Who is eligible for exemption from UAE Corporate Tax ?
Certain entities are automatically exempt from UAE Corporate Tax, including:
- The UAE Federal and Emirate Governments, along with their departments, authorities, and other public institutions.
- Companies fully owned and controlled by a Government Entity that engage in a Mandated Activity, as listed in a Cabinet Decision.
- Businesses involved in extracting UAE Natural Resources or related non-extractive activities subject to Emirate-level taxation, provided they meet specific conditions.
- Qualifying Public Benefit Entities listed in Cabinet Decision No. 37 of 2023 or subsequent relevant decisions.
Entities may also apply for exemption from UAE Corporate Tax with approval from the Federal Tax Authority if they fall into the following categories:
- Qualifying Investment Funds meeting prescribed conditions.
- Public or private pension or social security funds meeting conditions specified in Ministerial Decision No. 115 of 2023.
- UAE juridical persons wholly-owned and controlled by specific exempted entities, engaging in activities outlined in paragraph (h) of Clause 1 of Article 4 of the Corporate Tax Law.
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