Taxes – UAE

This page lists the main taxes applicable in the UAE.

Main taxes applicable in the UAE

VAT

The UAE introduced VAT on January 1, 2018. Applicable rates are 0% and 5%.

Corporate Tax

Corporate Tax (CT) was introduced in the UAE starting in 2024. Rates are 0% and 9%, with the 9% rate applying above AED 375,000 in annual profits.

Dividends and Payroll
  • Withholding tax on dividends: None (both within the UAE and internationally).
  • Social security contributions: None in the UAE. However, all UAE residents are now required to hold local health insurance (from AED 1,000/year).
  • Pension contributions: None — and consequently no future pension entitlement.
Customs Duties

Customs duties on goods imported into the UAE are generally 5%, rising to 50% on alcohol and 100% on cigarettes.

Excise Tax (since 2019)
  • 50% on carbonated drinks
  • 100% on energy drinks
  • 100% on e-cigarette devices
  • 100% on e-cigarette liquids
  • 50% on products with added sugar or other sweeteners