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Federal Decree-Law No. 47 / EmaraTax / FTA UAE Tax Rules

UAE 9% Corporate Tax & AED 375,000 Threshold Guide (2026)

Complete guide to Federal Corporate Income Tax, 0% threshold allowances, Small Business Relief (AED 3M limit), and Qualifying Free Zone Person (QFZP) compliance.

UAE Corporate Tax Brackets (2026)

Taxable Income BracketCorporate Tax RateApplicability
Up to AED 375,0000% TaxApplies to all UAE resident businesses and individuals.
Exceeding AED 375,0009% TaxStandard corporate tax rate on taxable income above threshold.

Frequently Asked Questions (FAQs)

Under Federal Decree-Law No. 47 of 2022, taxable business income up to AED 375,000 is taxed at 0%, while taxable income exceeding AED 375,000 is taxed at a flat rate of 9%.

Yes. All UAE mainland companies, Free Zone entities, and foreign branch offices must register for Corporate Tax with the Federal Tax Authority (FTA) and obtain a Tax Registration Number (TRN), even if eligible for 0% tax.

Small Business Relief allows eligible UAE resident businesses with gross revenue not exceeding AED 3,000,000 in a tax period to elect to be treated as having no taxable income, paying 0% corporate tax.

Free Zone entities that qualify as a 'Qualifying Free Zone Person' (QFZP) can enjoy 0% corporate tax on Qualifying Income (such as wholesale distribution, fund management, and headquarter services).
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