Corporate Income Tax in UAE: Expert Tax Advisory & Compliance Services in Dubai
Trusted Corporate Tax Consultants Helping UAE Businesses Navigate Federal Tax Requirements
Managing corporate taxation obligations in the United Arab Emirates requires specialized expertise. HAL Consulting delivers comprehensive tax advisory services designed for businesses operating across Dubai, Abu Dhabi, Sharjah, and UAE free zones seeking compliance with Federal Tax Authority regulations.
Our corporate tax specialists understand how UAE’s evolving fiscal framework impacts business operations. From initial tax registration through ongoing compliance management, we provide strategic guidance that aligns regulatory requirements with your financial objectives.
Understanding UAE’s Corporate Taxation Framework
How Corporate Tax Works in the Emirates
The UAE introduced federal business taxation on June 1, 2023, establishing a structured approach to taxing corporate profits. This legislative framework requires businesses to understand:
Standard Tax Rate: 9% applied to taxable profits exceeding AED 375,000
Small Business Relief: 0% taxation on profits up to AED 375,000
Free Zone Provisions: Qualifying entities may benefit from preferential rates
Multinational Standards: 15% minimum taxation under global agreements
Which Business Entities Must Comply
Federal tax obligations apply across multiple business structures:
- Companies incorporated in mainland Emirates
- Businesses established within free zone jurisdictions
- Foreign entities maintaining permanent establishments
- Individuals conducting licensed commercial activities
Exempted Categories: Government authorities, extractive industries under Emirate-level taxation, qualifying investment vehicles, public benefit organizations meeting specific criteria.
Comprehensive Tax Advisory Services for UAE Businesses
Federal Tax Authority Registration & Ongoing Compliance
Registration Process Management: Complete assistance securing your tax registration number
Residency Documentation: Obtain certificates verifying UAE tax residency status
Periodic Filing Services: Preparation and submission of required tax returns
Deadline Management: Proactive monitoring ensuring timely compliance
Authority Liaison: Communication with Federal Tax Authority on your behalf
Strategic Tax Planning & Financial Optimization
Liability Minimization: Legal strategies reducing your effective tax burden
Income Allocation: Optimal distribution across business divisions
Free Zone Benefits: Maximizing preferential treatment for qualifying activities
Group Company Relief: Utilizing loss offset provisions between related entities
Expense Optimization: Identifying all legitimate business deductions
Pricing Documentation: Arm’s length transfer pricing for related party transactions
Business Restructuring & Transaction Advisory
Acquisition Due Diligence: Comprehensive tax assessment before mergers or purchases
Corporate Reorganization: Tax-efficient restructuring of business operations
Entity Structure Selection: Choosing optimal business formation options
Succession Planning: Tax-considerate ownership transition strategies
Divestiture Guidance: Managing tax implications of business sales
Cross-Border Taxation & International Compliance
Treaty Utilization: Leveraging UAE’s extensive double taxation agreement network
Permanent Establishment Analysis: Avoiding unintended tax presence creation
Withholding Obligations: Managing tax on cross-border payments
BEPS Alignment: Implementing OECD base erosion and profit shifting standards
Multinational Coordination: Pillar Two compliance for large enterprise groups
Foreign Subsidiary Rules: Controlled foreign company compliance
Multi-Tax Coordination Services
VAT Integration: Coordinating value-added tax with income taxation
Excise Compliance: Managing duties alongside profit taxation
Customs Coordination: Aligning import duties with tax planning
Consolidated Reporting: Unified approach across all tax obligations
Corporate Finance & Capital Management
Funding Acquisition: Securing bank financing with tax-efficient structures
Debt Optimization: Renegotiating loan terms for improved cash flow
Capital Structure Design: Balancing equity and debt within regulatory limits
Treasury Operations: Cash forecasting and liquidity management
Financial Modeling: Tax-aware projections and scenario analysis
Risk Assessment & Audit Support
Transaction Due Diligence: Pre-investment tax position review
Compliance Health Checks: Identifying potential regulatory gaps
Authority Audit Representation: Professional support during tax examinations
Documentation Review: Ensuring records meet regulatory standards
Penalty Mitigation: Strategies addressing potential non-compliance
Transfer Pricing Implementation
Documentation Preparation: Master files and local files meeting requirements
Comparable Analysis: Demonstrating arm’s length pricing
Intercompany Agreements: Drafting compliant related party contracts
Country Reporting: Multinational disclosure obligations
Risk Evaluation: Identifying and addressing pricing exposure
Why Partner with HAL Consulting for Your Tax Needs
Authorized Federal Tax Authority Representation
Our team includes officially registered tax agents qualified to represent clients before regulatory authorities, ensuring professional handling of all compliance matters.
Industry-Specific Knowledge
We serve businesses across real estate development, international trade, manufacturing operations, professional services, hospitality ventures, healthcare providers, technology companies, e-commerce platforms, and financial institutions.
Free Zone Specialization
Extensive experience with Jebel Ali Free Zone, Dubai Multi Commodities Centre, Abu Dhabi Global Market, Dubai International Financial Centre, and over 40 additional free zone jurisdictions throughout the Emirates.
Multilingual Professional Service
Arabic and English-speaking tax professionals ensuring clear communication throughout engagements.
Technology-Enhanced Delivery
Cloud-based compliance platforms, automated deadline tracking systems, and secure digital document management.
Proactive Updates & Communication
Regular briefings on Ministry of Finance announcements, Cabinet decisions, Federal Tax Authority guidance, and legislative amendments.
