What are the UAE Corporate Tax rates?

The applicable Corporate Tax rates in the UAE are as follows:

For natural persons and legal entities

  • A 0% rate applies to Taxable Income up to and including AED 375,000, and
  • A 9% rate applies to Taxable Income exceeding AED 375,000.

Qualifying Free Zone Persons

  • They are subject to a 0% rate on Qualifying Income and
  • A 9% rate on Taxable Income that does not qualify as Qualifying Income (Non-Qualifying Income).

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Are Free Zone companies in UAE liable to Corporate Tax ?

Free Zone has distinct taxation system based on Qualifying Income and Excluded Income. It is therefore essential to know the kind of income taxable under UAE Corporate Tax Law for Free Zone companies.

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