FTA Penalty Waiver Application Process UAE
Received an administrative penalty from the UAE Federal Tax Authority (FTA)? You may be able to request a penalty waiver, depending on your case and the conditions under Cabinet Decision No. 105 of 2021. The request is submitted through EmaraTax. The FTA service is free, and the application itself takes about 10 minutes to submit. The FTA may take up to 110 business days to review a completed waiver request.
FREE
FTA Service Fee
~10 Mins
Submission Time
Up to 110 Days
FTA Processing Time
EmaraTax
Submission Portal
1
How to Apply for an FTA Penalty Waiver
1
Log in to EmaraTax
Open your EmaraTax account and go to your dashboard. Make sure your tax registration details and contact information are correct before starting the request.
2
Select “Penalty Waiver”
From the available requests, select the option for Penalty Waiver. Do not choose a reconsideration request simply because you disagree with the penalty. A penalty waiver follows separate controls and conditions.
3
Complete the Application
Enter the requested information about:
- The tax penalty & tax period
- The violation details
- The reason for requesting the waiver
- Corrective action already taken
Keep the explanation clear, factual and supported by evidence.
4
Upload Supporting Documents
Attach the documents that support your request. Depending on the case, these may include:
- Tax returns & payment records
- FTA correspondence & accounting records
- Registration documents
- Evidence that the violation was corrected
- Other documents requested by the FTA
The FTA specifically requires supporting information and may ask for additional documents during the review.
5
Submit the Request
Check every field and attachment before submitting. Save the application reference and monitor the request through EmaraTax.
2
What Makes a Penalty Waiver Request Strong?
A waiver request should not simply say, “Please remove my fine.”
Structure your request using this 4-part framework:
1. What happened
State the violation clearly.
2. Why it happened
Provide honest root causes.
3. Remedial Action
Show how you fixed it.
4. Prevention
Steps taken to prevent recurrence.
For example, if the penalty resulted from a filing problem, show that the filing has now been corrected and that the business has introduced a process to avoid the same mistake. The FTA’s penalty waiver rules are governed by Cabinet Decision No. 105 of 2021, so approval is not automatic.
Special Corporate Tax Late Registration Waiver
There is a separate FTA initiative for certain AED 10,000 Corporate Tax late-registration penalties.
Eligible businesses can benefit from the waiver when they submit their first Corporate Tax Return within 7 months from the end of their first Tax Period. Certain exempt persons required to register must submit their annual declaration within the same seven-month period.
This specific initiative can apply to businesses that:
- Registered late or have not yet registered
- Received the penalty but have not paid it
- Already paid the penalty
Where the conditions are met, a paid penalty can be credited back to the taxpayer’s EmaraTax account. Read our guide on Corporate Tax Registration in the UAE to understand registration deadlines and penalties.
3
Penalty Waiver vs Reconsideration
These are not the same process
Penalty Waiver
You ask the FTA to waive an administrative penalty under the applicable waiver rules (Cabinet Decision No. 105 of 2021).
Reconsideration:
You ask the FTA to reconsider an FTA decision.
For example, if the penalty resulted from a filing problem, show that the filing has now been corrected and that the business has introduced a process to avoid the same mistake. The FTA’s penalty waiver rules are governed by Cabinet Decision No. 105 of 2021, so approval is not automatic.
4
Before You Submit the Waiver
Use this quick interactive checklist:
Penalty details are correct
Reason for waiver is clearly explained
Supporting documents attached
Violation has been corrected
Tax returns are up to date
Application submitted through EmaraTax
For record-related problems, also review our Corporate Tax Audit Checklist UAE and UAE FTA Tax Audit Red Flags.
Final Summary
The FTA penalty waiver application process is completed through EmaraTax. Submit the waiver request, explain the reason clearly, attach supporting documents and show that the violation has been corrected. The service is free, and the FTA may take up to 110 business days to respond.
For Corporate Tax late-registration penalties, check the separate FTA waiver initiative because eligible taxpayers may qualify through the seven-month first-return condition without making a separate waiver request.
