11 July 2026 · CD 98/2024
What Cabinet Decision 98 of 2024 Changed
Cabinet Decision No. 98 of 2024 discontinued UAE Economic Substance Regulations for financial years starting on or after 1 January 2023. Licensees stop filing ESR notifications and reports for those periods, and any ESR administrative penalties imposed or paid for them are cancelled and refunded. The 2019–2022 ESR Period is not affected.
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The reporting framework was switched off
The decision removes the filing burden for newer periods.
- No ESR notification for FY 2023 onward.
- No economic-substance report for FY 2023 onward.
- The relevant-activity tests no longer trigger filings.
- The original Cabinet Decision 57 of 2020 stops applying to those years.
Penalties reversed
Fines tied to the discontinued periods are unwound.
- Penalties imposed for post-2022 periods are cancelled.
- Penalties already paid are refunded.
- Follow the FTA process to confirm your refund.
- Keep evidence of prior payments to reclaim them.
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Frequently Asked Questions
For businesses that filed or were penalised under ESR.
Did Cabinet Decision 98 of 2024 abolish ESR entirely?
It discontinued ESR for financial years from 1 January 2023. The 2019–2022 ESR Period still stands.
When did it take effect?
It was issued in 2024 and removes ESR obligations for financial years ending after 31 December 2022.
Will I get my ESR penalty back?
Penalties for post-2022 periods are cancelled, and amounts already paid are refunded through the FTA process.
Can Exiloz handle the refund follow-up?
Yes. We identify penalties eligible for cancellation and pursue the refund on your behalf.
Reclaim a cancelled ESR penalty
Exiloz checks whether your ESR penalty qualifies for cancellation and handles the refund.