Verified 2 October 2026 · Next review January 2027

UAE Tax Guide 2026/27: what actually happens to your tax when you move

The UAE will not tax your salary. Whether your home country stops is a separate question, decided by its rules and not by your UAE visa. This guide starts with that question for the six places most of our readers move from, then covers the UAE side: tax residency, the Tax Residency Certificate, corporate tax, VAT, free zones and treaties.

How to read the tags: LAW statute or cabinet decision. OFFICIAL government or tax authority guidance. REPORTED consistent across reputable professional firms, not checked by us against the primary text. VERIFY check before you rely on it.

Pick your country Build your tax sheet How we checked

The basics

What the UAE actually taxes

There is no personal income tax in the UAE. The taxes that do exist are narrow, and none of them touch a normal salary.

If you employ people in the UAE you pay social insurance (GPSSA) on UAE and GCC nationals only, not on expatriate staff. For most newly arrived professionals, the UAE side of the bill is close to zero. The home-country side is where the decisions matter.

Tax Rate Who it hits
Personal income tax 0% Nobody. There is no federal tax on salaries, bonuses or allowances, and no tax return for employees. LAW No income tax law for individuals exists
Personal investment income 0% Dividends, interest and gains you earn privately, and rent from property you hold personally without a licence, sit outside corporate tax. LAW Cabinet Decision 49 of 2023
Corporate tax 0% then 9% All UAE companies, free zone companies included, and foreign companies managed from the UAE. 0% on taxable profit up to AED 375,000, 9% above. LAW Federal Decree-Law 47 of 2022
Sole traders and freelancers 9% above AED 375,000 Only once business turnover passes AED 1 million in a calendar year. Salary and private investment income do not count toward that figure. LAW Cabinet Decision 49 of 2023
Small Business Relief Treated as no taxable income Businesses with revenue of AED 3 million or less that elect for it. Now runs to tax periods ending on or before 31 December 2029. LAW Ministerial Decision 73 of 2023 as amended by 131 of 2026
Domestic minimum top-up tax 15% Groups with global revenue of EUR 750 million or more, from financial years starting 1 January 2025. Not a personal tax. LAW Domestic Minimum Top-up Tax
VAT 5% Everyone, through prices. Businesses register above AED 375,000 of taxable supplies. No VAT on school fees, most medical care or residential rent. LAW Federal Decree-Law 8 of 2017
Excise tax Up to 100% Tobacco, energy drinks, sweetened drinks and e-liquids. Sweetened drinks now taxed per litre by sugar content. OFFICIAL
Property 4% transfer fee (Dubai), 2% (Abu Dhabi) Buyers and tenants. Around 5% of annual rent as a housing or municipality fee. No annual property tax and no capital gains tax on a private sale. OFFICIAL DLD and Abu Dhabi DMT
Inheritance, gift and wealth tax None There is no inheritance, gift or wealth tax in the UAE. Your home country may still apply its own. LAW
Social security None for expatriates Pension contributions apply to UAE and GCC nationals only. Expatriates earn an end-of-service gratuity instead. LAW Federal Decree-Law 33 of 2021
How to read the tags LAW statute or cabinet decision. OFFICIAL government or tax authority guidance. REPORTED consistent across reputable professional firms, not checked by us against the primary text. VERIFY check before you rely on it.

What has changed in 2026

In the UAE

  • Small Business Relief extended by three years, to tax periods ending on or before 31 December 2029. The AED 3 million revenue cap and every other condition are unchanged. LAW
  • VAT law amended from 1 January 2026: no self-invoice needed under the reverse charge, a five-year limit to reclaim excess VAT, and the FTA can deny input VAT linked to evasion. LAW Federal Decree-Law 16 of 2025
  • Tax Procedures Law amended from 1 January 2026, with one penalty framework across corporate tax, VAT and excise from 14 April 2026. REPORTED
  • Sweetened drinks now taxed per litre by sugar content instead of a flat 50%. OFFICIAL
  • E-invoicing: pilot from 1 July 2026, mandatory from 1 January 2027 for businesses with revenue of AED 50 million or more, and from 1 July 2027 for the rest. REPORTED

