Introduction of new taxes in the UAE

9% corporate tax on business profits

9% corporate tax on business profits will be introduced from June 1, 2023. This was announced by the UAE Ministry of Finance. The tax will be introduced for business profits on financial years starting on or after June 1, 2023. Tax does not apply:

• For companies with profits of up to $102,000 (AED 375,000)
• For companies trading in free zones and not conducting business in onshore UAE
• On personal income from employment or investments
• On capital gains and dividends received from its qualifying shareholdings

Businesses will only need to file 1 corporate tax return each financial year and will not be required to:

• Make advance tax payments
• Prepare provisional tax returns

Source: Gulf News