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UAE corporate tax calculator 2026

Hani · Founder & Tax Data Researcher · ArabTaxCalc

For freelancers, founders and small companies in the UAE: enter your taxable income and revenue to see the corporate tax due and whether small business relief applies.

Short answer

UAE corporate tax is 0% on the first 375,000 dirhams of taxable income and 9% on the rest. A business with revenue of 3 million dirhams or less can claim small business relief for tax periods ending on or before 31 December 2029. An individual is only in scope once their business turnover passes 1 million dirhams a year. For example, taxable income of 800,000 dirhams with revenue of 4,000,000 dirhams (too high for the relief) gives tax of 38,250 dirhams: 9% of the 425,000 above the threshold.

Your business

UAE dirham
UAE dirham
To check if you qualify for small business relief (revenue of 3 million dirhams or less).

How it is calculated

Taxable incomeRate
0 to 375,000 AED0%
Over 375,000 AED9%
  • Small business relief: revenue of 3 million dirhams or less, chosen in the tax return, means no tax for that period (periods ending on or before 31 December 2029).
  • Salaries, personal investment and real estate investment that needs no licence are outside corporate tax.
  • An individual is in scope only above 1 million dirhams of business turnover a year.

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Frequently asked questions

How much is corporate tax in the UAE?

UAE corporate tax is 0% on the first 375,000 dirhams of taxable income and 9% on the rest. A business with revenue of 3 million dirhams or less can claim small business relief for tax periods ending on or before 31 December 2029. An individual is only in scope once their business turnover passes 1 million dirhams a year. For example, taxable income of 800,000 dirhams with revenue of 4,000,000 dirhams (too high for the relief) gives tax of 38,250 dirhams: 9% of the 425,000 above the threshold.

Do employees pay corporate tax on their salary?

No. Salaries and wages are fully excluded, as is personal investment and real estate investment that does not need a licence (Cabinet Decision No. 49 of 2023).

When does a self-employed individual register for corporate tax?

Once their business turnover passes 1 million dirhams in a calendar year, a resident registers by 31 March of the following year (FTA Decision No. 3 of 2024).

Sources

  1. Cabinet Decision No. 116 of 2022 (the 375,000 dirham threshold)
  2. Cabinet Decision No. 49 of 2023 (individuals)
  3. Ministry of Finance: small business relief extended to 31 December 2029

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