Back home

  • UK: voluntary Class 2 National Insurance can no longer be paid for time abroad from 6 April 2026. Class 3 only, and new applicants need 10 years of UK residence or contributions. OFFICIAL GOV.UK
  • UK: if you return within five years, every dividend taken from your own company while away is now taxed on return, whenever the profits were earned. REPORTED
  • UK: inheritance tax follows residence, not domicile, since 6 April 2025. Long-term residents stay exposed on worldwide assets for 3 to 10 years after leaving. OFFICIAL
  • US: the foreign earned income exclusion is USD 132,900 for tax year 2026. OFFICIAL IRS
  • Germany: still no tax treaty with the UAE. The old one lapsed on 31 December 2021. REPORTED

Tax residency: what actually decides it

A UAE residence visa is not the same as UAE tax residency. Your visa is immigration. Tax residency is a separate test, and a foreign tax office can still treat you as resident in your home country at the same time.

Under Cabinet Decision 85 of 2022 you become a UAE tax resident if you are physically present in the country for 183 days or more in a twelve-month period, or for 90 days or more as a UAE national, a resident with a permanent home here, or someone with your main work or business in the UAE. LAW

Those are the UAE's conditions. Your home country applies its own test first, and it is usually decided on where your home is, where your family lives and how many days you spend there, not on whether you hold a UAE residence visa or a Tax Residency Certificate.

Two countries can claim you at once Dual residence is normal in the first year or two. Treaties usually break the tie in favour of the country where you have a permanent home and your personal and economic ties are closer. Keep records of exit, entry, where your family lives, your tenancy, and where decisions are made. LAW

Check your UAE tax residency position

A rough first pass under the UAE rules. It does not decide your position at home, and it is not advice.

Don't rely on this number without checking Day counting has exceptions for side trips and for days you were only transiting. If your home country is running its own test on you, get advice on the specific treaty article and keep documentary evidence. VERIFY

Personalised

Build your own tax sheet

Choose where you are moving from and how you will work in the UAE. We assemble the rules that apply to you, and you can tick the situations that matter.

Add notes for these situations

This sheet is general information assembled automatically, not advice. It cannot see your full circumstances. Confirm your own position with an adviser qualified in both countries. VERIFY

Country by country: what happens to your tax

In every case the UAE side is the same. The UAE taxes your salary, pension and private investment income at nothing, charges 5% VAT on what you spend, and applies corporate tax only if you run a business. What differs is what your home country keeps.

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Moving from the UK

UK and UAE tax treaty in force

Your UAE salary falls outside UK tax once you are non-resident under the Statutory Residence Test. UK property, UK pensions and a five-year return rule stay in play.

How you stop being tax resident in the UK

  • Residence is decided by the Statutory Residence Test for each tax year (6 April to 5 April). OFFICIAL
  • Working full-time abroad makes you non-resident if you spend fewer than 91 days in the UK and fewer than 31 of them working. Otherwise your allowed days depend on your UK ties: family, a home, work, and past presence.
  • In the year you leave, split-year treatment can cut the year in two so only the UK part is taxed. It has conditions and is not automatic.
  • Tell HMRC with form P85, or the residence pages of your Self Assessment return.

What the UK can still tax

  • Rent from UK property, with 20% withheld by the agent or tenant unless HMRC approves gross payment under the Non-Resident Landlord Scheme.
  • Gains on UK property and land, reported within 60 days of sale even when no tax is due.
  • Pay for any days you work in the UK.
  • Inheritance tax on UK assets always, and on worldwide assets during the tail described below.

The traps

  • Return within five full tax years and gains on assets you owned before leaving are taxed in the year you come back. From 6 April 2026 the same applies to every dividend from your own company. REPORTED
  • Inheritance tax now follows residence. If you were UK resident for 10 of the last 20 years, your worldwide estate stays exposed for 3 to 10 years after you leave. OFFICIAL
  • Voluntary Class 2 National Insurance ended for time abroad on 6 April 2026. Class 3 costs far more and new applicants need 10 years of UK residence or contributions. OFFICIAL
  • You cannot pay into an ISA while non-resident. Existing ISAs can stay.

