UAE Corporate Tax

Country UAE Tax Corporate Tax Question – Is there any relief from Double Taxation in UAE? Answer – Foreign tax incurred by UAE businesses on income earned outside the UAE will be allowed to be credited against the tax payable under proposed Corporate Tax law. Related Questions – What is UAE Corporate Tax Who are … Read more

Country UAE Tax Corporate Tax Question – What is the treatment of tax losses in UAE? Asnwer – The entities, which are subject to Corporate Tax and have accumulated taxable losses incurred after Corporate Tax effective date, would be allowed to offset taxable profits in the future financial periods. Related Questions – What is UAE … Read more

Country UAE Tax Corporate Tax Question – Whether employment and other income earned by individuals are liable to tax in UAE ? Answer – Individuals who carry out business activities and earn income under a commercial license will be liable to pay CT. However,  following  income will not be subjected to tax under the proposed … Read more

Country UAE Tax Corporate Tax Question – Whether capital gains and dividends are taxed in UAE ? Answer – Under the proposed law, Capital gains and dividends on shares and securities earned by non-residents would generally not liable to corporate taxes in Dubai. Related Questions – What is UAE Corporate Tax Who are covered under … Read more

Country UAE Tax Corporate Tax Question – What are the corporate tax benefits that would be available for start-up or small companies in UAE? Answer – The start-up or small companies which are not covered under ‘Pillar Two’ of the OECD Base Erosion and Profit Shifting project, are not liable to pay CT up to … Read more

Country UAE Emirate Dubai Tax Corporate Tax Question – What are the corporate tax rates in Dubai? Answer – The proposed Corporate Tax will apply on all the businesses and commercial activities (whether carried on by companies or individuals) at the rate of 0% for taxable income up to AED 375,000 and 9% for taxable … Read more

Country UAE Tax Corporate Tax Question – What is the meaning of the financial year starting on or after 01.06.2023 in UAE? Answer – The business entities in the UAE currently have an option to follow either financial year, calendar year, or any other 12 month period as a Financial Year for accounting purposes. The … Read more

Country UAE Tax Corporate Tax Question – What would be the business profits/tax base in the UAE on which Corporate Tax would be applicable  ? Answer – The business profits will be accounting net profit reported in financial statements of a business with adjustments for certain items (to be specified under CT law) prepared in … Read more

Country UAE Tax Corporate Tax Question – From when would the UAE corporate tax be applicable? Answer – The federal corporate tax on business profits introduced by UAE Ministry of Finance will be applicable for the financial years starting on or after 01 June 2023. The first day of the FY which starts on or … Read more