Understanding UAE Corporate Tax

The UAE introduced a federal Corporate Tax (CT) on business profits, fundamentally changing the financial landscape. With a standard statutory rate of 9% for taxable income exceeding AED 375,000, and a 0% rate for taxable income up to that threshold, the UAE maintains its position as a highly competitive business destination.

Who is Subject to Corporate Tax?

All businesses and individuals conducting business activities under a commercial license in the UAE. Free Zone businesses may benefit from a 0% rate on "Qualifying Income," but they must still register and file a return.

Key Deadlines and Compliance

1. Registration: All taxable persons must register with the Federal Tax Authority (FTA).

2. Filing: The CT return and payment must be submitted within 9 months from the end of the relevant tax period.

How Ledgerly Helps: Our platform automatically tracks your net profit against the AED 375,000 threshold, so you know exactly when you cross into the 9% bracket.