The UAE's business environment has changed since the implementation of corporate tax. Businesses must now abide by the Federal Corporate Tax Law, which was put into effect by the Ministry of Finance, even though the UAE is still one of the most alluring places in the world to invest.

We at Orbec Global Consulting are experts in Corporate Tax Services in the United Arab Emirates, assisting companies of all sizes in comprehending the new tax structure, guaranteeing complete compliance, and refining their tax plans for long-term success..

Understanding Corporate Tax in the UAE

The UAE Corporate Tax came into effect on June 1, 2023, applying to businesses operating within the country. Here’s a quick overview:

• Standard Corporate Tax Rate: 9% on taxable profits above AED 375,000
• Tax-Free Threshold: 0% for profits up to AED 375,000
• Applicable to: Mainland, Freezone, and Offshore companies (depending on qualifying criteria)
• Exempt Entities: Government entities, pension funds, and certain extractive or non-extractive businesses

While the tax rate is among the lowest globally, proper planning and compliance are crucial to avoid penalties and ensure smooth operations.