Zakat vs Corporate Tax in the UAE: What GCC-Based Businesses Need to Know
Quick answer: The UAE does not impose Zakat as a state tax, only federal Corporate Tax applies, at 0% up to AED 375,000 in taxable income and 9% above that, regardless of ownership nationality. Where this becomes genuinely important is for GCC-based businesses operating across the UAE and Saudi Arabia, since Saudi Arabia runs a […]
Corporate Tax Deregistration in the UAE: When and How to Close Your Tax File
Quick answer: Corporate tax deregistration UAE rules require this to be filed with the FTA within 3 months of your cessation date, whether that’s from closing the business, a merger, a sale, or restructuring. It is not automatic, cancelling your trade license does not close your tax file, and the FTA continues treating your business […]
Withholding Tax in The UAE: What Businesses Paying Overseas Need to Know
Quick answer: The UAE currently applies a 0% withholding tax rate on dividends, interest, royalties, and service fees paid to non-residents, meaning cross-border payments go out in full with no deduction at source. But this rate is set by Cabinet Decision, not written permanently into the Corporate Tax Law, which means it can change without […]