Policy & Legal Updates

UAE Federal Tax Authority Issues Clarification on Free Zone and Designated Zone Status

The UAE Federal Tax Authority published Tax Public Clarification TAXP010 explaining how businesses must assess whether facilities qualify as Free Zones or Designated Zones. The guidance emphasizes that zone definitions differ across Corporate Tax, Value Added Tax, and Excise Tax laws. Qualifying for a 0% Corporate Tax rate requires meeting specific statutory criteria, including separate evaluation from VAT Designated Zone status.

Policy & Legal Updates

Dubai gives building owners 12 months to comply with shared housing rules

Dubai Municipality has introduced new regulations for shared accommodation, giving building owners 12 months to comply. The rules apply to over 40 designated areas, requiring a minimum of five square metres per occupant per bedroom. Non-compliance carries fines ranging from Dh500 to Dh1 million for repeat offences.

Industry News

Gulf Energy Pressures and AI Infrastructure Reshape Asia Trade Finance

International Monetary Fund Managing Director Kristalina Georgieva warned that elevated energy prices will likely persist even after Gulf conflict subsides, with Strait of Hormuz navigation risks hitting Asian and Chinese supplies. Concurrently, senior transaction bankers reported that energy security and AI infrastructure expansion are driving higher working capital requirements and shifting trade finance patterns across Asia.

Policy & Legal Updates

Dubai Municipality Issues Building Guide for Shared Housing in Permitted Areas

Dubai Municipality has released the Planning and Building Requirements Guide for Shared Housing and Permitted Areas to implement Dubai Law No. 4 of 2026. The new guidelines establish updated occupancy and safety standards across more than 44 designated zones. Properties must be categorized strictly for individual or family use, with a minimum bedroom space of 5 square metres per resident.