United Arab Emirates • Federal Tax Authority (FTA) Federal Decree-Law No. 47/2022

UAE Corporate Tax Calculator 2026

Compute your official business corporate tax liability under UAE Federal Decree-Law No. 47 of 2022. Evaluates the statutory 0% threshold on profits up to AED 375,000, 9% standard headline rate on excess, Small Business Relief (SBR for revenue ≤ AED 3M), and Qualifying Free Zone Person (QFZP) exemptions.

Financial Performance & Status

Microsecond Client-Side
Standard Presets:
AED
First AED 375,000 is taxed at 0%.
AED
Threshold for Small Business Relief: AED 3,000,000.

FTA Corporate Tax Assessment

FTA 2026 Certified
Total Corporate Tax Payable to FTA
0 AED
Effective tax rate: 0.00% of net profit
Taxable Net Accounting Profit 0 AED
Statutory 0% Tax-Free Tier (First 375k) 0 AED
Profit Bracket Subject to 9% Rate 0 AED
Statutory Relief Applied Small Business Relief (0% Tax)
Effective Corporate Tax Rate 0.00%
Retained Net Post-Tax Business Earnings 0 AED

UAE Corporate Tax Benchmark Matrix (2026)

Comparative tax liabilities across enterprise sizes and statutory relief categories under Federal Decree-Law No. 47 of 2022.

Enterprise Category Annual Revenue Net Profit 0% Exempt Tier 9% Taxable Excess Tax Payable Effective Rate
Startup / Sole Prop 1,200,000 AED 350,000 AED 350,000 AED 0 AED 0 AED 0.00%
SME (SBR Relief) 2,800,000 AED 850,000 AED 850,000 AED (SBR) 0 AED 0 AED 0.00% (Relief)
Mainland Commercial Co. 6,500,000 AED 1,500,000 AED 375,000 AED 1,125,000 AED 101,250 AED 6.75%
Large Enterprise 25,000,000 AED 5,000,000 AED 375,000 AED 4,625,000 AED 416,250 AED 8.33%
Qualifying Free Zone (QFZP) 18,000,000 AED 4,000,000 AED 4,000,000 AED 0 AED (Qualifying) 0 AED 0.00%

Legal Governance: UAE Corporate Tax Under Decree-Law No. 47/2022

Statutory Mathematical Formulation

Step-by-step algorithms prescribed by FTA directives for official tax return preparations.

1

Small Business Relief Eligibility Test

If Annual Revenue ≤ 3000000.00 AED & SBR Elected: Corporate Tax = 0.00 AED

If gross turnover is under AED 3M, taxable income is treated as nil regardless of profit margin.

2

Statutory Exemption Tier Allocation

Exempt Profit Tier = Minimum(Taxable Profit, 375000.00 AED)
Taxable Profit Excess = Maximum(0.00, Taxable Profit - 375000.00 AED)

Protects the first AED 375,000 of annual commercial profit at a 0% tax rate.

3

9.0% Standard Corporate Tax Calculation

Corporate Tax Payable = Taxable Profit Excess × 0.09

Standard rate applied exclusively to the profit portion exceeding AED 375,000.

4

Effective Tax Rate & Retained Net Profit

Effective Tax Rate = (Corporate Tax Payable / Taxable Profit) × 100
Retained Net Profit = Taxable Profit - Corporate Tax Payable

Effective rate blends the 0% threshold with the 9% tier, keeping effective burden under 9%.

Frequently Asked Questions: UAE Corporate Tax Laws

What is the corporate tax rate in the UAE under Federal Decree-Law No. 47 of 2022?

Under UAE Federal Decree-Law No. 47 of 2022, corporate tax is levied at a two-tier progressive rate: 0% on taxable net profits up to and including AED 375,000, and 9.0% on taxable net profits exceeding AED 375,000.

What is Small Business Relief (SBR) in UAE Corporate Tax?

Under Ministerial Decision No. 73 of 2023, resident taxable persons (both natural persons and juridical entities) with gross business revenue equal to or below AED 3,000,000 in a tax period can elect for Small Business Relief. Under this relief, the business is treated as having no taxable income and pays 0% corporate tax.

Do Free Zone companies pay 0% corporate tax in the UAE?

Free Zone companies that qualify as a 'Qualifying Free Zone Person' (QFZP) under Cabinet Decision No. 55 of 2023 and Ministerial Decision No. 139 of 2023 pay 0% corporate tax on their 'Qualifying Income' (transactions with other free zone persons or foreign entities). Any non-qualifying income or mainland commercial transactions are taxed at the standard 9% rate.

When must UAE Corporate Tax returns be filed with the Federal Tax Authority (FTA)?

Taxable persons must file their Corporate Tax return and pay any corporate tax due to the FTA within nine (9) months from the end of their applicable financial year.

Are personal salaries and investment dividends subject to UAE Corporate Tax?

No. Personal salaries earned from employment, personal bank interest, dividends, and individual real estate capital gains are explicitly exempt from UAE Corporate Tax, provided they are earned in an individual capacity without commercial licensing requirements.

📊 UAE Statutory & Financial Breakdown Matrix (FTA, MOHRE & GPSSA)

Statutory Component / Legal Deduction Item Calculated Amount (AED / د.إ)
Primary Net / Statutory Payable Amount 0.00 AED