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UAE Extends Corporate Tax Small Business Relief Through December 2029

The UAE Ministry of Finance has extended the corporate tax Small Business Relief regime through 31 December 2029 under Ministerial Decision No. 131 of 2026. Resident businesses with annual revenue up to AED 3 million remain eligible for nil taxable income treatment. Businesses electing the relief must still register with the Federal Tax Authority and file annual returns.

Issuing authority
UAE Ministry of Finance
Jurisdiction
United Arab Emirates
Stage
Amendment
Official document
Ministerial Decision No. 131 of 2026
Official source
www.taxinme.com

The UAE Ministry of Finance has extended the corporate tax Small Business Relief regime by three years through 31 December 2029 under Ministerial Decision No. 131 of 2026, according to TaxINME.

Eligible resident taxable businesses with annual revenue not exceeding AED 3 million continue to qualify for nil taxable income treatment under the extended relief.

Taxpayers choosing to elect the relief are still required to register with the Federal Tax Authority and file annual corporate tax returns.

Tax advisers cited in the report caution that businesses carrying operational losses must evaluate elections carefully, as claiming the relief forfeits carried-forward tax loss benefits.

Sources

The UECN Brief

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