Ministry of Finance announces new decisions relating to corporate tax for free zones

Ministry of Finance announces new decisions relating to corporate tax for free zones

ABU DHABI, 1st June, 2023 (WAM) – The UAE Ministry of Finance has released two new decisions that together specify the main features of the Corporate Tax regime as it applies to juridical persons operating out of free zones in the UAE.

These include Cabinet Decision No. 55 of 2023 on Determining Qualifying Income, as well as Ministerial Decision No 139 of 2023 on Qualifying Activities and Excluded Activities.

The announcement was made during a press conference held by the Ministry today in the presence of local and international media. Younis Haji Al-Khoori, Undersecretary of the Ministry of Finance, opened the conference with a keynote speech in which he thanked the media for their important role and active contribution during the past months in spreading awareness and accurate information about Corporate Tax.

He addressed the most important aspects of the Corporate Tax legislative phase, which was marked by the issuance of Federal Decree-law on Taxation of Corporations and Businesses, followed by relevant Cabinet and Ministerial Decisions.

He stressed the strategic importance of Corporate Tax in supporting the financial and economic sectors in the country. The conference included a presentation by Shabana Begum, Executive Director of the Tax Policies Sector, on the application of Corporate