UAE Announces Major New Tax Law Changes
The UAE has announced a change to tax laws exempting certain companies from paying a mandatory Corporate Tax fee.
The Ministry of Finance unveiled a new decision by the UAE Cabinet new relating to Qualifying Public Benefit Entities.
It is designed to ensure that companies and organisations operating for the wider public benefit don’t have to pay the tax.
Qualifying public benefit entities are established for the welfare of the public and society, focusing on activities which contribute to the fabric of the UAE.
This implementing decision is designed to reflect these entities’ important role in the UAE, which often includes organisations with a focus on:
- Religion
- Charitable
- Science
- Education
- Culture
To be eligible for UAE Corporate Tax exemption, these entities must meet the conditions under Article (9) of the Corporate Tax Law and they must continue to comply with all relevant federal and local laws and notify the Ministry of Finance of any changes occurring to these entities that impact their status as a Qualifying Public Benefit Entity.
