UAE Tax Glossary
Comprehensive definitions and explanations of UAE tax terminology. Click on any term for detailed information.
UAE Taxes
VAT (Value Added Tax)
5% indirect tax on goods and services. Implemented January 2018.
Learn more →Corporate Tax (CT)
9% tax on business profits exceeding AED 375,000. Implemented June 2023.
Learn more →Excise Tax
Tax on tobacco, energy drinks, and carbonated beverages. Up to 100% rate.
Learn more →Withholding Tax
0% withholding tax on payments to non-residents. UAE has no withholding tax regime.
Learn more →Compliance & Registration
FTA (Federal Tax Authority)
The UAE government body responsible for administering and enforcing federal taxes.
Learn more →TRN (Tax Registration Number)
15-digit unique identifier issued by the FTA to registered businesses.
Learn more →EmaraTax
The FTA's official online portal for tax registration, filing, and payment services.
Learn more →Tax Invoice
FTA-compliant invoice containing TRN, VAT amount, and other mandatory details.
Learn more →VAT Return (Form 201)
Periodic declaration of VAT collected and paid, filed through EmaraTax.
Learn more →Tax Group
Two or more related companies treated as a single taxpayer for VAT purposes.
Learn more →Entity Types & Classifications
QFZP (Qualifying Free Zone Person)
Free Zone entity eligible for 0% Corporate Tax on qualifying income.
Learn more →Free Zone
Special economic zone with specific regulatory and tax benefits for businesses.
Learn more →Designated Zone
Area treated as being outside the UAE for VAT purposes on certain transactions.
Learn more →Taxable Person
Individual or entity registered for VAT or Corporate Tax with the FTA.
Learn more →Related Party
Connected persons or entities requiring arm's length transaction pricing.
Learn more →Permanent Establishment
Fixed place of business through which a foreign entity conducts UAE operations.
Learn more →Tax Calculations & Concepts
Input Tax
VAT paid on business purchases and expenses that can be recovered from the FTA.
Learn more →Output Tax
VAT collected on sales of goods and services that must be remitted to the FTA.
Learn more →Reverse Charge
Mechanism where the buyer (not seller) accounts for VAT on imported services.
Learn more →Zero-Rated Supply
Taxable supply subject to 0% VAT (exports, international transport, etc.).
Learn more →Exempt Supply
Supply not subject to VAT (financial services, residential property, etc.).
Learn more →Transfer Pricing
Rules ensuring related party transactions are at arm's length prices.
Learn more →Small Business Relief
Exemption from Corporate Tax for businesses with revenue below AED 3 million.
Learn more →Tax Agent
FTA-licensed professional authorized to represent taxpayers in tax matters.
Learn more →Need Help with UAE Tax Compliance?
TaxSey simplifies VAT, Corporate Tax, and Excise Tax compliance for UAE businesses