Federal Tax Authority Recognises Strategic Partners At 2025 Dubai Forum

The Federal Tax Authority recorded a series of milestones in 2025, led by Director-General Khalid Ali Al Bustani, who said the progress strengthened the UAE’s tax ecosystem, improved services for taxpayers and aligned with national efforts that promote innovation and long-term financial sustainability across the country.

Al Bustani reported a clear increase in corporate tax compliance during 2025. More than 680,000 entities registered for corporate tax, while over 520,000 registrants were recorded for VAT. Al Bustani linked this growth to stronger tax awareness and easier online procedures that provide services at any time through digital channels.

The Director-General explained that the Federal Tax Authority is carrying out broad modernisation plans. These plans focus on expanding digital transformation and delivering future-ready services through the EmaraTax platform, which is designed to simplify interactions, reduce paperwork and make compliance processes more efficient for businesses and individuals.

As part of this digital focus, the Federal Tax Authority approved 100 new zero-bureaucracy processes through EmaraTax, most of which are already live. These streamlined procedures helped the Authority secure first place in the Impact on the Business Sector category of the Zero Government Bureaucracy Award during the year.

Speaking at the opening of the third Strategic Partners Forum of the Federal Tax Authority for 2025 in Dubai, Al Bustani said cooperation with government and private partners has supported continuous development of the UAE tax ecosystem and reinforced the Authority’s contribution to national financial sustainability objectives.

Al Bustani praised strategic partners and said more than 55 memoranda of understanding have been signed with federal, local and private entities. These agreements cover data exchange, electronic system integration, audit mechanisms and tax awareness campaigns, all of which support smoother implementation of tax legislation and improve the overall taxpayer experience.

Federal Tax Authority achievements, indices and human capital

The Director-General noted that the UAE ranked first worldwide in the Tax and Low Bureaucracy Index and in the Tax Evasion Index. He linked these positions to the Authority’s modern systems, clear procedures and cooperation with partners, which together strengthened confidence in the national tax framework.

Al Bustani also highlighted progress in services for citizens. More than 44,000 VAT refund transactions were processed for citizens reclaiming VAT paid on constructing new homes. He said the figures show continued enhancement of the housing VAT refund service and its role in supporting Emirati homebuilders across the country.

Human capital remained a central priority for the Federal Tax Authority during 2025. Al Bustani stated that 100 percent of Authority employees took part in training and professional development programmes. These initiatives aimed to upgrade technical skills, improve service delivery and ensure staff can manage advanced digital tax systems.

Federal Tax Authority future tax measures and digital initiatives

Looking ahead, Al Bustani said the Federal Tax Authority is preparing a new excise tax calculation method for sweetened beverages, which will be based on sugar content. The measure forms part of wider efforts to encourage healthier consumption choices and support public health policies within the UAE.

Al Bustani added that preparations are advancing, in cooperation with the Ministry of Finance, to introduce e-invoicing and the Domestic Minimum Top-up Tax. These initiatives will be implemented in line with OECD standards and are intended to align the UAE’s tax framework with evolving international tax practices.

During the Strategic Partners Forum, government and private sector partners were honoured for their role in supporting the Federal Tax Authority’s path towards institutional excellence. The event reflected how digital upgrades, training efforts, regulatory updates and broad cooperation are together shaping the next phase of the UAE’s tax administration.

With inputs from WAM