The UAE introduced a federal corporate income tax of 9% on taxable business profits exceeding AED 375,000, effective for financial years starting on or after 1 June 2023. Free-zone entities meeting "Qualifying Free Zone Person" criteria can retain 0% on qualifying income. Personal income tax remains zero. A material structural change for the cost calculus of UAE-based founders and consultants.
Mainland and free-zone businesses; founders, freelancers operating through UAE entities.
Primary: UAE Ministry of Finance ↗
Corroborating: UAE Government Portal ↗
Verified 2026-04-19 · methodology · report a correction