UAE Corporate Tax · Article 18 · FDL 47 of 2022
The 0% rate is not automatic in a free zone. Set your activity, conditions and revenue below. The tool checks each condition against the law, works out the de minimis test, and shows the tax at stake.
Pick the activity your income mainly comes from.
A VAT Designated Zone that is also a free zone for Corporate Tax. Not sure? Use the zone finder.
Enough people, premises and core activity carried on inside the free zone.
Dealings are at arm's length and documented.
You prepare audited financial statements for the period.
Have you chosen to be taxed under the standard rules instead?
Non-qualifying revenue must stay within the lower of 5% of total revenue or AED 5,000,000.
Your taxable income split, to compare 0% qualifying against losing the status.
How it works. The qualifying free zone person is defined in Article 18, FDL 47 of 2022, with 0% on qualifying income under Article 3. Qualifying income is set by Cabinet Decision 100 of 2023, and the qualifying and excluded activities, the de minimis test and the audited accounts condition by Ministerial Decision 229 of 2025, which replaced Ministerial Decision 265 of 2023 with effect from 1 June 2023. Audited accounts follow Ministerial Decision 84 of 2025. Non-qualifying income is taxed at 9%. Lose the status and the standard rules apply: 0% up to AED 375,000 of taxable income, 9% above.
General information, not tax advice, and a simplified guide to the conditions rather than a determination. The activity list is summarised; several activities carry their own definitions and conditions in the decision. Confirm your position against the current legislation and with your adviser.