Flat rate
0.0%
Duration
—
Prior non-residency
—
required before applying
Standard top income tax
0.0%
United Arab Emirates, without the regime
Overview
- Regime
- Free Zone Regime
- Country
- United Arab Emirates
- Type
- Free zone
- Status
- Active
- Effective from
- Jun 1, 2023
- Expires on
- —
Details
- Summary
- 0% corporate tax on qualifying income for Qualifying Free Zone Persons (QFZPs); non-qualifying income taxed at 9%.
- Eligibility
- Juridical persons incorporated or registered in a UAE free zone that meet QFZP conditions
- Benefits
- 0% UAE CT on qualifying income, 100% foreign ownership, full profit repatriation
- Requirements
- Adequate substance in the free zone, qualifying income, audited IFRS financials, transfer pricing compliance, de minimis limits on non-qualifying revenue
- Limitations
- Non-qualifying income and domestic permanent establishments taxed at 9%; failure to qualify locks 9% on all income for five years
- Income types covered
- Qualifying free-zone activities and qualifying IP income as defined in UAE CT law and cabinet decisions
- Duration details
- Ongoing while QFZP conditions are met
Other regimes in United Arab Emirates
| Name | Type | Rate |
|---|---|---|
| Small Business Relief | Exemption | — |
View source PwC UAE 2026