Latest / GENZONE / BREAKING: UAE Extends 0% Tax Relief for Small Businesses Until 2029 🇦🇪

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BREAKING: UAE Extends 0% Tax Relief for Small Businesses Until 2029 🇦🇪 · GENZONE

• 0:00
  SPEAKER_00: This is breaking news for the UAE.
• 0:03
  SPEAKER_00: I am so happy to share this news with you guys because it is actually something that I kind of expected to happen.
• 0:09
  SPEAKER_00: So the UAE has officially extended the Small Business Relief Program until the end of 2029.
• 0:16
  SPEAKER_00: This means you're gonna save money if you are qualifying as a small business.
• 0:20
  SPEAKER_00: Now, who qualifies?
• 0:21
  SPEAKER_00: This is for businesses earning less than 3 million AED annually, which is 816,000 US dollars.
• 0:29
  SPEAKER_00: So that means if you're already registered or will register now before anything changes, you will qualify for 0% corporate tax if your corporate revenue is under 3 million Durhams.
• 0:40
  SPEAKER_00: So to give you an example, let's say you made 2.9 million Durhams, or let's say you made exactly 3 million Durhams, right?
• 0:48
  SPEAKER_00: No matter what your net profit is, you pay 0% in corporate taxes.
• 0:53
  SPEAKER_00: Now whatever money is left in the company, you can then pay it out to yourself personally as a dividend, and you pay 0% income tax on that as well.
• 1:01
  SPEAKER_00: So it's a full 0 and 0% tax, which is insane.
• 1:07
  SPEAKER_00: As you guys know, this is something that we all expected to leave.
• 1:10
  SPEAKER_00: I kind of thought that they would extend it, um, but most people did not think so.
• 1:14
  SPEAKER_00: Now I gave you an example where you made 3 million flat.
• 1:17
  SPEAKER_00: Again, you pay 0% tax.
• 1:19
  SPEAKER_00: What if you made 3.1 million?
• 1:21
  SPEAKER_00: Well, if you made 3.1 million, you are no longer qualified as a small business, which means that now the government will not look at your revenue, but they will look at your net profit and they will say, Okay, sounds good.
• 1:32
  SPEAKER_00: You're not a small business.
• 1:33
  SPEAKER_00: What is your net profit?
• 1:34
  SPEAKER_00: If your net profit is above 375,000 Durham's, which equals to around 102,000 US dollars, then you will get taxed a 9% corporate tax on the amount of net profit that you have that exceeds, that goes above 102,000 US dollars.
• 1:52
  SPEAKER_00: The first 102,000 US dollars is still tax-free.
• 1:56
  SPEAKER_00: The salaries that you pay yourself are still tax free, of course, right?
• 2:00
  SPEAKER_00: Let's say you made um, you know, 1 million US dollars, then you're not a small business.
• 2:04
  SPEAKER_00: Let's say you had expenses, salaries, etc., and it reduced your net profit down to$200,000 in net profit, then you will pay 9% on the amount that exceeds the 102,000 US dollars.
• 2:18
  SPEAKER_00: So in this case, it would be 98,000 times 9%.
• 2:21
  SPEAKER_00: That's what your corporate tax is.
• 2:23
  SPEAKER_00: The first 100k, 102k is still tax free.
• 2:27
  SPEAKER_00: So three more years of this beautiful small business relief program for entrepreneurs and business owners to take advantage of, and who knows, it could even get extended even further.
• 2:37
  SPEAKER_00: This is a true sign of the UAE's leadership showing that it really wants its people, its residents, to save and make as much money as possible to better their lives and better the economy as well.
• 2:49
  SPEAKER_00: If you're coming to Dubai, you're growing your business, you're investing in Dubai.
• 2:53
  SPEAKER_00: Now, if you guys are looking to set up a company, then you can do it with GenZone here.
• 2:57
  SPEAKER_00: We will do the entire process for you.
• 2:59
  SPEAKER_00: Set up your company, get your residency visa, set up your bank accounts, everything you need in one shop, even your accounting, bookkeeping, and compliance.
• 3:06
  SPEAKER_00: If you want to learn more, you can click the link down below to book a free call with us.
• 3:11
  SPEAKER_00: Or of course, you can go directly to our portal and get started right away.
• 3:15
  SPEAKER_00: And you can just set up your company.
• 3:16
  SPEAKER_00: If you have any questions, once you get started, you'll have a dedicated group chat with our team.
• 3:21
  SPEAKER_00: It'll be created, it'll be on WhatsApp, and we will answer all of your questions.
• 3:25
  SPEAKER_00: So if you have any other questions, comment them down below.
• 3:28
  SPEAKER_00: Otherwise, we will see you there.