Search Site

Trends banner

SAIB reports $139 million Q1 net profit

its assets increased by 20.08 percent to $43.65bn.

Nissan forecasts $5.3bn annual net loss

Last year, it announced 9,000 job cuts worldwide.

Saudia to acquire 20 wide-body aircraft

10 of these being acquired for its flydaeal low-cost airline

ADIB’s Q1 net profit $517 million

Q1 2025 net profit before tax increased 18% YoY.

Emirates Islamic Q1 profit $394m

The bank's profit crossed AED 1bn mark for the first time.

9% corporate tax takes effect in UAE from June 1

The corporate tax regime will be effective for financial years starting on or after June 1, 2023. (WAM)
  • Individuals can now be classified as a business if their income stream surpasses a specified amount, or if their held assets exceed a certain value
  • UAE employees drawing income from a singular source or salary payment need not be concerned, as salaries will continue to remain exempt from income tax

Abu Dhabi, UAE — The UAE’s Federal Tax Authority (FTA) has announced the unprecedented implementation of a 9 percent corporation tax, set to take effect in 14 days. Under the new law, the UAE will impose a headline 9 percent Corporate Tax rate for taxable income above AED375,000 (US$102,110).

The FTA’s decision has also refined the definition of an individual as a business entity. Individuals can now be classified as a business if their income stream surpasses a specified amount, or if their held assets exceed a certain value. This move serves as a warning against the practice of transferring company assets to personal holdings.

UAE employees drawing income from a singular source or salary payment need not be concerned, as salaries will continue to remain exempt from income tax. However, business owners have been advised to promptly register for corporation tax and submit their accounts to avoid substantial fines.

The UAE’s free zones, typically tax-exempt, are also subject to the newly imposed 9% corporation tax. Free zone entities conducting transactions with onshore entities will be subject to this tax. However, free zone entities operating purely overseas transactions are still exempt, though they are obliged to submit their accounts to the FTA, explaining why they are not taxable.

Click here for full report