Integrated Business Approach
Tax strategy aligned with broader business objectives, financial planning frameworks, and long-term growth initiatives.
UAE Corporate Tax Rates & Key Thresholds
| Profit Level | Applicable Rate | Entity Type |
|---|---|---|
| Up to AED 375,000 | 0% | Small business relief |
| Above AED 375,000 | 9% | Standard corporate rate |
| Varies by jurisdiction | 15% | Large multinationals |
| Qualifying income | Preferential | Free zone entities |
Important Compliance Deadlines
Financial Period: Typically matching company financial year
Return Submission: Nine months following year-end
Payment Deadline: Concurrent with return filing
Transfer Pricing Files: Twelve months after financial year-end
Country-by-Country Reports: Twelve months after parent company year-end
Key Regulatory Bodies & Official Resources
Federal Tax Authority: Primary tax administration and compliance oversight
Ministry of Finance: Policy development and legislative framework
UAE Cabinet: Executive regulations and implementing decisions
Dispute Resolution Committee: Administrative review of tax assessments
Reconsideration Committee: Appeals of authority determinations
Essential Reference Materials
- FTA Corporate Tax Public Clarifications (CTPEC guidance series)
- Official UAE Corporate Tax Guide published by authorities
- Cabinet Decision 116 of 2022 (Executive Regulation provisions)
- Federal Decree-Law No. 47 of 2022 (Corporate Tax Law)
- UAE Double Taxation Agreement Network (140+ jurisdictions)
Industry Sectors We Serve Throughout UAE
Property & Construction: Development companies, contractors, property managers
Trade & Logistics: Import-export operations, wholesale distribution, retail businesses
Industrial Manufacturing: Production facilities, processing operations
Professional Advisory: Consulting firms, legal practices, accounting services
Technology Sector: Software development, IT services, digital startups
Tourism & Hospitality: Hotels, restaurants, travel service providers
Healthcare Services: Medical clinics, hospitals, pharmaceutical distribution
Financial Sector: Non-bank financial institutions, investment management
Energy Operations: Non-extractive energy sector businesses
Education Providers: Private educational institutions, training centers
Geographic Service Coverage Across Emirates
Dubai: Business Bay commercial district, Dubai International Financial Centre, Downtown areas, Deira business zones, Bur Dubai, Jumeirah, Jumeirah Lakes Towers, Dubai Marina
Abu Dhabi: Capital city business districts, Abu Dhabi Global Market, Masdar City innovation hub, Al Ain, Western Region developments
Sharjah: Industrial zones, Sharjah Airport Free Zone areas
Ajman: Ajman Free Zone business community
Ras Al Khaimah: RAK Free Trade Zone, RAK Economic Zone
Fujairah: Fujairah Free Zone operations
Umm Al Quwain: UAQ Free Trade Zone entities
All UAE Free Zones: Including JAFZA, DMCC, Dubai Airport Free Zone, Hamriyah Free Zone, SAIF Zone, plus 40+ additional jurisdictions
Begin Your Tax Compliance Journey
Complimentary Initial Assessment
Schedule a consultation to:
- Evaluate current compliance positioning
- Identify optimization opportunities
- Clarify specific regulatory obligations
- Address your tax-related questions
Our Client Onboarding Methodology
Phase 1: Consultation – Understand business structure and requirements
Phase 2: Assessment – Review existing compliance status
Phase 3: Strategy – Develop customized tax approach
Phase 4: Implementation – Execute registration and filing procedures
Phase 5: Ongoing Partnership – Continuous compliance and advisory support
Additional Tax & Financial Services
VAT Advisory Services: Registration, periodic filing, refund claims, compliance management
Transfer Pricing Solutions: Documentation preparation, arm’s length analysis
Tax Dispute Resolution: Authority audit representation, objection filing
Accounting Services: Monthly bookkeeping aligned with tax requirements
Business Formation: Tax-efficient company establishment and structuring
Outsourced CFO Services: Financial management with integrated tax planning
Stay Current with UAE Tax Developments
Recent regulatory updates include:
- Ministry of Finance policy announcements
- Federal Tax Authority clarifications and guidance
- New Cabinet decisions affecting taxation
- International developments from OECD
- Free zone regulatory changes
- Tax treaty network expansions
Subscribe to HAL Tax Insights: Monthly newsletter delivering relevant updates directly to you.
What Clients Say About Us
FAQs – Corporate Income Tax in UAE
Yes, the UAE introduced a federal Corporate Income Tax effective from June 1, 2023. It applies to most businesses operating within the UAE, with a standard tax rate of 9% on net profits exceeding AED 375,000.
Corporate tax applies to all UAE businesses, including mainland companies, free zone entities (with some exceptions), and foreign entities with a permanent establishment in the UAE. However, individuals earning income through salaries, real estate, or personal investments are not subject to corporate tax.
The standard rate is 0% on the first AED 375,000 of taxable income and 9% on income above that threshold. Large multinational corporations may also be subject to OECD’s global minimum tax rules (15%) if they meet the relevant criteria.
Free zone entities that meet specific qualifying criteria and do not conduct business with the UAE mainland may benefit from a 0% corporate tax rate. However, they are still required to register and file returns under the new regime.
Businesses must register for corporate tax, maintain proper accounting records, calculate taxable income as per UAE tax laws, and submit an annual corporate tax return. Non-compliance may lead to penalties and legal consequences.
HAL Consulting offers expert support in tax registration, financial reporting, compliance checks, and long-term tax planning. Our team helps businesses stay aligned with UAE’s corporate tax laws while minimizing risks and avoiding unnecessary penalties.