A standard statutory tax rate of 9 percent will apply to profit generated by businesses in UAE.
Foreign taxes paid will be credited against any payable UAE corporate tax meaning there will be no double taxation.
To support small and medium size enterprises there will be a zero-tax rate for taxable profits up to 375,000 AED.

“As a leading jurisdiction for innovation and investment, the UAE plays a pivotal role in helping businesses grow, locally and globally. The certainty of a competitive and best in class corporate tax regime, together with the UAE’s extensive double tax treaty network, will cement the UAE’s position as a world-leading hub for business and investment”, said Younis Haji Al Khoori, Undersecretary of the Ministry of Finance.

He added: “The regime will pave the way for the UAE to address the challenges arising from the digitalisation of the global economy and the other remaining BEPS [Base Erosion and Profit Shifting] concerns, and execute its support for the introduction of a global minimum tax rate by applying a different corporate tax rate to large multinationals that meet specific criteria set with reference to the above initiative.”
According to information available on the MoF website, there will be no tax on personal incomes “from employment, real estate and other investments, or on any other income earned by individuals that does not arise from a business or other form of commercial activity licensed or otherwise permitted to be undertaken in the UAE“.

Businesses involved in oil and gas production will be exempt due to the fact they are already subject to tax at an Emirate level.
Withholding taxes on domestic and cross border payments will not be imposed. Foreign investors who do not carry-on business in the UAE will not be subject to corporate tax.
UAE businesses will be exempt from paying tax on capital gains and dividends received from its qualifying shareholdings.
There will be “generous loss utilisation rules” and “UAE groups can be taxed as a single entity or can apply group relief in respect of losses and intragroup transactions and restructurings “.