Last reviewed 6 August 2026
UAE tax updates that actually affect you
Summarised from Federal Tax Authority and Ministry of Finance announcements — no press-release padding, just what changed and what to do.
Deadline · e-invoicing
E-invoicing is coming: pilot starts July 2026, big firms go live 1 January 2027
The UAE's national e-invoicing system begins its pilot phase in July 2026 with the largest taxpayers. Businesses with revenue of AED 50M+ must appoint an accredited service provider by 30 October 2026 (extended from 31 July) and issue e-invoices from 1 January 2027. Everyone else follows by 1 July 2027. If you invoice B2B in the UAE, this touches you regardless of VAT registration.
Sources: Ministry of Finance · KPMG summary
Relief · corporate tax
AED 10,000 late-registration penalty waiver — window closed 31 July 2026
The FTA's penalty-waiver initiative cancelled (or refunded) the AED 10,000 late-registration fine for businesses that filed their first return within 7 months of their first tax period's end. For December year-ends, that window closed on 31 July 2026. If you filed in time, any paid penalty is credited back to your EmaraTax account automatically. If you missed it, the penalty stands — check the penalty calculator.
Source: Federal Tax Authority
Expiring · Small Business Relief
2026 is the last year of Small Business Relief
The election that lets businesses with revenue ≤ AED 3M pay zero corporate tax applies only to tax periods ending on or before 31 December 2026. If you qualify, this is the final year to use it — and if your revenue is hovering near AED 3M, the timing of Q4 invoices has real tax consequences. Details in our Small Business Relief guide.
Source: Ministerial Decision No. 73 of 2023 · Ministry of Finance
Rates · multinationals
15% minimum tax now applies — but only to the giants
Since January 2025, multinational groups with global revenue over €750M pay a Domestic Minimum Top-up Tax bringing their effective UAE rate to 15% (the OECD "Pillar Two" rules). If you're an SME, nothing changes for you: the 0% / 9% bands remain your regime. It matters mainly if you're part of a large international group.
Source: Ministry of Finance
Reminder · freelancers
Natural persons over AED 1M turnover: you're in scope
Individuals conducting licensed business (freelancers, sole establishments) whose turnover exceeded AED 1M in a calendar year must register for corporate tax — the deadline is 31 March of the following year. Below AED 1M, or for salary and personal investment income, there's nothing to do.
Source: Federal Tax Authority