UAE Corporate Tax (CT) took effect on 1 June 2023 under Federal Decree-Law 47 of 2022. In 2026, every juridical person — mainland or free zone — must be registered, keep audit-ready books and file within 9 months of their financial year-end. This master guide covers scope, rates, reliefs, deadlines and penalties in one place.
Who is a taxable person?
- Mainland LLCs, PJSCs, sole establishments
- Free zone entities (including QFZP candidates)
- Foreign branches with a UAE PE
- Natural persons with business turnover > AED 1M/year
Corporate Tax rates in 2026
- 0% on taxable income up to AED 375,000
- 9% on taxable income above AED 375,000
- 0% on qualifying income for QFZPs (subject to substance and de minimis tests)
- 15% Domestic Minimum Top-up Tax (DMTT) for MNEs >€750M from FY starting 1 Jan 2025
Key reliefs and elections
- Small Business Relief (SBR) — revenue ≤ AED 3M
- Tax Group election for wholly-owned UAE parent-subsidiary chains
- Transfer of assets/liabilities within a Qualifying Group
- Business Restructuring Relief
Deadlines and penalties
Registration is based on trade-licence month (missing it = AED 10,000). Returns are due 9 months after year-end. Late filing = AED 500/month for first 12 months, AED 1,000/month thereafter.
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Frequently asked questions
Quick answers to common UAE corporate tax questions.
This article is for general guidance only and reflects FTA rules as of March 2026. Always confirm your specific position with a qualified UAE tax advisor.