Who Is Subject to the Corporate Tax in UAE

1. FARAHAT & CO

2. WHAT IS THE SCOPE OF THE CORPORATE TAX UAE? FARAHAT & CO All registered (legal) entities in the UAE; All legal entities incorporated in another country, but effectually managed (administered) and supervised in the UAE; All-natural persons who conduct relevant business in the UAE; All foreign corporations with a corporate body in the UAE; Entities with a nexus in the Emirate as defined by an upcoming Cabinet Decision. Domestic and international contributions will be governed by the UAE’s current rate of 0% withholding tax.

3. Tax Group Foreign Tax Deductions The corporate tax law specifies in great detail how tax groups are to be formed, and how their taxable income and losses are to be calculated. For taxes paid by UAE enterprises on revenue received outside of the UAE, foreign tax incentives will be made accessible. CORPORATE TAX LAW Exempted Persons Transfer Pricing The corporate tax law governs “related parties,” “control,” and “connected individuals” and offers guidelines for assessing the arm’s length requirement. Government entities, enterprises under the jurisdiction of the government, companies that exploit natural resources, non- extractive natural resource companies, eligible public benefit corporations, and public pension or welfare benefits funds,.

4. THE UAE CORPORATE TAX LAW APPLIES TO THE FOLLOWING “TAXABLE PERSONS” A resident person is someone who generates viable taxable income within the UAE or elsewhere. A natural person (resident); Income from within or beyond the state that is related to a business or commercial activity that the natural person engages in inside the state. Taxable income that may be linked to a person’s permanent establishment within the UAE is considered to originate from a non-resident person. The State-sourced income cannot be linked to the person’s permanent establishment within the UAE. The taxable income that may be attributed to a non-connection resident to the state, as defined by the Cabinet decision.

5. Contact Us WhatsApp Only: +971 52 6922588 WhatsApp & Phone: +971 55 4828368 Landline: +971 4 2500251 For Consultation: consultant@farahatco.com For Sales Enquiries: sales@farahatco.com THANK YOU Choose Corporate Tax Advisory Services Today!