For your situation

Your property back home.UK rent stays taxable in the UK. Register with the Non-Resident Landlord Scheme before you go so rent is paid gross. A UK home you keep available counts as a tie under the residence test and reduces the days you can spend in the UK.
Your pensions.Under the treaty, private UK pensions paid to a UAE resident can generally be paid without UK tax once HMRC accepts a claim backed by a UAE Tax Residency Certificate. Government service pensions stay UK-taxed. The UK State Pension is reported not to receive annual increases in the UAE. VERIFY with an adviser and on GOV.UK.
Your shares, funds and crypto.The UK has no exit charge on shares when you leave. The risk is selling while abroad and returning within five years. Hold pre-departure assets until you have completed five full tax years away, or accept the UK tax.
If you move back within five years.Count tax years, not calendar years. Five complete UK tax years of non-residence is the line. Keep a day-count log and evidence of your UAE life for every year.
Your business.If you keep a UK company and run it from Dubai, take advice on where it is managed. Dividends taken while away are caught by the return rule above if you go back within five years.
Before you leave
  • Run the Statutory Residence Test for your leaving year and the next
  • File P85 or note your departure in Self Assessment
  • Join the Non-Resident Landlord Scheme if you will let property
  • Check your National Insurance record and decide on Class 3
In your first year
  • Log every UK day and UK workday
  • Apply for a UAE Tax Residency Certificate after 183 days
  • Claim pension treaty relief from HMRC if relevant
  • File a UK return each year you have UK income

Checked against: GOV.UK: Statutory Residence Test (RDR3); GOV.UK: voluntary National Insurance abroad from April 2026; GOV.UK: tax if you leave the UK.

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Moving from Ireland

Ireland and UAE tax treaty in force

You can stop being Irish resident quickly, but you stay ordinarily resident for three more tax years, and Revenue can tax your investment income and gains during that time.

How you stop being tax resident in Ireland

  • You are resident for a tax year (calendar year) if you spend 183 days in Ireland, or 280 days across that year and the one before, with at least 30 days in each. OFFICIAL
  • Split-year treatment in the year you leave stops Irish tax on employment income earned after departure, provided you will be non-resident the following year. It covers employment income only.
  • After three years of residence you are ordinarily resident, and you only lose that after three full years of non-residence. LAW TCA 1997 s.820

What Ireland can still tax

  • Irish rent, with 20% withheld by the tenant or handled by a collection agent under the non-resident landlord system.
  • Irish pensions and Irish employment income through PAYE.
  • Gains on Irish land and buildings, always.
  • While ordinarily resident: worldwide investment income if your foreign income is over EUR 3,810, and worldwide capital gains at 33%. Income from a job performed wholly abroad is excluded. OFFICIAL The treaty may override this if you are treaty resident in the UAE. VERIFY

The traps

  • Sell a significant shareholding while away and return within five years, and an anti-avoidance rule can tax the gain as if you never left. REPORTED
  • Gift and inheritance tax (CAT) applies if either the giver or the receiver is resident or ordinarily resident in Ireland, and always to Irish property.
  • The domicile levy of EUR 200,000 can reach Irish-domiciled people with high worldwide income and substantial Irish property, wherever they live.
  • Voluntary PRSI contributions to protect the State Pension must be applied for within a time limit after your last contribution. VERIFY on gov.ie before you go.

For your situation

Your property back home.Irish rent stays taxable in Ireland with 20% withheld unless you appoint a collection agent. Keeping your Irish home does not make you resident by itself, since the Irish test is days, but it weakens a treaty tie-breaker claim.
Your pensions.Irish occupational pensions and ARF withdrawals are taxed through PAYE. Ask Revenue whether treaty relief applies to your pension type once you hold a UAE Tax Residency Certificate. The State Pension (Contributory) is payable abroad.
Your shares, funds and crypto.Ireland has no general exit tax for individuals, but the three-year ordinary residence tail means a share sale in your first years in the UAE can still be within Irish CGT. Time disposals with advice.
If you move back within five years.If you return within three years you never stopped being ordinarily resident. If you sold shares while away and return within five, expect Revenue to look at it.
Your business.An Irish company managed from the UAE may stop being Irish resident, with exit tax consequences for the company. Take advice before moving the board.
Before you leave
  • Count Irish days for this year and last
  • Tell Revenue you are leaving and claim split-year treatment
  • Appoint a collection agent if letting Irish property
  • Apply for voluntary PRSI contributions if you want them
In your first year
  • Stay under the day limits in each of the next three years
  • Apply for a UAE Tax Residency Certificate after 183 days
  • File an Irish return for any Irish income
  • Take advice before selling shares in the first three years

Checked against: Revenue: residence and ordinary residence manual (Part 34); Revenue.ie.

