E

xpand Your Business in the UAE

Currency:

United Arab Emirates Dirham (AED)

Official Language:

Arabic (English widely used for business)

Ease of Doing Business:

High – Ranked 16th in the World Bank’s Ease of Doing Business 2020 report

Average Time to Set Up a Business:

3–7 business days

Corporate Tax Rate:

0% for Free Zone Companies; 9% for mainland companies (effective from June 1, 2023)

VAT (Standard Rate):

5%

VAT Registration Threshold:

AED 375,000 (approximately $100,000)

Dividend Tax Rate:

0% for Free Zone Companies; mainland companies subject to 9% corporate tax on profits

Personal Income Tax Rate:

0% (No personal income tax in the UAE)

Company + Employer Contributions:

No mandatory payroll taxes, except for UAE Nationals (social security contributions apply)

Minimum Share Capital:

Varies by jurisdiction, typically AED 10,000 (~$2,700), but many free zones require no minimum depos

Bank Account:

Mandatory for business operations; account opening takes 2-4 weeks

Accounting Requirements:

Annual financial reporting required for most free zones and mainland businesses

Audit Requirements:

Mandatory for mainland companies and most free zones

Business License:

Required for all commercial activities; issued by free zones or mainland authorities

Immigration Policy:

Residency visas available through business ownership or employment

Compliance Requirements:

Annual license renewals, bookkeeping, VAT compliance, and economic substance regulations