The relief had been introduced to reduce the corporate tax compliance burden on smaller businesses and start-ups that meet the required conditions.
Dh3 million threshold remains
The existing Dh3 million annual revenue threshold set under Ministerial Decision No. 73 of 2023 will remain unchanged.
It applies to tax periods beginning on or after June 1, 2023 and, following the latest amendment, will continue to apply to subsequent tax periods ending on or before December 31, 2029.
Eligible taxable persons whose annual revenue does not exceed Dh3 million can claim Small Business Relief, subject to the conditions and requirements set out in the corporate tax legislation.
The relief allows qualifying businesses to benefit from simplified corporate tax compliance requirements.
More time for small businesses
The extension gives eligible small businesses and start-ups additional tax periods in which they can make use of the relief while remaining within the Dh3 million revenue threshold.
The Ministry said the decision forms part of its efforts to support smaller companies and entrepreneurs, strengthen the business environment and encourage businesses to grow and expand.
Nivetha Dayanand is Assistant Business Editor at Gulf News, where she spends her days unpacking money, markets, aviation, and the big shifts shaping life in the Gulf. Before returning to Gulf News, she launched Finance Middle East, complete with a podcast and video series.
Her reporting has taken her from breaking spot news to long-form features and high-profile interviews. Nivetha has interviewed Prince Khaled bin Alwaleed Al Saud, Indian ministers Hardeep Singh Puri and N. Chandrababu Naidu, IMF’s Jihad Azour, and a long list of CEOs, regulators, and founders who are reshaping the region’s economy.
An Erasmus Mundus journalism alum, Nivetha has shared classrooms and newsrooms with journalists from more than 40 countries, which probably explains her weakness for data, context, and a good follow-up question.
When she is away from her keyboard (AFK), you are most likely to find her at the gym with an Eminem playlist, bingeing One Piece, or exploring games on her PS5.
