FTA reflects your current business details.
Under the applicable UAE tax procedures, changes to registered information must be notified within the prescribed deadline. Missing this requirement can lead to administrative penalties, even when there is no unpaid tax.
In this guide, we explain when an FTA tax record amendment is required, which company changes must be reported, how to submit an amendment through EmaraTax, and what businesses should know about the applicable deadlines and penalties.
The rule
If your company is registered with the FTA for Corporate Tax, VAT or Excise Tax, you must notify the FTA of any change to the information on your tax record within 20 business days of the date the change occurs. You do this by submitting a Tax Records Amendment on EmaraTax.
The obligation comes from the Tax Procedures Law (Federal Decree-Law No. 28 of 2022) and its Executive Regulation, Cabinet Decision No. 74 of 2023. Twenty business days is roughly four calendar weeks. In practice it disappears quickly, especially when supporting documents are still being issued.
What counts as a change?
More than most people expect. You should file an amendment when any of the following changes:
- Shareholders or ownership structure
- Manager, director or authorised signatory
- Company name or trade name
- Registered or principal business address
- Legal form or entity type
- Business activities on the licence
- Trade licence details, including a routine renewal
- Bank account details held with the FTA
- Contact details such as the registered email or phone number
The renewal point catches many companies. A licence renewed every year changes the expiry date on your record, and the FTA expects that update too.
A useful test: if any detail on your tax registration no longer matches your current documents, it almost certainly needs updating.
“But we already updated the licence”
This is where most companies get caught.
Amending your MOA, updating your trade licence, and filing changes with the Department of Economy and Tourism (DET) or your free zone authority are all necessary steps. None of them update your tax record. The FTA runs a separate system and does not automatically receive filings made with other authorities.
Until you submit the amendment on EmaraTax yourself, the FTA treats your company as unchanged.
A shareholder change usually triggers a further obligation too: updating your Ultimate Beneficial Owner (UBO) register with your licensing authority, which runs on its own timeline.
One change, several amendments
Many companies hold more than one FTA registration. Each one must be amended separately. Updating your Corporate Tax registration does not update your VAT or Excise registration.
Penalties are also applied per violation. So one missed shareholder change can become two or three penalties, depending on how many registrations you hold.
The FTA also notes that some amendment types must be submitted as separate applications, even within the same registration.
Why this matters for groups and investors
For a single company, a missed update is an avoidable cost. For a group with several UAE entities, it becomes a process risk.
Take a holding restructure that changes the shareholding of four subsidiaries, each registered for both Corporate Tax and VAT. That is eight separate amendments, each with its own 20-business-day deadline. Missing all of them would mean at least AED 8,000 in first-time penalties, and repeat violations cost more.
If you manage a portfolio of companies, the deadline needs to sit inside your corporate change process, not after it.
What is the penalty?
Failing to notify the FTA of a change to your tax record carries an administrative penalty of AED 1,000 for each violation.
For VAT and Excise Tax, Cabinet Decision No. 129 of 2025 took effect on 14 April 2026. It reduced this penalty from AED 5,000 to AED 1,000, with AED 5,000 for a repeat violation within 24 months. For Corporate Tax, the penalty is set by Cabinet Decision No. 75 of 2023 at AED 1,000 per violation.
The amounts are modest on their own. Across several entities and registrations, and with repeat violations, they add up quickly.
How to update your tax record on EmaraTax
- Log in to EmaraTax using UAE Pass.
- Open the taxable person’s account and click View to reach the Registration Overview.
- For registration, bank or customs details, use the options menu (⋯) next to the relevant tax type. For entity-level details or a change of entity type, go to Taxable Person Details.
- Enter the new details and upload supporting documents.
- Submit, and keep the confirmation for your records.
- Repeat for each tax type you are registered for.
The service is free and takes about 25 minutes to submit. The FTA aims to process it within 20 business days of receiving a complete application. Typical supporting documents include:
- The valid trade licence
- Articles or Certificate of Incorporation, where applicable
- Commercial registration or other official proof from the licensing authority
- A continuity certificate showing old and new licence numbers, where relevant
- Documents that prove the change and the date it took effect, such as an amended MOA or board resolution
Make sure what you enter matches your documents exactly. Mismatches are a common reason for rejection or requests for more information, and each request can add another 20 business days.
The FTA also publishes an interactive guide to the amendment process.
Frequently Asked Questions
How long do I have to update the FTA after a change?
You have twenty business days from the date the change occurs. Weekends and UAE public holidays are excluded, so this is roughly four calendar weeks. Start early, as you may need documents from other authorities first.
When does the 20-day period start?
The period starts from the date the change takes effect, not the date you notice it. If it is unclear which date applies, such as a board resolution date versus a licence reissue date, we recommend counting from the earlier date.
I’ve updated my trade licence and MOA. Isn’t that enough?
No. The licensing authority, the notary and the FTA are separate bodies and do not share updates automatically. You must submit a separate amendment through EmaraTax.
Does renewing my trade licence count as a change?
Yes. The FTA lists the renewal or amendment of a trade licence as a change that requires notification. Upload the renewed licence through a Tax Records Amendment after each renewal.
My company is registered for Corporate Tax and VAT. Do I need to update both?
Yes. Each registration, including Excise Tax if applicable, must be amended separately. Penalties apply per violation, so one missed change can lead to more than one penalty.
Does this apply to free zone companies?
Yes. It applies to every FTA registrant, whether licensed on the mainland or in a free zone such as DMCC, JAFZA or DIFC.
What is the penalty for missing the deadline?
The penalty is AED 1,000 per violation. For VAT and Excise Tax, a repeat violation within 24 months costs AED 5,000 under Cabinet Decision No. 129 of 2025.
I’ve already missed the deadline. What should I do?
Submit the amendment immediately so the record is correct and further violations are avoided. If you believe a penalty was imposed in error, you can apply to the FTA for reconsideration, generally within 40 business days of being notified. Professional advice is worth getting before you file.
Is there a fee to amend my tax record?
No. The FTA does not charge for the Tax Records Amendment service.
How long does the FTA take to approve an amendment?
The FTA aims to complete a review within 20 business days of receiving a complete application. If it requests more information, the review period can restart once you respond.
Can I make several changes in one application?
Sometimes. The FTA says certain amendment types need separate applications. EmaraTax will guide you, but plan for more than one submission.
Who files the amendment if my company is part of a tax group?
Generally, the representative member of the VAT or Corporate Tax group submits amendments on behalf of the group. Changes to group membership have their own application process.
A small step that prevents an avoidable cost
This penalty is frustrating precisely because nothing in the business was wrong. One record in one system simply wasn’t updated in time.
At Altus Citadel Services FZCO, we handle corporate changes and tax compliance together. When your company structure changes, your FTA records are updated with it, within the deadline and for every registration.
Planning a restructure, bringing in a new shareholder, or not sure your tax records match your current setup? Contact our team for a quick review.
