UAE Tax Calculator — Personal Income & Corporate Tax 2025
Annual Gross Salary
AED 0
Personal Income Tax
AED 0 (0%)
Net Take-Home (Annual)
AED 0
Corporate Tax (9%)
AED 0
Effective Tax Rate
0%
Net Income After Tax
AED 0
How UAE Taxes Work
The United Arab Emirates is renowned for its tax-friendly environment. There is no personal income tax, meaning your entire salary and investment income is yours to keep. This calculator shows your full take-home pay for personal income and also estimates the 9% corporate tax introduced in June 2023 for businesses with taxable income exceeding AED 375,000.
While individuals pay no income tax, the UAE does have other revenue sources: a 5% VAT on most goods and services, excise taxes on tobacco and sugary drinks, municipality fees on rental properties (typically 5% of annual rent in Dubai), and tourism levies on hotel stays. UAE nationals contribute to the General Pension and Social Security Authority (GPSSA), while expatriates receive end-of-service gratuity instead.
For businesses, qualifying free zone entities may benefit from a 0% corporate tax rate on qualifying income. The standard 9% rate is competitive globally. Small businesses with revenue under AED 3 million can elect for simplified small business relief. It is important to note that US citizens working in the UAE must still file US tax returns, though the Foreign Earned Income Exclusion (up to $130,000 in 2025) can significantly reduce US tax liability.
Frequently Asked Questions
Does the UAE have personal income tax?
No, the UAE does not impose personal income tax on individuals. Salaries, wages, and personal investment income are not taxed. This applies to both UAE nationals and expatriates. However, US citizens and green card holders living in the UAE must still file US tax returns on their worldwide income.
What is the UAE corporate tax rate?
The UAE introduced a federal corporate tax effective June 1, 2023. The rate is 0% on taxable income up to AED 375,000 and 9% on income exceeding AED 375,000. Large multinationals with global revenues over EUR 750 million may be subject to a 15% minimum tax under OECD Pillar Two rules.
What about VAT in the UAE?
The UAE charges a 5% Value Added Tax (VAT) on most goods and services since January 2018. Some items are zero-rated (exports, international transport, newly constructed residential property) or exempt (certain financial services, residential property). Businesses with taxable supplies over AED 375,000 must register for VAT.
Are there any other taxes in the UAE?
While there is no personal income tax, the UAE has: 5% VAT, excise tax (50-100% on tobacco, energy drinks, sugary drinks), municipality fees on rental properties (varies by emirate, typically 5% of annual rent in Dubai), tourism fees on hotel stays, and customs duties (typically 5%). Free zone companies may have special tax arrangements.