UAE corporate tax & VAT calculator

How does the calculator work out corporate tax?

For a standard taxable person it applies 0% to the first AED 375,000 of taxable income and 9% to the rest (Cabinet Decision No. 116 of 2022). AED 600,000 of taxable income therefore gives AED 20,250. If you elect Small Business Relief and are eligible, it shows nil: revenue must be AED 3 million or less in this and every earlier period, and the period must end on or before 31 December 2029 (Ministerial Decision No. 131).

“extends the period during which Small Business Relief may be claimed”

How is a Qualifying Free Zone Person treated?

Qualifying income is taxed at 0%. Taxable income from non-qualifying activities is taxed at 9% from the first dirham, with no AED 375,000 band (Meydan Free Zone Authority). The calculator also runs the de minimis test: if non-qualifying revenue exceeds the lower of 5% of total revenue or AED 5 million, it switches to standard rates, as the company would lose the regime for five tax periods (Ministry of Finance).

How is the VAT position worked out?

Registration status compares your taxable supplies over 12 months with the FTA thresholds: mandatory above AED 375,000 and voluntary from AED 187,500 (Federal Tax Authority). Net VAT is 5% of standard-rated sales minus 5% of purchases that carried VAT. Zero-rated sales count toward the threshold but carry no output VAT.

What does the calculator not cover?

Tax adjustments to accounting profit, loss relief, tax groups, exempt income such as qualifying dividends, withholding, and the 15% top-up tax calculation itself. It also assumes you register on time; late corporate tax registration costs AED 10,000 (Cabinet Decision No. 10 of 2024).

Frequently asked questions

Is the result advice?

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No. It is an estimate from the figures you enter and the published rates. Taxable income needs adjustments the calculator cannot see, such as non-deductible expenses, exempt income and loss relief.

Why does the free zone result ask for non-qualifying revenue?

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Because the 0% rate depends on non-qualifying revenue staying at or below the lower of 5% of total revenue or AED 5 million. Above that, the company is taxed at standard rates for five tax periods.

Does the calculator store my figures?

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Only in your own browser, so they are there when you come back. Nothing is sent to us unless you submit the enquiry form.

What about the 15% minimum tax?

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If your group has consolidated revenue of EUR 750 million or more in two of the last four years, tick the box. The calculator flags that the Domestic Minimum Top-up Tax may apply; computing it needs group data.

Sources

1. Cabinet Decision No. 116 of 2022 on the annual Taxable Income subject to Corporate Tax (AED 375,000) — UAE Ministry of Finance. Checked 16 October 2026.
2. Ministry of Finance extends Small Business Relief to tax periods ending on or before 31 December 2029 (Ministerial Decision No. 131) — WAM via Aletihad, 7 August 2026. Checked 16 October 2026.
3. Ministry of Finance announces new decisions relating to Corporate Tax for Free Zones (Cabinet Decision No. 55 of 2023, Ministerial Decision No. 139 of 2023) — WAM, Emirates News Agency. Checked 16 October 2026.
4. Qualifying vs non-qualifying income under UAE Corporate Tax — Meydan Free Zone Authority. Checked 16 October 2026.
5. Registration for VAT (mandatory and voluntary thresholds) — Federal Tax Authority. Checked 16 October 2026.
6. AED10,000 Penalty for Late Corporate Tax Registration (Cabinet Decision No. 10 of 2024) — UAE Ministry of Finance, 27 February 2024. Checked 16 October 2026.