Nonresidents are taxed on their UAE-sourced income. Married couples are taxed separately.

Income Tax

The UAE does not impose income tax on individuals.

Rental Income Tax

Non-Resident Individuals

Net rental income earned by nonresidents is not taxed in the UAE.

Resident Companies

Income and capital gains earned by companies are subject to corporate income tax at a flat rate of 0% to 9%, depending on the emirate and specific regulations. Income-generating expenses are deductible when calculating taxable income.

Non-Resident Companies

Income and capital gains earned by non-resident companies are taxed at a flat rate of 0% to 9%. Income-generating expenses are deductible when calculating taxable income.

Capital Gains Tax

The UAE does not impose capital gains tax on individuals or companies.

Corporate Taxation

Income Tax

Income and capital gains earned by companies are taxed at a flat rate of 0% to 9%, depending on the emirate and specific regulations. Income-generating expenses are deductible when calculating taxable income. Rental income received by corporations is considered business income and is subject to the corporate tax rate.

Property Taxation

The UAE does not impose property tax on real estate. However, there are other fees and charges associated with property ownership and transactions.

Municipal Fees

Some emirates levy municipal fees on property owners, typically as a percentage of the property´s annual rental value. These fees can vary by emirate and are used to fund local infrastructure and services.

Property Buying Costs and Taxes in UAE

Transaction Costs

Description	Cost Range	Who Pays
Property Transfer Tax	4%	Buyer
Agent Fee Buyer	2%	Buyer
Agent Fee Seller	2.00% - 3.00%	Seller
Legal Fees	1%	Buyer
Notary Fees	-	Buyer
Roundtrip Cost	9.00% - 10.00%