United Arab Emirates is known as business hub in Middle East, because of its geographical location it play a huge role in trading and transport of goods and people. The UAE has develop a sustainable infrastructure which help import and exporter to do trade through UAE. till now the UAE is known as places for tax saving there no corporate tax, No income Tax and few years before there no VAT as well.
The UAE will introduce a federal Corporate Tax on business profits effective for financial years starting on or after 1 June 2023. The UAE Corporate Tax regime has been designed to incorporate best practices globally and minimise the compliance burden for UAE businesses.
Given the position of the UAE as a global financial centre
and an international business hub, the UAE Corporate Tax regime will support
investment and headquarters activities and ensure the free flow of capital,
trade, financing, and services.
His Excellency Younis Haji Al Khoori, Undersecretary of
Ministry of Finance (MoF), “As a leading jurisdiction for innovation and
investment, the UAE plays a pivotal role in helping businesses grow, locally
and globally. The certainty of a competitive and best in class Corporate Tax
regime, together with the UAE's extensive double tax treaty network, will
cement the UAE's position as a world-leading hub for business and investment.
The introduction of a Corporate Tax regime will help the UAE achieve its strategic
ambitions and incentivise businesses to establish and expand their activities
in the UAE,"
With a standard statutory tax rate of 9% and a 0% tax rate
for taxable profits up to AED 375,000 to support small businesses and startups,
the UAE Corporate Tax regime will be amongst the most competitive in the world.
Source: https://www.mof.gov.ae/en/media/materials/News/Pages/31012022.aspx
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