- Some layers are universal. Licence renewal, the corporate tax return, and UBO upkeep apply to almost every company.
- Some depend on turnover. VAT begins above AED 375,000; bookkeeping scales with the business.
- Each runs on its own clock. Each layer renews on its own cycle, so the yearly total is the sum of those that apply to you.
Beyond the formation fee
A formation fee tells you what it costs to start a company, while the cost of maintaining a company in Dubai runs on a different timeline. Founders who get caught out budgeted the figure they were shown, and renewal and filings then arrived the next year as surprises.
Annual compliance cost of a UAE company
None of these sit on the formation invoice, so it is worth settling which ones apply to you before you build.
Licence renewal
The trade licence renews every year, with any office or flexi-desk tied to it. It is the layer most often mistaken for a one-off.
Universal layer
Corporate tax filing
An annual return with the Federal Tax Authority is due even where no tax is owed, including under Small Business Relief. A missed registration carries a fixed AED 10,000 penalty.
Universal layer
VAT, where it applies
Once taxable turnover crosses AED 375,000, VAT returns and compliant invoicing become a continuing obligation. This layer starts as the business grows.
Turnover-led · your turnover decides
Bookkeeping and UBO upkeep
Books kept to FTA standard keep every filing accurate, and beneficial owner records must stay current as ownership changes. Both grow with the company.
Scales with the business
Budgeting only for year one
Budgeting only for year one catches founders out every year after it, because the same obligations come back. Met unplanned, they turn a routine year into a clean-up, with late registration penalties on top.
Which layers apply depends on your corporate tax and VAT position and your bookkeeping needs, so we work that out against your real plan and put it in writing.
We map the cost of keeping the company before you commit
We work out which layers apply, hold the renewal, filing, VAT and UBO deadlines for you, and register you for corporate tax on time so the penalty never arises.
