Confidentiality of Owners and UBOs

UAE maintains a closed (non-public) Ultimate Beneficial Owner (UBO) registry, a key advantage for business owner privacy:

• The UBO registry is required by UAE regulatory authorities (e.g., DED or Free Zone Authority) but is not public.

Benefits for Business Owners

• Complete confidentiality: ownership details are not publicly accessible unless voluntarily disclosed.

• Protection of personal data: names, nationality, shareholding, passport details, and addresses remain private.

• Convenient for international investors who prioritize privacy in their corporate structure.

Taxes and Obligations for Free Zone Companies Operating Outside the UAE

1. Corporate Tax — 0%
   • UAE introduced a 9% corporate tax in 2023, but Qualifying Free Zone Persons can enjoy 0% tax if conditions are met:
   • Company registered in a Free Zone
   • All operations conducted outside the UAE (e.g., exports, international services)
   • No Mainland operations, or strictly B2B under Free Zone conditions
   • Real economic substance maintained (office, employees, operations)
   • Tax declaration submitted and reporting obligations fulfilled

Result: 0% corporate tax for compliant Free Zone companies.

2. VAT — 0% or Not Required
   • Mandatory VAT registration applies only for turnover above 375,000 AED (~100,000 USD).
   • For export operations (outside the UAE):
   • VAT is 0%
   • If no UAE operations, VAT registration may not be required

   
   

Benefits of This Structure

• 0% taxes on international activities

• No mandatory VAT if operations are outside the UAE

• Minimal reporting and simplified administration

• Eligibility for UAE residency visas

• Full protection of owner confidentiality (UBO not public)