UAE Corporate Tax Revenue Rose Nearly 34 Percent to Dh46.5 Billion in 2025

Corporate tax revenue collected by the UAE increased by nearly 34 percent to Dh46.5 billion ($12.7 billion) for tax periods ending in the 2025 financial year, up from Dh34.75 billion recorded a year earlier, according to figures released by the Federal Tax Authority (FTA) and reported by The National.

The latest figures brought total cumulative collections since the levy's introduction in June 2023 through the end of 2025 to Dh81.27 billion ($22.1 billion). The corporate tax framework forms part of government efforts to expand the Arab world's second-largest economy's revenue base beyond value-added tax and customs duties, supporting broader diversification away from oil.

Tax compliance rates demonstrated notable progress among registered entities. The proportion of corporate tax returns submitted on time rose to 91 percent, up from 87 percent in 2025, while the on-time tax payment rate reached 97 percent.

Improvements were also recorded across other federal taxes. The timely filing rate for value-added tax returns reached 83 percent with an on-time payment rate of 98 percent. The excise tax return filing rate stood at 92 percent, with an on-time payment rate also reaching 98 percent.

FTA Director General Abdulaziz Al Mulla attributed the gains to greater public awareness and an evolving tax culture among taxable entities, adding that the authority will maintain regular dialogue with industry stakeholders to strengthen the sustainable development of the country's tax system.