Definition

The Federal Tax Authority (FTA) is the UAE government body responsible for managing and enforcing the country’s tax system, including VAT, Excise Tax, and Corporate Tax.

Key points

• Established in 2016 to implement federal tax laws.
• Manages taxpayer registration, return filing, and payment collection.
• Operates the EmaraTax platform for digital tax services.
• Conducts audits, issues penalties, and ensures compliance.

Practical example

A company files its quarterly VAT return and pays its liability through the FTA’s EmaraTax system. The FTA monitors, records, and enforces this compliance.

Why it matters

The FTA is the authority businesses must interact with for all tax obligations in the UAE.