UAE Federal Tax Authority Launches Mechanism to Appeal Against Tax Assessments

December 26, 2023by Ajay Denny0

Learn how to make a Tax Assessment Review Request and Tax Assessment Reconsideration Request​ in the ​​UAE.

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Background of Federal Tax Authority

As communicated in the Federal Decree-Law No. 28 of 2022 and Cabinet Decision No. (74) of 2023 On the executive Regulation of Federal Decree-Law No. (28) of 2022 on Tax Procedures, the Federal Tax Authority (FTA) has launched a grievance redressal mechanism for appealing against a Tax Assessment decision already issued by the FTA. The new feature enables applicants to either submit an appeal against the FTA to review a Tax Assessment or part thereof and any related Administrative Penalties; or request for a reconsideration of the Tax Assessment already made.

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Tax Assessment Review Request

The Tax Assessment Review Request must specify the reasons for the review submission and must be presented within 40 business days from the date the person is notified of such assessment by the Authority.

The FTA may take up to 45 business days to respond to the applicant from the date it receives the applicant’s Tax Assessment Review application. Applicants can submit the review request to Assessmentreview@tax.gov.ae.

Documents required to submit a review request include:

  • Documentary proof to support the factual and legal grounds on which the request is based
  • Tax Assessment Notification
  • Administrative Penalty Assessment Notification
  • Audit Results Notification

The Tax Assessment review request is available under the condition that the taxpayer has not already submitted a request for ‘Reconsideration of Tax Assessment’.

Tax Assessment Reconsideration Request

The taxpayer may request for Reconsideration of a Tax Assessment or part thereof (including penalty waiver request) within forty (40) business days from the date of receipt of such notification. The FTA shall review the reconsideration request and issue a decision along with the reasons within 45 days from the date of receipt of the reconsideration request.

The taxpayer is prohibited from submitting a reconsideration request if:

  • A decision is awaited from the Authority on a ‘Tax Review Request’ previously submitted
  • Before the expiry of the period during which the Authority must issue a decision on the request and inform the applicant of it.

The taxpayer is also prohibited from resubmitting a Tax Assessment Review Request if they had already made such a request previously for the same Assessment. The Tax Assessment Reconsideration request can be filed using the Emara Tax e-service platform.

Who can submit the reconsideration request?

Apart from the person seeking the reconsideration, the following persons are also empowered submit the reconsideration application to the FTA:

  • Appointed Tax Agent*
  • Appointed Legal Representative
  • Representative Member Entity (in case of Tax Group)

*Tax Advisors (who are not registered Tax Agents) are not permitted to submit any reconsideration request on behalf of another person.

What communications are not subject to reconsideration?

Any responses to inquiries, complaints, or clarifications are not considered as decisions and hence are not subject to reconsideration requests.

Whom should I approach for submitting a dispute against a reconsideration committee decision?

Disputes in the Committee’s decision can be raised in the Tax Dispute Resolution Committee (TDRC) in the Department of Justice.

Extension of Deadlines

The FTA may extend the deadline for deciding on a Tax assessment review request and a request for reconsideration in the cases deemed appropriate by the authority.

The authority may also extend the deadline for accepting the submission of a Tax Objection upon request from the persons concerned (subject to fulfillment of the formalities) if there is a reason beyond their control, such as sudden accidents, emergency circumstances, or force majeure that prevented them from submitting the tax objection within the specified deadline.

The extension request must also include the justification for extensions and reasons related to the review, reconsideration, or objection to the Tax assessment.

About ATB Legal

ATB Legal is a full-service legal consultancy in the UAE providing services in dispute resolution (DIFC Courts, ADGM Courts, mainland litigation management and Arbitrations), corporate and commercial matters, IP, business set up and UAE taxation. We also have a personal law department providing advice on marriage, divorce and wills & estate planning for expats. Please feel free to reach out to us at office@atblegal.com for a non-obligatory initial consultation.

by Ajay Denny

Ajay is a young ACCA Affiliate who is eager to take on challenging opportunities, pushing the status quo, thus helping make a positive impact on the Accounting Profession and the global community at large.

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