Rates & threshold
- 0% on taxable income up to AED 375,000.
- 9% on taxable income above AED 375,000.
- Special rules can apply to qualifying free zone persons and large multinational groups.
Small Business Relief (important dates)
Small Business Relief lets resident businesses with revenue of AED 3 million or less elect to be treated as having no taxable income — effectively 0% Corporate Tax. Crucially, this relief is available only for tax periods ending on or before 31 December 2026. After that, unless the government extends it, businesses should be ready to compute Corporate Tax normally. Free zone persons and members of multinational groups are not eligible.
What to prepare
- Accurate books and financial statements for each tax period
- Your revenue figure (to check the AED 3M relief threshold)
- Registration with the FTA and awareness of your filing deadline
- Records kept for the required retention period
Fatoora keeps your bookkeeping current all year and gives you a running Corporate Tax estimate, so there is no year-end scramble — and if Small Business Relief no longer applies, your numbers are already there.
This page is general information about UAE tax and compliance, not tax or legal advice. Rules and dates can change — always confirm with the Federal Tax Authority (FTA) or a registered tax agent for your situation.
Frequently asked questions
What is the UAE Corporate Tax rate?+
0% on taxable income up to AED 375,000, and 9% on taxable income above that. Different rules can apply to free zone persons and large multinationals.
What is Small Business Relief?+
Businesses with revenue of AED 3 million or less can elect to be treated as having no taxable income (effectively 0% Corporate Tax) — but only for tax periods ending on or before 31 December 2026, and subject to conditions. Free zone persons and multinational groups are excluded.
Do I need to register for Corporate Tax?+
Taxable persons generally must register with the FTA and file a return, even if relief applies. Check the FTA for your registration deadline.