Tax, Accounting & Compliance

UAE Small Business Relief expires after 31 December 2026, and no extension has been announced. From 2027, businesses that previously paid zero Corporate Tax under SBR will move into the standard 9% regime on taxable income above AED 375,000. For SME owners, consultants, and family businesses across the UAE, 2026 is no longer just a compliance year, it is the last window to plan, restructure, and prepare before the tax burden begins.

The UAE’s tax penalty framework changed significantly on 14 April 2026, replacing the old compounding structure with a flat 14% per annum rate applied monthly across VAT, Excise Tax, and Corporate Tax. For UAE businesses, this means greater predictability in compliance planning, but also a clearer cost of delay. Here is what the new FTA penalty regime means for your business and what you should do before your next filing cycle.

MD 229 & 230 of 2025 expand QFZP qualifying activities and pricing rules for UAE free zone businesses. Check your 0% Corporate Tax status now.

The Emirates Development Bank is deploying AED 8–9 billion in financing in 2026 to accelerate UAE industrial growth, part of over AED 26 billion deployed since Operation 300bn launched in 2021. For businesses in manufacturing, healthcare, food security, and advanced technology, this represents a major opportunity to access long-term, government-backed funding. Here is who qualifies, how the application process works, and how to position your business to secure EDB financing.

The UAE Economic Substance Regulations (ESR) are no longer an active standalone compliance regime for financial years ending after 31 December 2022. Under Cabinet Decision No. 98 of 2024, businesses no longer need to file ESR notifications or reports for 2023 onwards. However, economic substance requirements still exist through the UAE Corporate Tax framework, especially for free zone businesses seeking Qualifying Free Zone Person (QFZP) status and the 0% Corporate Tax rate.

The UAE Corporate Tax regime does not automatically exempt free zone companies from tax. To access the 0% Corporate Tax rate, businesses must qualify as a Qualifying Free Zone Person (QFZP) under strict conditions. This guide explains the updated 2025 rules, qualifying activities, de minimis limits, substance requirements, and common compliance risks.