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Who must register
All UAE companies and other juridical persons, including free zone companies, must register with the FTA for corporate tax — even if they expect to pay nothing. Individuals running a business register when their business turnover exceeds AED 1m in a calendar year. Non-residents with a permanent establishment or UAE nexus also register.
How much tax
Taxable income up to AED 375,000 is taxed at 0% and the rest at 9%. Qualifying free zone persons may pay 0% on qualifying income if they meet the conditions, including substance and audited accounts.
- Example: taxable income AED 1,000,000 → (1,000,000 − 375,000) × 9% = AED 56,250
Small Business Relief
Resident persons with revenue of AED 3m or less in the period and in every previous period can elect to be treated as having no taxable income, for tax periods ending on or before 31 December 2026. Members of large multinational groups and qualifying free zone persons cannot use it. You still register and file.
Your first return
The return and payment are due within 9 months of the end of your tax period — 30 September 2027 for a calendar year 2026. Start from your financial statements, then make the adjustments the law requires (for example non-deductible expenses and exempt income).
Frequently asked questions
Is my first tax period the same as my financial year?
Generally yes — your tax period follows your financial year, starting with the first financial year beginning on or after 1 June 2023.
Do I need audited accounts?
Yes if revenue exceeds AED 50m or you are a qualifying free zone person.
Can I estimate my tax?
Use our free UAE corporate tax estimator for a first figure.
Sources: Federal Tax Authority; Federal Decree-Law No. 47 of 2022; Cabinet Decision No. 116 of 2023; Ministerial Decisions No. 73 and 82 of 2023.
General information as at the date above, not advice. Rules change — confirm your position with a qualified accountant.