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Moving from Australia

No Australia and UAE income tax treaty

There is no treaty to fall back on. You are either a foreign resident under Australian domestic law or you are taxed in Australia on your UAE salary. And leaving triggers a capital gains event.

How you stop being tax resident in Australia

  • Four tests apply: whether you still reside in Australia in the ordinary sense, the domicile test (resident unless your permanent place of abode is outside Australia), the 183-day test, and the Commonwealth superannuation test. OFFICIAL ATO
  • The ATO weighs facts: how long you are going for, whether a home stays available, where your family lives, what you told banks and the electoral roll.
  • A two-year contract with the family home kept empty and the family in Sydney is a weak case. A sold or let home and a family in Dubai is a strong one.

What Australia can still tax

  • Australian income as a foreign resident from the first dollar: 30% up to AUD 135,000, then 37% and 45%. No tax-free threshold, no Medicare levy. VERIFY rates for 2026-27 on ato.gov.au
  • Rent from Australian property, by tax return.
  • Interest at 10% withholding and unfranked dividends at 30%. Fully franked dividends carry no further tax.
  • Gains on Australian real property, always.

The traps

  • When you stop being resident you are treated as selling your non-property assets (shares, funds, crypto) at market value, unless you choose to defer and keep them in the Australian net. OFFICIAL
  • Sell your former home while a foreign resident and the main residence exemption is generally lost in full, with a narrow life-events exception.
  • The 50% capital gains discount does not apply to periods of foreign residence.
  • Buyers must withhold 15% on property sold by foreign residents unless you hold a clearance. REPORTED
  • Study loan (HELP) repayments continue: you must report worldwide income to the ATO.

For your situation

Your property back home.Rent is taxed in Australia at foreign resident rates with no tax-free threshold. Do not sell the family home while you are a foreign resident without advice: the main residence exemption can vanish entirely. Many people wait until they are resident again.
Your pensions.Superannuation stays where it is until you meet a condition of release. Employers in the UAE do not pay super. The Age Pension has residence requirements, so long absences matter.
Your shares, funds and crypto.Decide before you leave whether to pay the deemed capital gain on shares and crypto now or defer it. Deferring keeps future growth taxable in Australia. This choice is made in your departure-year return.
If you move back within five years.A short posting with a planned return date is exactly what the residence tests are built to catch. If you were never a foreign resident, your UAE salary is taxable in Australia with no credit, because the UAE charged nothing.
Your business.An Australian company you control from Dubai is still Australian resident if incorporated there. A UAE company whose central management sits in Australia can also be treated as Australian resident.
Before you leave
  • Get written advice on your residency position
  • Model the departure capital gains choice
  • Tell your bank, super fund and share registries you are a foreign resident
  • Update your HELP details with the ATO
In your first year
  • Keep proof of a permanent home in the UAE
  • Lodge an Australian return for any Australian income
  • Report worldwide income if you have a HELP debt
  • Get a UAE Tax Residency Certificate as supporting evidence

Checked against: ATO: income tax treaties; ATO.

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Moving from Canada

Canada and UAE treaty in force, but reported not to cover most expatriates

You must cut residential ties to become non-resident, and on the day you do, Canada treats you as having sold most of what you own. After that, Canadian income is taxed at a flat 25%.

How you stop being tax resident in Canada

  • Residence turns on residential ties: a home in Canada, a spouse or partner in Canada, and dependants in Canada are the significant ones. Bank accounts, driving licence and health card are secondary. OFFICIAL CRA
  • You become non-resident on the latest of the day you leave, the day your spouse and dependants leave, and the day you become resident elsewhere.
  • You can ask the CRA for an opinion with form NR73. It is optional.

