Voluntary Disclosure (VAT & Corporate Tax) — AL SAHRAA Businessmen Services LLC

If you’ve identified an error or omission in past VAT returns or UAE corporate tax filings, a voluntary disclosure to the Federal Tax Authority (FTA) can be the right step. AL SAHRAA Businessmen Services LLC helps UAE businesses prepare and submit clear, well-supported voluntary disclosures to address liabilities, limit exposure to penalties, and reduce audit risk.

Key points at a glance

Service: Voluntary disclosure preparation and filing for VAT and UAE corporate tax.

Scope: Liability assessment, gathering supporting records, drafting the disclosure, submission to the FTA, and advisory on follow-up.

Objective: Correct tax position, provide full and accurate disclosure, and manage FTA scrutiny and any penalties or interest that may apply.

Why file a voluntary disclosure?

Demonstrates cooperation and transparency with the FTA.

Can reduce the likelihood of escalated audits or criminal investigations when compared with undisclosed errors discovered later.

Allows you to regularise historic non-compliance and calculate any VAT or corporate tax due plus applicable interest and penalties.

What AL SAHRAA will do for you

Assess the issue: Identify which periods and transactions are affected and quantify the tax exposure.

Compile supporting records: Sales/purchase invoices, accounting entries, reconciliations, contracts, and other evidence needed for the disclosure.

Prepare the disclosure: Draft a complete and clear voluntary disclosure that explains the error, the corrective steps and the amounts due.

File with the FTA: Submit the disclosure and manage communications, queries or requests for additional information.

Advisory support: Recommend bookkeeping controls and future compliance steps to reduce repeat issues.

Typical documents and information we request

Tax registration details (TRN) and company information.

Copies of the relevant VAT returns, corporate tax returns and financial statements.

Invoices, credit notes, contracts and bank statements covering the affected periods.

Any prior correspondence with the FTA on the matter.

Possible outcomes and penalties

Outcomes depend on the facts, timing and completeness of the disclosure. The FTA may accept the disclosure and assess tax, interest and administrative penalties, or open further enquiries.

Filing early and providing full supporting evidence often helps reduce risk, but penalties and interest may still apply in line with FTA rules.

AL SAHRAA will provide a clear estimate of likely tax, interest and administrative penalties based on the information available; final assessments are at the FTA’s discretion.

Frequently asked questions

When should I file a voluntary disclosure?

If you discover mistakes in past VAT or corporate tax filings, file as soon as possible after assessing the issue and gathering documents. Early voluntary disclosure generally reduces enforcement risk.

Is a disclosure confidential?

Disclosures are submitted to the FTA and are part of the official record. The FTA may request additional information and may apply penalties in accordance with UAE law.

Can AL SAHRAA represent my company with the FTA?

Yes. We can prepare and submit the disclosure and handle FTA communications on your behalf, provided we have the necessary authorization.

Will I avoid penalties if I disclose voluntarily?

A voluntary disclosure does not guarantee penalty waiver. It can, however, lead to more favourable treatment compared with undisclosed non-compliance. Final decisions are made by the FTA.

How to start — Request a quote

To discuss your situation and receive a tailored quote, request a quote from AL SAHRAA Businessmen Services LLC. We will review the issue, estimate potential liabilities and fees, and outline next steps to prepare and file a voluntary disclosure with the FTA.

Contact AL SAHRAA today to begin the voluntary disclosure process and get clear, practical advice for VAT and corporate tax compliance in the UAE.