About New Corporate TAX 15% of large multinational corporations

Corporate tax law in the UAE imposes a standard corporate tax rate of 9% on taxable income exceeding AED 375,000. However, 15% corporate tax applies to multinational corporations meeting specific criteria outlined in the OECD’s Pillar Two framework for the Global Minimum Tax Rate. This framework targets large multinational entities with consolidated global revenues of at least EUR 750 million, ensuring they pay a minimum level of tax on their profits globally. This marked a significant shift in the UAE’s fiscal policy, which previously relied heavily on indirect taxes like VAT and customs duties.