What Canada can still tax

  • Rent, dividends, pensions and RRSP withdrawals at 25% non-resident withholding (Part XIII). OFFICIAL
  • Gains on Canadian real estate, with a clearance certificate process when you sell.
  • Pay for work physically done in Canada.

The traps

  • Departure tax: a deemed sale at market value of most assets on the day you leave. Canadian real estate, RRSPs, RRIFs and TFSAs are excluded. Report holdings on form T1161 if they total more than CAD 25,000. OFFICIAL
  • The treaty is reported to define a UAE resident individual as a UAE national. If so, you get no tie-breaker and no reduced withholding rates. REPORTED Confirm with a cross-border adviser.
  • TFSA contributions made while non-resident are penalised at 1% a month. Stop contributing.
  • There is no social security agreement. UAE years do not count toward CPP or OAS.

For your situation

Your property back home.Rent is subject to 25% withholding on the gross amount. A section 216 election lets you pay tax on net rent instead, which is usually far lower. Keeping a home available to you in Canada is the single strongest tie against non-residence, so let it on a proper lease.
Your pensions.RRSPs and RRIFs can stay invested tax-deferred. Withdrawals carry 25% withholding. A section 217 election can reduce that in low-income years. OAS is only payable abroad long-term if you lived in Canada for 20 years after age 18.
Your shares, funds and crypto.Departure tax can be deferred by posting security with the CRA (form T1244) instead of paying up front. Get valuations dated to your departure day.
If you move back within five years.If you return, assets you still hold from before departure can be re-based and the departure tax unwound by election. Keep every departure-year form.
Your business.Shares in your private Canadian company are caught by the deemed sale on departure. This is often the largest number in the whole move. Plan it a year ahead.
Before you leave
  • List and value assets for departure tax
  • Lease or sell your home and move your family at the same time
  • Stop TFSA contributions
  • Tell banks and brokers your departure date
In your first year
  • File a departure-year return with T1161 and T1243
  • Make the section 216 election if you have rent
  • Keep proof of your UAE home and ties
  • Review section 217 before any RRSP withdrawal

Checked against: CRA: leaving Canada (emigrants).

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Moving from the US

No US and UAE income tax treaty

Nothing switches off. US citizens and green card holders file a federal return on worldwide income every year, wherever they live. The UAE's 0% means there is no foreign tax to credit, so the exclusion does the work.

How you stop being tax resident in the US

  • Federal tax follows citizenship, not residence. Moving does not end it. LAW
  • The foreign earned income exclusion shelters up to USD 132,900 of salary for tax year 2026, per person, claimed on Form 2555. OFFICIAL IRS
  • You qualify by the physical presence test (330 full days abroad in any 12 months) or the bona fide residence test (a full calendar year resident abroad).
  • The foreign housing exclusion adds relief for rent above a base amount of USD 21,264 for 2026. REPORTED

What the US can still tax

  • Everything above the exclusion: salary over the cap, bonuses, and the value of employer-paid housing, school fees and flights.
  • All investment income, rent and capital gains worldwide. The exclusion covers earned income only.
  • Self-employment tax of 15.3% on freelance profits, even when the exclusion wipes out the income tax. There is no totalization agreement with the UAE.

The traps

  • FBAR: report foreign accounts if their combined balance passes USD 10,000 at any point in the year. Separate from your tax return.
  • Form 8938 applies at higher thresholds (USD 200,000 at year end for a single filer abroad).
  • Non-US funds and ETFs are usually PFICs, with punitive tax and heavy paperwork. Invest through US-domiciled funds.
  • Own 10% or more of a UAE company and you face Form 5471 and controlled foreign corporation rules.
  • Some states keep taxing you unless you clearly cut ties. California, Virginia, South Carolina and New Mexico are the ones most often cited. REPORTED

