Tax · Defined Term
UAE Corporate Tax defined.
Federal tax on business profits introduced 1 June 2023 by Federal Decree-Law No. 47 of 2022. The headline rate is 9%, applied above an AED 375,000 (USD 102,000) per-entity threshold.
Rates
- 0% on taxable profit up to AED 375,000 per year.
- 9% on taxable profit above AED 375,000.
- 0% QFZP for qualifying free-zone income (see QFZP).
- 15% DMTT for MNE groups with EUR 750m+ consolidated revenue (see DMTT).
Who pays
Every UAE entity is in scope — mainland LLCs, free zone companies, branches, partnerships. Natural persons with UAE business turnover above AED 1 million are also in scope. Out-of-scope: government entities, qualifying public benefit entities, certain investment funds, pure passive investment income.
Registration & filing
Registration is mandatory for every UAE entity, regardless of whether tax is payable. Returns are filed within 9 months of financial year-end. Government fee for registration was waived from January 2025.