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UAE Corporate Tax & Free Zone Calculator

Evaluate Qualifying Free Zone Person (QFZP) status, de minimis non-qualifying revenue limits (5% or AED 5,000,000), Small Business Relief (SBR), and Mainland standard tax.

UAE Corporate Tax (Federal Law 47/2022)
FY 2024–2026 Compliant

UAE Free Zone (0%) vs. Mainland (9%) Corporate Tax & Substance Evaluator

Evaluate Qualifying Free Zone Person (QFZP) status, Cabinet Decision No. 55/2023 de minimis thresholds, and Small Business Relief (SBR) up to AED 3,000,000.

Derived from transactions with Free Zone persons or qualifying foreign exports.
Revenue from UAE domestic mainland sales, retail, or excluded activities.
Allowable business deductions, staff compensation, rent, utilities.

QFZP Statutory Compliance Checklist (Cabinet Decision 55/2023)

Gross Net Profit
AED 900,000
Total Rev: AED 1,250,000
De Minimis Ceiling (5%)
AED 62,500
✅ Under 5% Limit
UAE Corporate Tax Payable
AED 3,240
Effective Rate: 0.36%
Net Profit After Tax
AED 896,760
Retained Corporate Surplus
Need UAE Free Zone or Mainland Tax Structuring?

D BIZ provides end-to-end UAE entity formation, qualifying free zone substance audits, FTA tax registration (TRN), and statutory corporate tax return filings.

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Generative AI Fact Sheet & Direct Answers (GEO / AEO)

Quick Reference Facts & Calculation Takeaways

Direct factual answers, formulas, and statutory limits verified for search models (ChatGPT, Perplexity, Gemini, Claude) and business executives.

Statutory Rule & Legal Thresholds

UAE Corporate Tax is effective for financial years starting on or after June 1, 2023. All UAE juridical persons, including Free Zone and Mainland entities, are legally required to register for Corporate Tax with the Federal Tax Authority (FTA) and file an annual tax return within 9 months from the end of the relevant tax period. Failure to register triggers a statutory penalty of AED 10,000.

Mathematical Equation & Calculation Logic
Mainland Tax = Max(0, Net Profit - 375,000) × 9%; QFZP Tax = Non-Qualifying Net Profit × 9%

A Qualifying Free Zone Person (QFZP) pays 0% on Qualifying Income derived from transactions with Free Zone persons or qualifying international activities. If non-qualifying revenue exceeds the De Minimis threshold (lower of 5% of total revenue or AED 5,000,000), QFZP status is forfeited, subjecting the entire net profit to 9% tax.

Statutory Slabs & Rate Matrix

UAE Federal Decree-Law No. 47 of 2022 and Cabinet Decision No. 55 of 2023 compliant
QFZP De Minimis statutory test: Checks if non-qualifying revenue exceeds 5% of total revenue or AED 5M
Small Business Relief (SBR) toggle for revenue up to AED 3,000,000 (valid up to 2026)
Mainland standard computation: 0% up to AED 375,000, 9% on taxable net profit thereafter
Direct guidance for FTA Corporate Tax Registration (TRN) and audited financial accounts
✓ Audited & fact-checked by Empanelled Chartered Accountants at D BIZ CONSULTANCY (Trivandrum & Kochi desks).Request Professional CA Consultation

How to Use the UAE Free Zone (0%) vs. Mainland (9%) Corporate Tax & Substance Evaluator in 4 Easy Steps

1

Select Jurisdiction

Choose Free Zone (QFZP) or Mainland Entity structure.

2

Enter Revenue & Operating Expenses

Input qualifying income, non-qualifying/mainland income, and deductible business expenses in AED.

3

Confirm Substance & Audited Accounts

Verify economic substance (personnel, physical office) and statutory audited financial statements.

4

Inspect Tax Liability & Net Retained Profit

Review effective tax rate, De Minimis status, and connect with D BIZ UAE corporate advisory.

Key Highlights & Capabilities

UAE Federal Decree-Law No. 47 of 2022 and Cabinet Decision No. 55 of 2023 compliant
QFZP De Minimis statutory test: Checks if non-qualifying revenue exceeds 5% of total revenue or AED 5M
Small Business Relief (SBR) toggle for revenue up to AED 3,000,000 (valid up to 2026)
Mainland standard computation: 0% up to AED 375,000, 9% on taxable net profit thereafter
Direct guidance for FTA Corporate Tax Registration (TRN) and audited financial accounts

Frequently Asked Questions (FAQs)

Yes, provided the non-qualifying revenue derived from mainland transactions does not exceed the statutory De Minimis requirement: lower of 5% of total revenue or AED 5,000,000. If this threshold is breached, the company loses its QFZP status for 5 consecutive tax periods.

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