The United Arab Emirates will introduce a federal corporate tax on business profits starting from June 1, 2023 for the first time, the Finance Ministry announced on Monday, but kept a low base to maintain its attractiveness for businesses.

In 2018, the UAE introduced value added tax on most goods and services at a standard rate of 5 percent.

The ministry said the new regime implies a standard statutory tax rate of 9 percent, as well as a 0 percent rate for taxable profits up to 375,000 dirhams ($102,107.50) in order to support small businesses and startups.

Businesses in the UAE, a regional financial hub, are exempted from paying taxes on capital gains and dividends received from shareholdings, it said.

source : https://english.alarabiya.net/