Corporate Tax for Free Zones
Protect your 0% Free Zone benefit by qualifying — and staying compliant — as a Qualifying Free Zone Person.
Free Zone businesses can continue to benefit from a 0% Corporate Tax rate on their Qualifying Income as a Qualifying Free Zone Person (QFZP). Income that does not qualify is taxed at the standard 9% rate, so understanding exactly which of your activities and revenue streams qualify is essential.
To be — and remain — a Qualifying Free Zone Person, a business must meet several conditions: maintaining adequate substance in the Free Zone, deriving qualifying income, complying with transfer-pricing rules and documentation, satisfying the de minimis requirements for non-qualifying revenue, and not having elected to be subject to standard Corporate Tax. Failing any condition can mean losing the 0% benefit.
We assess your Free Zone status, review your income streams against the qualifying-income criteria, and help you put in place the substance, documentation and processes needed to safeguard your 0% rate.
How we help Free Zone businesses:
- Assessment of Qualifying Free Zone Person (QFZP) status.
- Review of qualifying vs. non-qualifying income.
- De minimis and substance-requirement checks.
- Transfer-pricing compliance for Free Zone entities.
- Registration and Corporate Tax return filing.
Ready to simplify your accounting and tax?
Talk to an FTA-approved tax expert today. We'll help you stay compliant, save time and focus on growing your business.