he UAE has introduced corporate tax to diversify its economy. Foreign investors operating onshore must now comply with this regulation. This applies to both new and existing business entities registered in the country.
Who Must Register for Corporate Tax in UAE?
Foreign investors owning a mainland or free zone company must register. Even if your company earns no profit, registration is mandatory. Free zone businesses with qualifying income may benefit from a 0% tax rate.
Corporate Tax Rates Applicable to Foreign Investors
The standard corporate tax rate in the UAE is 9%. However, taxable income below AED 375,000 is exempt. Businesses with qualifying income in free zones may continue enjoying tax-free status if they meet the conditions.
Timeline for Corporate Tax Registration
The UAE has set specific registration deadlines based on the type and incorporation date of your entity. Failing to register on time may result in hefty penalties. It is critical to act early and avoid non-compliance.
Overview
- Service Type: Travel & Tourism
