United Arab Emirates Tax System At a Glance

Corporate tax

Tax rate for resident companies

There is no levy in United Arab Emirates either on the individuals incomes or on the profits of companies. The only tax applicable to all the companies is the right taken by the municipality in every Emirate during the liberation or the renewal of a commercial license.
This rate amounts to 10% of the annual amount of the offices and stores rent as well as 5% of the annual amount paid by the company to accommodate its employees.

Tax rate on long-term capital gains

No.

System governing groups of companies and dividends paid by subsidiaries to their parent companies

No.

Tax rate on branches

No.

Income tax

Income tax rate

Individuals are not taxed in the United Arab Emirates.


VAT rates

Standard rates

The government is considering introducing VAT at 5-7%.

Other important taxes

Name of tax

Rate

Tax on oil productions
(Dubai)

55% + royalties

Levy of banks (Abu Dhabi, Dubai, Sharjah).

20%

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