Corporate Tax

Corporate tax is a direct tax levied on the profits or income of a corporation. For the UAE, the introduction of a federal corporate tax marks a considerable move towards international tax standards, enhanced compliance, and decreased reliance on hydrocarbon revenue streams. As of June 1, 2023, corporations surpassing the prescribed taxable income threshold will be bound by the new corporate tax law. This is the situation with the majority of business activities undertaken within the UAE, apart from those dealing with the exploitation of natural resources, which remain subject to emirate-level taxation.

Though the UAE continues to have a friendly tax climate, the charging of corporate tax also has some new standards of compliance by businesses. Some of these are having proper records of accounts, filing tax returns annually, and being compliant with transfer pricing rules. Small and medium enterprises and free zone businesses may be exempt from certain taxes and offered incentives, yet one has to understand how these rules apply to a specific case.

At Finprime, we help businesses navigate the convoluted UAE corporate tax landscape seamlessly. Our experienced experts deliver range of services including tax registration, identification of tax incidence, restructuring advice for tax effectiveness, preparation and filing of corporate tax returns, and ongoing compliance support. Whether you are an SME, start-up, or large business, our tailored tax solutions guarantee you stay compliant while optimizing your financial strategy.