UAE corporate tax group eligibility checker
UAE resident companies can form a tax group, filing one corporate tax return, if a parent holds at least 95% of each member's shares, voting rights and profits, all members share the same financial year and accounting standards, and none is an exempt person or Qualifying Free Zone Person.
Reviewed by Countify's ACCA/FCCA chartered certified accountants · Updated
- Can form a tax group
- Yes
- Conditions not met
- 0
You can apply to the FTA to be treated as a single taxable person, filing one return with consolidated figures and setting losses against profits across the group.
Results are estimates for general information, not tailored advice.
Tax group eligibility
Common situations.
| Situation | Can form a tax group | Conditions not met |
|---|---|---|
| 100% owned UAE subsidiaries | Yes | 0 |
| 90% owned subsidiary | No | 3 |
| One member is a QFZP | No | 1 |
Groups owned 50%–95% cannot form a tax group but can still transfer losses between members under separate rules (75% common ownership).
Pros and cons of a tax group
A tax group is treated as a single taxable person. Intra-group transactions are eliminated, losses offset profits automatically, and there is one return. The trade-off: all members are jointly liable for the group's tax, the AED 375,000 0% band applies once (not per company), and joining or leaving has its own rules.
Applying
The parent applies on EmaraTax, normally before the end of the tax period from which the group should apply. Our corporate tax team models the group and stand-alone positions before you decide.
Legal basis
We review this calculator whenever the FTA or Ministry of Finance issues a new decision or clarification.
Frequently asked questions
What ownership is needed for a UAE tax group?
At least 95% of share capital, voting rights and entitlement to profits and net assets, directly or indirectly.
Can a free zone company join a tax group?
Yes, unless it is a Qualifying Free Zone Person.
Corporate tax registration and returns
We register you, prepare the tax computation and file your corporate tax return, with Small Business Relief, QFZP and loss elections handled correctly.