For your situation

Your property back home.US rental income is taxed as before. UAE property you buy is also inside the US net: rent is taxable and so is the gain on sale, with no UAE tax to credit against it.
Your pensions.Your UAE end-of-service gratuity is taxable US income. 401(k) and IRA accounts carry on, but you need taxable earned income to contribute to an IRA, and income you exclude does not count.
Your shares, funds and crypto.Keep investments in US-domiciled funds at a US broker that accepts UAE-resident clients. UAE bank investment products and local funds are the classic PFIC trap.
If you move back within five years.Returning is simple federally. Keep travel records so you can prove the 330 days for each year you claimed the exclusion.
Your business.A UAE company does not remove US tax for a US owner. Expect Form 5471, tax on certain undistributed profits, and self-employment tax if you operate in your own name. Structure this with a US international tax adviser before incorporating.
Before you leave
  • Decide which exclusion test you will meet and from what date
  • Close out state residency properly
  • Confirm your broker will keep your account
  • Tell your UAE employer you are a US person
In your first year
  • File Form 1040 with Form 2555 every year (automatic extension to 15 June abroad)
  • File the FBAR by the same season
  • Give your UAE bank a W-9
  • Count your days abroad precisely

Checked against: IRS: foreign earned income exclusion; IRS: US citizens and resident aliens abroad.

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Moving from Europe

Treaty position differs by country. Germany has none.

There is no single European answer. Each country ends residence its own way, and several charge an exit tax on shareholdings or keep taxing their citizens for years after a move to a low-tax country.

How you stop being tax resident in Europe

  • Ask five questions of your country: how residence ends (days, a home, family, deregistration), whether a UAE treaty is in force, whether there is an exit tax, whether liability is extended after moves to low-tax countries, and what stays taxable at source.
  • Germany: you must give up both your home and your habitual abode. No treaty since 31 December 2021. REPORTED
  • France: residence depends on your home, main place of stay, professional activity or centre of economic interests. Treaty in force.
  • Spain: resident on 183 days, or if your main economic interests are there. A spouse and minor children staying in Spain create a presumption of residence.
  • Italy: deregister and enrol with AIRE. Italy presumes you remain resident if you move to a listed low-tax country unless you prove otherwise. VERIFY whether the UAE is on the current list.
  • Netherlands: residence is judged on durable personal ties. Treaty in force. VERIFY

What Europe can still tax

  • Rent and gains on property in the country, almost always.
  • State and occupational pensions, depending on the treaty.
  • Directors' fees from companies in the country.
  • EU social security coordination does not extend to the UAE, so contribution gaps open in your state pension record.

The traps

  • Germany: exit tax on shareholdings of 1% or more when you leave, and extended limited tax liability on German-source income for 10 years for citizens with substantial German economic interests. REPORTED
  • France: exit tax if you were resident 6 of the last 10 years and hold shares worth more than EUR 800,000 or more than 50% of a company. REPORTED
  • Spain: exit tax on large shareholdings after long residence, and a rule that keeps nationals resident for the year of the move and four more if they move to a listed tax haven. VERIFY the UAE's current status.
  • Netherlands: protective assessments on pensions and on shareholdings of 5% or more. REPORTED

For your situation

Your property back home.Expect a non-resident return every year for rent. In Germany, keeping any dwelling available to you can keep you fully tax resident. Let it on a long lease or sell.
Your pensions.Check the pension article of your country's UAE treaty, if one exists. Without a treaty, as with Germany, the pension is taxed at home under domestic rules.
Your shares, funds and crypto.If you hold a significant stake in a company, model the exit tax before you fix a moving date. In several countries it is payable on departure to a non-EU country with no automatic deferral.
If you move back within five years.Some exit taxes are cancelled or refunded if you return within a set period. Keep all departure filings.
Your business.A company you own at home and now manage from the UAE can shift its tax residence or create a taxable presence in either direction. Take advice in both countries before changing where decisions are made.
Before you leave
  • Take advice from a tax adviser in your country, in writing
  • Deregister formally where your country requires it
  • Model any exit tax on shareholdings
  • Decide what to do with your home
In your first year
  • Obtain a UAE Tax Residency Certificate after 183 days
  • File non-resident returns for property and pension income
  • Keep proof of your UAE home, work and family life
  • Review voluntary pension contributions

Checked against: UAE Ministry of Finance: double taxation agreements; your national tax authority's non-resident pages.

The Tax Residency Certificate

A Tax Residency Certificate (TRC) is the Federal Tax Authority's written confirmation that you are UAE tax resident for a stated period. Foreign tax offices and banks ask for it when you claim treaty relief, for example to have a UK pension paid without UK tax deducted.

