Risk Level: Critical
The SBR Election Oversight
"Is Small Business Relief automatic, or did you just accidentally agree to pay 9% tax?"
The Scenario
A freelancer earning 1.2 million AED assumes they are tax-exempt under the Small Business Relief (SBR) threshold. They file their return but forget to check the 'Elect for SBR' box on the EmaraTax portal.
Statutory Penalty
The FTA treats the income as standard taxable profit. Loss of 0% status on profit above 375,000 AED. Estimated unnecessary tax hit: 74,250 AED.
Reference: Article 21 (Small Business Relief)
The Arakan Forensic Fix
Arakan AI analyzes your revenue and automatically prompts the 'SBR Election' toggle during the filing workflow, preventing expensive clerical omissions.
- Real-time Monitoring
- Audit-Ready Logs
- Statutory Mapping