Risk Level: High
The 'Silent' Holding Company Penalty
"Does a dormant holding company with zero profit still need to register for Corporate Tax?"
The Scenario
An investor maintains a 'sleeping' holding company in a Free Zone that only holds real estate assets and generates no active income. The investor assumes that since there is no 'Taxable Income,' there is no need to register.
Statutory Penalty
A 10,000 AED fine for late registration, followed by 10,000 AED for failure to file a 'Nil' tax return. Total exposure for a simple oversight: 20,000+ AED per entity.
Reference: FTA Public Clarification GRP01 & Cabinet Decision 75
The Arakan Forensic Fix
Arakan AI scans your entire corporate structure—including dormant shells—to generate a 'Registration Timeline.' It ensures every legal person, regardless of profit, has a valid TRN and a filed return.
- Real-time Monitoring
- Audit-Ready Logs
- Statutory Mapping