The calculator asks whether your company is registered in the UAE, the company’s name, whether it’s a freezone or mainland company, estimated annual revenue, cost of sales, employee-related expenses, entertainment expenses, and other expenses. 

Yes, after collecting data for the corporate tax estimate, it also gathers information for VAT before sending you the estimate. 

It inquires if your company is registered for corporate tax and VAT, how you manage bookkeeping, whether your company undergoes an annual audit, and some personal details to send the tax estimate. 

The calculator provides an estimated figure. The actual tax liability may vary based on specific company details and current tax regulations.

Yes, tax estimates are subject to change due to updates in tax laws and regulations by UAE government authorities. 

Freezone companies may be eligible for a 0% UAE Corporate Tax (CT) rate on qualifying income, while income not qualifying would be taxed at the standard rate. Mainland companies are subject to the standard tax rates. 

This law, effective for financial years starting on or after 1 June 2023, aligns with international best practices and is expected to have a minimal compliance burden. It introduces specific rules for taxable persons and bases, and tax calculations will be aligned with these provisions. 

Yes, the UAE CT Law allows for certain exemptions like dividends and other profit distributions under specific conditions. It also allows businesses to offset tax losses against taxable income in subsequent periods, but with limitations.

UAE group entities may elect to form a Tax Group, which allows them to file a single tax return for the group and potentially streamline tax administration and liabilities. 

The UAE CT regime uses accounting net profit or loss as reported in financial statements prepared according to accepted UAE accounting standards as the starting point for determining taxable income. Certain expenses may be deductible, but the law also restricts the deduction of some expenses. 

The UAE does not apply corporate tax to personal income, except for business income earned by individuals who hold a commercial license or permit. 

Every taxable person must register electronically for UAE CT, obtain a Tax Registration Number, and file tax returns electronically within prescribed timelines. This requirement applies even if the person is already registered for Value Added Tax. 

The CT Law introduces transfer pricing rules that require transactions between related parties to adhere to the arm’s length standard. This means transactions must be undertaken as if carried out between independent parties under similar circumstances.