Corporate Tax in the UAE

Corporate Tax in the UAE

The UAE Ministry of Finance has announced that Corporate Tax (CT) will be introduced in the UAE in 2023. CT Federal Decree-Law published on 9 December 2022 confirmed that CT will be effective for all financial years commencing on or after 1 June 2023. The rate of CT for businesses established in the mainland will be 0% for taxable profits up to AED 375,000 and 9% for taxable profits above AED 375,000. In due course there may also be an additional rate for certain large multi-national entities.

There will be exemptions from CT for certain types of entity, including some Free Zone businesses.

Links to official documents published can be found below:

Link to CT Law         Link to CT FAQs

BDO is releasing a series of articles covering the key features of the CT and will publish updates as the various parts of the CT legislation become available.  Links to our CT alerts, updates, and articles can be found below.

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