UAE Corporate Tax, VAT & QFZP — 9% Tax, Expert Guidance From AED 1,500.

UAE corporate tax is 9% on annual taxable profits above AED 375,000, effective June 2023. Profits up to AED 375,000 are taxed at 0% under small business relief. Qualifying Free Zone Persons (QFZPs) can claim 0% on qualifying income if they meet substance requirements. Large multinational groups with consolidated global revenue above AED 3.15bn are subject to a 15% minimum top‑up tax under OECD Pillar Two rules.

To qualify as a QFZP and benefit from 0% corporate tax on qualifying income, your free zone company must: (1) maintain adequate substance in a UAE free zone, (2) derive qualifying income per FTA Ministerial Decision 265, (3) prepare annual audited financial statements under IFRS, and (4) comply with transfer pricing rules. Non‑qualifying income is taxed at the full 9% rate. YABS conducts QFZP assessments as part of every tax consultation.

UAE corporate tax returns are due within 9 months of the end of your financial year. For companies with a December year‑end, that means the return is due by 30 September of the following year. Your first UAE corporate tax return covers the first financial year beginning on or after 1 June 2023. YABS files returns through the FTA EmaraTax portal and handles all correspondence on your behalf.

Small business relief allows UAE resident businesses with revenue up to AED 3 million per tax period to elect to be treated as having no taxable income, effectively paying 0% corporate tax. The relief is available until 31 December 2026 (current law). You must still file an annual return and elect the relief; YABS handles the filing as part of our corporate tax retainer.

Yes. YABS is a registered FTA tax agent and can represent you in FTA audits, assessments, and tax disputes. We handle correspondence, prepare substantiating documents, and argue your position in assessment hearings. For escalated disputes, we can also refer you to our legal partners for Tax Disputes Resolution Committee (TDRC) representation.