How to make Tax Payment to FTA through Emaratax?

In recent years, the UAE has implemented significant tax reforms to diversify its economy and align with global financial practices. The introduction of Value Added Tax (VAT) in 2018 and Corporate Tax in 2023 marks a transformative shift in the country’s financial landscape. As businesses and individuals adapt to these changes, understanding tax payment procedures is essential to maintain compliance and avoid penalties.

Since 2018, the UAE has introduced two key taxes:

Value Added Tax (VAT)

Corporate Tax

VAT has three distinct rates:

Out of Scope

Zero-Rated (0%)

Standard Rate (5%)

Corporate Tax is levied at 9% on the annual net profit of a business.

Making Tax Payments in the UAE Through EmaraTax

The EmaraTax portal provides businesses with several options to make tax payments to the Federal Tax Authority (FTA) online. Payments can be made using:

GIBAN (Generated IBAN)

Credit/Debit Card

Exchange Houses

It is essential for businesses and individuals to promptly settle their tax liabilities through the EmaraTax portal to ensure compliance with FTA regulations.

Modes of Tax Payment

All businesses in the UAE are required to file VAT and Corporate Tax returns. After submitting the returns, businesses must pay their tax liabilities. The three available payment methods are:

Tax Payment via GIBAN

Tax Payment via Credit/Debit Card

Tax Payment via Exchange Houses

Step-by-Step Guide to Making Tax Payments

Step 1: Log in to the EmaraTax Portal

Visit the official FTA portal.

Enter your email and password to log in.

Step 2: Access the Tax Dashboard

Once logged in, navigate to the tax dashboard.

Click on "View" to access your tax details.

Step 3: Review Tax Liability

Select the payment you wish to make.

Verify your tax liability and click "Continue."

Step 4: Choose a Payment Method

Select from the available payment options:

Credit/Debit Card: Enter your card details and complete the payment.

Bank Transfer via GIBAN: Transfer the payment to the provided GIBAN. Ensure the correct reference number is included.

To pay the amount due using GIBAN, follow the below steps:

1. Login to e-Services and obtain your GIBAN from the dashboard. You will have different

GIBANs for VAT and Excise Tax.

2. If using online banking to make the transfer of funds, log in to your bank account and add

FTA as a beneficiary using the GIBAN number and FTA details. Note that you can also use

the GIBAN with other banking channels too (for example visiting your local branch).

3. Go to the fund transfer/ domestic transfer section of your online banking portal (this name

may differ based on your bank account page).

4. Enter the amount you wish to pay and proceed with the payment.

5. GIBAN will be validated and the transaction will be processed accordingly.

6. Once you complete the payment, login to e-Services and go to ‘My Payments’ tab to check

that the transaction has been reflected under the ‘Transaction History’ box. Please note that

this can take up to 24 hours to be reflected on your account.

Step 5: Confirm the Payment

After the transaction, you will receive a payment confirmation or receipt.

Check the VAT Dashboard to verify that the payment is reflected (this may take up to 24 hours).

Late Payment Penalty

If tax payments are delayed, businesses will incur penalties:

2% of the principal tax amount is charged immediately upon missing the deadline.

Expanding to Oman

Xact Auditing is proud to announce its expansion into Oman. The new branch will deliver high-quality audit, accounting, VAT, corporate tax, and business formation services in Muscat and beyond.

Our focus remains on supporting businesses with expert financial services and ensuring compliance with regional laws and regulations in both the UAE and Oman.