UAE businesses are asked to update their FTA profiles as per Federal Tax Authority Decree-Law no.28 of (2022), on Tax proceedures. Under the law enforcement obligations UAE companies are being reminded of strict compliance rules issued by the authority regarding taxpayer information updates. It has become mandatory on all tax payable entities registered in the UAE for VAT or Corporate Tax to ensure details are accurate, transparent, complete and uptodate all time on the FTA e-service portal.
Additionally, the update requirement is not optional; it is mandatory under tax legislation and failure may result in breach of tax procedures. Failure in updating profile may lead to administrative penalties under the UAE Tax Procedures Law and Cabinet Decision No. (40) of 2017 (as amended).
This news article is a priority reminder to make you understand what information must be updated in how many days. Lets also explore what are administrative risks if you fail to do so.
What Does “FTA Profile Update” Mean?
Each business has to register itself and has a tax profile on the portal of the federal tax authority UAE. This profile may contain:
- Trade license details
- Ownership information
- Business activities
- Authorized signatories
- Contact details
If there is any change in business name, ownership gets transferred to any other person or location and contacts renew it a must to update on FTA profile.
Must Follow Legal Requirement 20 Business Day Rule
There are some clear legal requirements whenever there is a change in business profile details. Businesses are asked to report all changes and update them on their FTA profile within 20 business days of occurrence. The rule is based on Federal Decree-Law No.28 of 2022 Tax procedure law and applies to:
- VAT-registered companies
- Corporate tax registrants
- All taxable persons in UAE
What Information Must Be Updated?
Here you have details on what to update on your FTA profile in accordance with Tax record amendments:
Trade license changes: In case of any new activity regarding trade license including name change, renewal of licence, or any other. Businesses are obliged to update profiles.
Ownership or shareholder changes: If there is a transfer occurring in business ownership from one partner to any other or any increase or decrease happens in the number of share holders, profile updation is required.
Authorized signatory updates: As any changes happen in authorized signature of business , establishment card and VAT must be updated on FTA portal.
Address or contact details: Sometimes businesses shift their location and likewise address and contact numbers changes. In this case businesses are legally bound to update their profile in 20 business days.
Addition or removal of business activities: If any business adds on its services or products they offer or remove likewise. For example if a business deals in grocery items and starts dealing in medicines too, FTA profile must be updated.
Company restructuring or legal changes: Financial restructuring is something that helps with debt and capital. It manages these things so that the company can do better.
Operational changes are made to improve how things are done. If there is any change in these profiles need to be updated.
Why Keeping Your FTA Profile Updated is Important?
For easy and stress-free tax compliance in the United Arab Emirates, it is crucial to keep your company’s information up to date with the Federal Tax Authority (FTA). It helps your firm stay proper, legal, and totally aligned with the UAE tax requirements.
Legal Compliance Made Easy
When your business information is correct and up to date, you inherently comply with UAE tax regulations. This reduces the possibility of mistakes or compliance issues in your records.
Avoid Penalties
If your profile is not updated on time, the FTA may impose administrative penalties. Keeping your details correct helps you avoid these avoidable penalties.
Smooth and Accurate Tax Filing
Updated information ensures your VAT and corporate tax returns are filed correctly. It helps prevent errors, missing details, or delays during submission.
Easier Audit Handling
Having current data lets the process run much more easily if your organization is chosen for an audit. You can quickly provide correct information without confusion or missing data.
Strong Business Compliance Image
A properly maintained profile shows that your business is responsible and follows tax rules properly. This improves your credibility with authorities.
Step-by-Step: How to Update Your FTA Profile
Follow the simple steps to update your FTA profile:
| Step | Process Stage | Update Details |
|---|---|---|
| 01 | Access Portal | Log in securely to the official FTA e-Services platform using registered credentials. |
| 02 | Select Profile | Navigate to the relevant taxable person profile requiring updates. |
| 03 | Update Details | Amend all relevant changes including trade license, ownership, address, or authorized signatory information. |
| 04 | Attach Documentation | Upload supporting legal documents validating the updated information. |
| 05 | Submit Request | Review all changes carefully before submitting the update to the FTA. |
| 06 | Regulatory Review | Await FTA assessment and approval, if additional verification is required. |
What Happens If You Don’t Update Your Profile?
If you don’t update your profile with the Federal Tax Authority can lead to serious compliance problems for your business over time.
Expected Financial Penalties: If your information is outdated, wrong, or has not been changed within the specified time frame, you may be charged administrative fines.
Compliance Warnings from FTA: The FTA may issue warnings or notices to your business, showing that your profile needs urgent correction.
Problems in VAT and Tax Filing: Incorrect or out-of-date information can lead to VAT and corporation tax return problems, delays, and even rejection.
Difficulties During Audits:If your business is audited, missing or wrong information can create confusion and increase compliance checks.
Possible Disruption in Tax Services: Repeated non-compliance may lead to restrictions or delays in your tax-related services until your records are corrected.
Conclusion
In order to oversee corporate compliance throughout the United Arab Emirates, the Federal Tax Authority became more stringent and proactive in 2026. The FTA is frequently reviewing business records to ensure all information is accurate and up to date. More companies are now being selected for audits, and their financial and tax data is being checked in detail. In addition, companies with incomplete or out-of-date information are quickly identified and advised to update their information.
Businesses are now required to update their FTA profiles on a frequent basis in order to prevent fines and compliance problems due to tighter monitoring. So, MAK Chartered Accountants LLC provides services including compliance support including FTA profile updates, business setup, tax compliance, accounting, and audit services to ensure businesses remain fully aligned with UAE regulatory requirements.
Frequently Asked Questions
Can I update my FTA profile without a tax agent in UAE?
Yes, businesses can directly update their FTA profile through the e-Services portal without hiring a tax agent. However, complex cases like ownership changes may require professional support.
How long does it take for FTA to approve profile updates?
Approval time varies, but most updates are reviewed within a few working days depending on document accuracy and case complexity.
Do I need to update my FTA profile for minor changes like phone number or email?
Yes, even small changes in contact details must be updated to ensure proper communication with the Federal Tax Authority.
Is there any fee for updating FTA business information?
No, updating your FTA profile is generally free of charge, but penalties may apply if updates are not done on time.
Can FTA reject my profile update request?
Yes, FTA may reject updates if supporting documents are incomplete, incorrect, or inconsistent with trade license records.
