Corporate Tax Return Filing in UAE

Corporate Tax Return Filing in UAE

The United Arab Emirates does not have a federal CIT regime. Instead, CIT is determined on a territorial basis under the respective Tax Decrees issued by the government of each individual Emirate (of which there are seven that make up the United Arab Emirates). Some of the Emirates have also issued specific Banking Tax Decrees, which impose CIT on branches of foreign banks operating in each of the respective Emirates.

Under the Tax Decrees, CIT is payable under a progressive rate system, with rates up to 55%. Branches of foreign banks are subject to CIT at a flat rate of 20%.

Notwithstanding the above, CIT is currently practically only enforced on foreign oil companies engaged in upstream petroleum activities and branches of foreign banks.


The adoption of CT in the UAE is expected to have an important impact on the tax and compliance requirements of UAE businesses. Our dedicated tax team will be on hand to provide assist and answer any questions you may have regarding corporate tax. We will work with you to make sure that you are compliant with the new requirements, and that your business is able to take advantage of any chance that arises from the change. With our help, you can minimize your tax responsibility and ensure that your business is ready for the new epoch of Corporate Tax Return Filing in UAE.

In recent years, Dubai has emerged as a major hub for corporate pursuit, and it is this gateway that has helped to drive the UAE’s economic growth. With its strong commitment to attracting overseas investment, the UAE is poised to maintain its status as a low-tax jurisdiction in the years to come. Corporate Tax Return Filing in UAE is a direct tax levied on a company's net income or gain. In some countries, the (CT) is too known as business profit tax or corporate wages tax.

Enforcement Date of (CT) in UAE

On January 31, 2022 the Ministry of Finance of the United Arab Emirates (UAE) announced the of a federal Corporate Tax Return Filing in UAE (“CT”) on business financial, effective from the financial year beginning June 1, 2023.  Pursuant to the aforementioned declaration, the Ministry of Finance published a consultation document to collect and appraise the answers of stakeholders (“Consultation Document”) with regards to the most prominent features of the legislation and its implementation, ahead of the release of the draft CT law-making.  The formal responses to the Consultation Document should be submitted using this form by May 19, 2022.  The Consultation Documentation can be viewed here. The collision of (CT) on the Emirate's banking tax edict will be revealed in the coming months. As an outcome, the law will have an impact not just on overseas bank branches but also on household banks, which will also be subject to corporation tax.

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