Individuals and UAE Corporate tax
When does Corporate Tax Law apply to natural persons? A natural person refers to a living human person of any age, whether resident in the UAE or elsewhere. For minors or incapacitated individuals, the Corporate Tax obligations shall be fulfilled by their Legal Representative. A natural person is subject to Corporate Tax on their Business […]
UAE Corporate Tax-Interest and entertainment expenses-a case study
XYZ Technology LLC Location: Dubai Extracts from Financial Statements: Break up of G&A expenses: Salaries and employee benefits : 2 million Depreciation : 1 million Hotel expenses for a Customer visit : 100,000 Other Operating expenses : 3.9 million Calculation of Taxable Income and Tax payable: Revenue : 14 million Less: Salaries & benefits : […]
Individual and UAE Corporate tax:Influencer-a case study
A natural person, Mr. A, based in the UAE, creates content on various social media platforms. They earn money from and through these platforms. One source of income comes from collaboration with brand owners to create sponsored content and from participating in brand campaigns. In such collaborations, they negotiate payment terms with the brand, which […]
Case study on UAE Corporate Tax-Taxable Income
ABC Ltd,a company based in the UAE, has the following figures from the profit and loss a/c Revenue AED 20 million Cost of Goods sold AED 9 million General & Admin expenses AED 4 million Entertainment expenses AED 300,000 (not included in G&A exp.) Net profit AED 6,700,000 Break up of entertainment expenditure: (1) Related […]
Documents for UAE Corporate Tax registration
Treatment of Dividend under UAE Corporate Tax
This guide should be read by Taxable Persons who receive Dividends from a Resident juridical person, and income or gains from a Participating Interest. A Taxable Person includes both juridical persons and natural persons where the income is not their Personal Investment income Dividend can be Ordinary, In kind, Other distributions (Redemption and buyback of […]