United Arab Emirates
Western Asia • UTC+4 • Asia/DubaiUAE Corporate Tax & VAT
The UAE imposes a corporate tax on business profits and a VAT on goods and services. There is no personal income tax, making it attractive for expatriates.
Income Tax
0%
No personal income tax
Corporate Tax
9%
Standard corporate tax rate
VAT / GST
5%
Standard VAT rate
Nomad Visa
Available
Remote Work Visa
Tax System Overview
The UAE tax system is characterized by no personal income tax, a competitive corporate tax rate, and a standard VAT rate. This makes it an attractive destination for businesses and expatriates.
System Type
Zero personal income tax
Resident Taxation
Residents are not taxed on personal income.
Non-Resident Taxation
Non-residents are not taxed on personal income.
Tax Year
January 1 – December 31
Income Tax Bands
No personal income tax. UAE does not levy tax on personal income.
Tax Treaty
Double Taxation Agreements help avoid double taxation on income earned in foreign countries.
United Kingdom
Treaty ActiveThe UAE and UK have a double taxation treaty that prevents individuals and businesses from being taxed twice on the same income.
Key Benefits
Prevents double taxation on income earned in both countries.- Reduced withholding tax on dividends, interest, and royalties.
Totalization Agreement
These agreements coordinate social security systems, ensuring workers pay into only one system at a time.
India
Agreement ActiveThe UAE and India have a social security totalization agreement that prevents workers from paying social security in both countries simultaneously.
Coverage Areas
Facts
- Prevents double taxation of social security contributions for UAE–India workers.
- Allows workers who split careers between the two countries to combine contribution periods.
Other Countries with Agreements
Business & Freelancing
Corporate Tax Rate
9% on business profits
VAT Registration
Mandatory if annual turnover exceeds AED 375,000.
Freelancer Rules
Freelancers can operate under a freelance permit, subject to VAT if turnover exceeds threshold.
Crypto Policy
Cryptocurrency transactions are not specifically regulated but may be subject to VAT.
Frequently Asked Questions
Digital Nomad & Benefits
Visa Details
Tax Perks
- No personal income tax for residents
- Competitive corporate tax rate at 9%
Filing Roadmap
Register Your Business
Ensure your business is registered with the relevant UAE authority and obtain a trade license.
Register for VAT
If your business turnover exceeds AED 375,000, register for VAT with the Federal Tax Authority.
Maintain Financial Records
Keep accurate financial records and accounts to comply with UAE tax regulations.
File VAT Returns
Submit VAT returns quarterly through the Federal Tax Authority's online portal.