It proves UAE residence. It does not prove you have left anywhere. Your home tax office applies its own test first, and a TRC is one piece of evidence in that, never the whole answer.

Step What happens
Where EmaraTax, the FTA portal at eservices.tax.gov.ae, signing in with UAE Pass. OFFICIAL
Which type For treaty purposes (issued for one named country and one period) or for domestic purposes. Choose the treaty type if a foreign tax office asked for it.
When After you have met a residency test for the period you want certified. In practice most people apply once they pass 183 days.
Documents Passport, residence permit, Emirates ID, an entry and exit report from ICP or GDRFA, proof of a home (tenancy contract or title deed), and proof of income or employment. REPORTED
Fees AED 50 on submission. On approval AED 500 if you are registered for corporate tax, AED 1,000 for an individual who is not, AED 1,750 for a company that is not. A printed copy is AED 250. REPORTED
Timing Usually a few working days once documents are complete. REPORTED
Don't rely on this number without checking Fee tiers and the document list are taken from professional firm summaries of the FTA service page, which agree with each other. Confirm on tax.gov.ae on the day you apply.

Foreign income, investments, property and pensions

The UAE side is simple. The other side is where the money goes.

Foreign income

The UAE does not tax an individual's foreign salary, dividends, interest or gains. The source country often does, by withholding at source. US shares are the common example: with no treaty, dividends paid to a UAE resident carry 30% US withholding.

Investments

No UAE tax on private gains or dividends. Watch three things at home: exit charges when you leave (Australia, Canada, Germany, France), anti-return rules if you sell and go back within five years (UK, Ireland), and tax-wrapped accounts you can no longer pay into (UK ISAs, Canadian TFSAs).

Property back home

Rent and sale gains are almost always taxed where the building stands, whatever your residence. Expect withholding on rent, a non-resident tax return, and reporting deadlines on sale. A home you keep available can also be the fact that keeps you resident.

Property in the UAE

Rent you earn personally from UAE property is not taxed, provided the activity does not need a commercial licence. Hold it through a company and corporate tax applies. Buying costs are in the table above.

Pensions

Home-country pensions usually stay within that country's tax net unless a treaty hands the right to the UAE and you claim it. Check state pension rules too: voluntary contributions, and whether annual increases are paid in the UAE.

End-of-service gratuity

Not taxed in the UAE. For a full-time private sector employee it is 21 days of basic wage per year for the first five years and 30 days per year after that, capped at two years' wage. LAW US citizens must report it.

Your UAE bank reports your account to your home tax authority. The UAE exchanges account data under the Common Reporting Standard and, for US persons, under FATCA. Assume your home tax office can see UAE balances and plan on that basis.

Business owners, freelancers and free zones

Every UAE company must register for corporate tax and file a return, including free zone companies and companies that owe nothing. The return is due within nine months of the end of the financial year. Registering late carries a AED 10,000 penalty. OFFICIAL

Estimate your UAE corporate tax and VAT position

A first-pass estimate using the headline rules. It does not replace a computation of taxable income.

Small Business Relief: the conditions the headlines skip

  • Revenue must be AED 3 million or less in the current period and in every earlier period. Cross it once and the relief is gone for good.
  • You must elect for it in the return. It is not automatic, and you still register and file.
  • Qualifying Free Zone Persons and members of large multinational groups cannot use it.
  • Splitting one business into several to stay under the cap is treated as an arrangement to obtain a tax advantage, and the FTA can undo it.
  • Losses and unused interest from a period under the relief do not carry forward.

Free zones are not automatically 0%

A free zone company pays 0% only on qualifying income, and only while it is a Qualifying Free Zone Person. That needs real substance in the zone, audited accounts, transfer pricing compliance, and non-qualifying revenue kept under the lower of 5% of total revenue or AED 5 million. Selling to mainland consumers is the usual way to fail. Fail once and the company is taxed at 9% for that year and the following four. LAW

If you are choosing a structure, our partner Creative Zone handles setup, and the activity list matters more than the zone's marketing. Free zone sales pages are leads, not sources.

