UAE Corporate Income Tax (Including QFZP) Impact Assessment
UAE corporate tax is not just a matter of "9%".
Background
In June 2023, the UAE introduced a federal corporate income tax (CIT 9%) system.
Our client had an existing entity in UAE Free Zone and had operated it as a hub for Middle East business for many years. Traditionally, the company had operated in a substantially tax-free environment, but the introduction of corporate tax created several important issues:
Our client:
Client Challenges
- 1Determination of QFZP eligibility
- 2Confirmation of 9% taxable income
- 3Impact assessment for headquarters planning, accounting, and finance departments
- 4Scope of Qualifying Income
- 5Treatment of Mainland transactions
- 6Related Party transaction restrictions
Biz Easy's Approach
Results
Value Delivered by Biz Easy
The essence of this project lies not in simply explaining the UAE Corporate Tax regime, but in translating regulatory requirements into a clear, decision-making framework based on the client's actual business operations.
Under the UAE Corporate Tax regime, factors such as QFZP (Qualifying Free Zone Person) eligibility, counterparty profile, and revenue structure interact in complex ways. As a result, understanding the regulations alone is often insufficient to determine the actual tax position in practice.
In this project, based on the client’s real business activities and revenue structure, Biz Easy:
- Assessed alignment with QFZP eligibility requirements
- Classified revenue streams and identified Qualifying vs Non-Qualifying Income
- Clarified the tax position under the UAE Corporate Tax regime
- Analyzed implications in relation to the global minimum tax framework (Pillar Two / DMTT)
By structuring fragmented regulatory information into a practical and actionable framework, we enabled management to make informed decisions with clarity and confidence.
Leveraging hands-on experience in Middle East operations, Biz Easy approaches projects from multiple perspectives — regulatory, accounting, tax, operational, and governance — ensuring that outputs go beyond theoretical explanations and serve as practical decision-support tools.
In this case, rather than providing a generic regulatory overview, we defined the client’s tax position based on its actual business structure, enabling a clear and strategic approach to UAE Corporate Tax compliance.
Ideal For
Biz Easy's Strengths
UAE corporate tax is not just a matter of "9%". Rather than scrambling after the system is implemented,
Simulation Model
and Full 9% Application 3-Pattern Analysis
Biz Easy solves your
Middle East and Africa business challenges
