Corporate Tax UAE

Due to its status as one of the largest business hubs in the Middle East, the UAE offers significant tax benefits to investors. Several unique tax benefits are offered to companies set up in UAE-free zones as a way to provide additional support to their operations.

Our uae corporate tax is a kind of direct tax imposed on the gross revenue generated by corporations and other legal entities. In a recent announcement, the Ministry of Finance of the United Arab Emirates announced its intention to introduce a federal corporation tax (CT) on January 31, 2022. CT is expected to be effective for companies’ financial periods beginning on or after June 1, 2023.

corporate tax uae will significantly alter most UAE firms’ compliance and tax requirements. You can count on ExpressPRO’s dedicated tax team to provide you with all the support and answers you need regarding corporate tax.

UAE Corporate Tax Application

All business and commercial activities will be subject to UAE Corporate Tax, with the exception of extraction of natural resources, for which Emirate-level taxation will continue to apply.

However, there are some other exceptions:

In the coming months, corporate tax will affect the Emirate’s banking tax decree will be revealed. As a result, the corporate tax will affect not only overseas branches of banks but also domestic banks.

It is also important to note that the UAE’s corporate tax legislation will now apply to the international banking sector, which was previously subject to an emirate-level bank tax law.

UAE Corporate Tax Application

The proposed corporate tax rate is as follows:

In the coming months, corporate tax will affect the Emirate’s banking tax decree will be revealed. As a result, the corporate tax will affect not only overseas branches of banks but also domestic banks.

It is also important to note that the UAE’s corporate tax legislation will now apply to the international banking sector, which was previously subject to an emirate-level bank tax law.

What is the Purpose of Imposing Federal Corporate Tax in the UAE?

Effective Date of UAE Corporate Tax
How can ExpressPRO help?

The early preparation of corporate tax compliance is critical for avoiding higher implementation costs and reducing pressure on internal teams to complete these preparations by the deadline.

Whether you are looking for assistance with assessing the challenges and opportunities that introducing a Corporate Tax will bring, the team of experts at ExpressPRO can help.

1. Advisory services:
2. Compliance Services:
3. Providing representation services:

A corporate tax is a direct tax imposed on the profit or net income of a company in the UAE

As of the first of June in 2023, the United Arab Emirates will implement a corporate tax. Within the allotted time frame, a corporation must register with the FTA and get a Tax Registration Number to begin paying Corporate Tax. According to the UAE Corporate Tax Public Consultation Document, all businesses, including free zone companies, must submit an annual tax return.

UAE corporate tax is applied as follows:

Having an experienced financial expert at your side is vital to avoid errors or non-compliance, which could lead to fines and penalties. If you are seeking reliable support, contact the corporate tax professionals at ExpressCFO. Our team possesses long-standing experience and expertise to guide you through a hassle-free tax registration.

Book a free consultation

For more information and to speak to our business setup experts, please fill out the form below. We will get in touch with you shortly.

Contact Form