The home-country traps for owners

  • A company you left behind can become UAE tax resident if you now manage it from here, and stay taxable at home as well.
  • A UAE company can be pulled into your home country's tax net if key decisions are made on trips back.
  • Many countries tax their residents on profits kept in low-tax foreign companies they control. If you remain resident at home, a UAE company does not fix that.
  • Paying yourself a salary from your UAE company is fine and deductible if it is at a market rate.

VAT in daily life and in business

Treatment What falls in it
5% standard rate Most goods and services: restaurants, electronics, clothing, hotels, telecoms, professional fees, commercial rent, utilities.
0% zero-rated Exports outside the GCC implementing states, international transport, the first sale or lease of a new home within three years of completion, qualifying education and healthcare, investment-grade gold, silver and platinum.
Exempt Residential rent and resale of homes, bare land, local passenger transport, life insurance, and financial services paid for by margin rather than an explicit fee.

Register within 30 days once taxable supplies and imports over the past 12 months pass AED 375,000, or are expected to in the next 30 days. You may register voluntarily from AED 187,500. Residents cannot reclaim VAT on personal spending. Tourists can, through the Planet refund scheme at the airport. OFFICIAL

School fees and most medical care carry no VAT, and neither does your home rent. That is why the 5% barely shows in a family budget. Our cost of living guide has the numbers.

Double taxation agreements

The UAE has one of the widest treaty networks in the world, reported at more than 140 agreements. REPORTED A treaty does not reduce UAE tax, since there is little to reduce. What it does is limit what the other country can charge a UAE resident and settle who wins when both claim you.

Moving from Income tax treaty with the UAE What it means for you
United Kingdom Yes, in force Tie-breaker available. Private pension relief can be claimed with a TRC.
Ireland Yes, in force Tie-breaker available. Can soften the three-year ordinary residence tail.
Australia No Only Australian domestic law applies. No reduced withholding rates.
Canada Yes, but narrow REPORTED The definition of a UAE resident is reported to cover UAE nationals only, so most expatriates pay the full 25% non-resident withholding.
United States No Citizens are taxed on worldwide income regardless. 30% withholding on US dividends for non-US persons.
Germany No, lapsed 31 December 2021 Only German domestic law applies, including its 10-year extended liability.
France, Netherlands, Spain, Italy Yes VERIFY current text Tie-breaker available. Each has its own exit rules. See the Europe result above.

The full list sits on the Ministry of Finance website at mof.gov.ae. Read the treaty for your country before relying on a summary, including this one.

Questions people ask us

Do I need to file a tax return in the UAE as an employee?
Does my UAE residence visa make me non-resident at home?
I work remotely from Dubai for an employer abroad. Who taxes me?
Is rent from my Dubai apartment taxed?
Will the UAE introduce income tax?
Is crypto taxed?
How long should I keep records?
Who should I speak to?

Transparency

Sources and how we checked

UAE rules were checked against Federal Decree-Law 47 of 2022, Cabinet Decisions 49 of 2023 and 85 of 2022, Ministerial Decisions 27 of 2023, 73 of 2023 and 131 of 2026, and Federal Tax Authority guidance. Home-country rules were checked against GOV.UK and HMRC, Revenue (Ireland), the Australian Taxation Office, the Canada Revenue Agency and the IRS, with EY, KPMG, PwC, Deloitte and CMS technical alerts used for interpretation. Free zone and agency marketing pages were not used as sources. OFFICIAL

Where a figure or a condition comes from professional firm summaries rather than a published authority document, we tag it REPORTED. Fee tiers, document lists and penalty amounts are the most likely to have moved since we last checked, so confirm them on the authority site before you rely on them.

Last reviewed: 2 October 2026. Next scheduled review: January 2027.

Related guides: UAE cost of living, UAE banking, UAE business setup, UAE visas, your first 30 days.

Important. This guide is general information, correct to the best of our knowledge on 2 October 2026. It is not tax, legal or financial advice and it cannot take account of your circumstances. Tax rules change and are applied differently to different people. Relocate2UAE and Relocate 2 FZC LLC accept no liability for any loss arising from reliance on this page or its tools. Take advice from a qualified adviser in each country involved before you act. Where a point is in doubt on the UAE legal side, Davidson & Co. would be worth speaking to.

Independent. Partners are named where they are useful to the reader and have not paid for placement. All guides

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