Topic Summary

1. 0% Corporate Tax for Eligible Businesses

Meydan Free Zone offers a full exemption from corporate tax to qualifying companies, providing a significant financial incentive for businesses seeking to optimise their tax liabilities. This 0% rate enhances profitability and allows companies to reinvest earnings more effectively.

2. Robust Regulatory Framework

Operating within a clear and transparent legal environment, Meydan Free Zone ensures compliance with international tax standards while maintaining competitive tax benefits. This framework gives businesses confidence in their long-term operations and governance.

3. Strategic Access to Global Markets

Located in the UAE, Meydan Free Zone benefits from the country’s extensive network of double taxation treaties with over 90 countries. This network minimises the risk of double taxation and facilitates smoother cross-border trade and investment.

4. Comprehensive Business Infrastructure

Meydan Free Zone provides world-class infrastructure, including state-of-the-art office spaces and logistics facilities, supporting operational efficiency. This infrastructure complements the tax advantages, creating an ideal environment for global businesses.

5. Long-Term Financial Efficiency and Stability

With zero personal and corporate income taxes, alongside no restrictions on capital repatriation, Meydan Free Zone promotes financial sustainability for businesses. Its policies ensure that profits can be maximised and securely retained, fostering confident expansion and investment.

The UAE has emerged as a top destination for entrepreneurs and global investors seeking long-term financial efficiency.

With a clear regulatory framework, strong infrastructure, and access to global corporate tax benefits, the UAE offers one of the most competitive tax environments in the world.

Among the free zones, Meydan Free Zone stands out for offering 0% corporate tax to eligible businesses as a recognised Qualified Free Zone (QFZ) under UAE federal law.

Whether you are expanding internationally or launching your first venture in the region, Meydan gives you a legal, tax-optimised path to grow confidently in 2025 and beyond.

UAE Corporate Tax Overview for 2025

Since the introduction of the federal corporate tax in 2023, UAE-based companies are taxed at:

  • 0% on taxable profits up to AED 375,000
  • 9% on profits above AED 375,000, unless exempt

However, this 9% rate does not apply to qualifying income earned by companies in Qualified Free Zones such as Meydan.

Meydan Free Zone is a Qualified Free Zone with 0% Corporate Tax

Meydan Free Zone has been officially recognised as a Qualified Free Zone (QFZ) under the UAE’s corporate tax law.

This means businesses set up here may pay 0% corporate tax on qualifying income, provided they meet the QFZ criteria:

  • Income comes from foreign markets or other UAE free zones
  • No non-qualifying income is earned from mainland UAE unless properly structured
  • Tax filings are submitted on time each year
  • The company is registered with the Federal Tax Authority (FTA)

Meydan Free Zone supports you across all of these steps to ensure compliance and protect your 0% tax eligibility.

Corporate Tax Incentives Available at Meydan Free Zone

Being licensed in Meydan Free Zone unlocks a range of UAE tax incentives, including:

  • 0% corporate tax on qualifying income
  • No personal income tax for business owners
  • No capital gains tax
  • 100% profit and capital repatriation
  • Full foreign ownership with no local partner needed

These free zone tax benefits are ideal for startups, international consultants, tech firms, holding companies, and SMEs looking to operate lean and grow fast.

How to Calculate Corporate Tax in the UAE

If your business is based in the UAE but not in a Qualified Free Zone:

  • First AED 375,000 in profits is tax-exempt
  • All income above that is taxed at 9%
  • You must file tax returns, even if no tax is due

If your business is in Meydan Free Zone and you meet the QFZ criteria:

  • 100% of qualifying income is taxed at 0%
  • Non-qualifying income (such as unstructured mainland sales) is taxed at 9

Meydan Free Zone helps you correctly segregate qualifying and non-qualifying income for full compliance.

Global Corporate Tax Comparison: UAE vs. Other Countries

Country Corporate Tax Rate Free Zone Options Tax Filing Complexity VAT
UAE 0% or 9% Yes (QFZ like Meydan) Low 5%
UK 25% No High 20%
Germany 30%+ No High 19%
Singapore 17% Limited Moderate 8%
USA 21% federal + state No High Varies

With its 0% corporate tax for QFZs, simplified filings, and investor-friendly rules, the UAE offers one of the most attractive corporate tax environments globally.

Meydan Free Zone Corporate Tax Benefits

When you set up your company with Meydan Free Zone, you benefit from:

  • QFZ status with 0% corporate tax on qualifying income
  • Fast business setup in under 60 minutes
  • Access to Meydan Plus (mPlus) for compliance and tax guidance
  • Support for corporate tax registration and filing with the FTA
  • No hidden costs or complicated legal hurdles

This makes Meydan Free Zone’s corporate tax advantages ideal for both solo founders and international companies.

FAQs

1. What is the corporate tax rate in the UAE?​

Businesses pay 0% on profits up to AED 375,000 and 9% above that. However, QFZ companies like those in Meydan may enjoy 0% on all qualifying income.

2. Is Meydan Free Zone a Qualified Free Zone?​

Yes. Meydan Free Zone is officially recognised as a QFZ under UAE federal tax law.

3. Do I still need to file taxes at 0%?​

Yes. All UAE businesses, including those with 0% corporate tax, must register with the FTA and file annual returns.

4. What income qualifies for 0% corporate tax?​

Income earned from outside the UAE or from other free zones, provided the QFZ conditions are met.

5. What happens if I earn income from the mainland?​

This income is generally taxed at 9% unless it is restructured to meet FTA compliance.

6. Is there personal income tax in the UAE?​

No. The UAE does not levy personal income tax or capital gains tax.

7. Can small businesses apply for corporate tax relief?​

Yes. The UAE offers Small Business Relief for companies with revenue under a certain threshold.

8. Does Meydan Free Zone support tax registration?​

Yes. Meydan provides full assistance with FTA registration, returns, and compliance tracking.

9. What documents do I need to register for corporate tax?​

You will need your trade license, financial statements, Emirates ID or passport, and details of your income streams.

10. How does Meydan Free Zone help me remain compliant?​

Meydan Free Zone ensures your business is structured correctly, assists with filings, and offers advice through Meydan Plus.

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