Small Business Relief (SBR) Under
UAE Corporate Tax

Unlock Small Business Relief in the UAE – What Every Small Business Owner Must Know

Are you a small business owner in the UAE with revenue below AED 3 million? You may now be eligible for no corporate tax under the UAE Small Business Relief scheme — a game-changing initiative designed to reduce the tax burden and simplify compliance for startups and SMEs.

What Is Small Business Relief Under UAE Corporate Tax?

SBR is provided to small businesses resident for Corporate Tax purposes in the UAE to ease their implementation of the Corporate Tax regime. Small business relief reduces the compliance obligations faced by small businesses in the early stages of CT regime, primarily by alleviating the burden of having to calculate and pay Corporate Tax.

Applicable for tax periods beginning June 1, 2023 to December 31, 2026

Who is Eligible?

To qualify for this relief, your business must:

Your total revenue must be equal or less than AED 3 million in a relevant tax period and all previous tax periods that end on or before 31 Dec 2026.
Be a resident person (mainland or Free Zone, excluding Qualifying Free Zone Persons).
Not be a member of a multinational enterprise group.
Not be a Qualifying Free Zone Person electing for 0% tax under Free Zone rules.
Important: Even if you qualify for Small Business Relief, you must still file your corporate tax return.

Key Benefits Of Small Business Relief

✅ No Corporate Tax

Eligible businesses pay no tax on profits up to the revenue threshold.

✅ Simpler Compliance

Relief reduces tax complexity and eases administrative efforts for startups.

✅ Cash Flow Boost

Reinvest tax savings directly back into your business to fuel growth

Eligible tax persons that have elected for the Small Business Relief will benefit from both:

Administrative relief: They will not be required to calculate their Taxable income and will benefit from simplified tax return filing and record keeping requirements including the ability to prepare their Financial statements using the cash basis of accounting
Tax Relief: They are not required to pay any Corporate Tax on income earned in the Tax period.

📝 What you need to do

1. Assess eligibility based on your revenue and structure.
2. Maintain proper books of accounts and documentation.
3. File your Corporate Tax return and elect for SBR.
4. Stay compliant with UAE tax rules to avoid penalties.

📋 Filing Still Required

It’s essential to understand that claiming Small Business Relief does not mean exemption from filing. You must still submit a Corporate Tax return on time and keep all required documentation to prove your eligibility.

📞 Need Help Navigating This Relief?

We help UAE businesses:

✅ Determine eligibility for Small Business Relief
✅ File accurate Corporate Tax returns
✅ Stay compliant with FTA regulations
✅ Avoid fines and penalties

👉 Get in Touch Today!

Don’t miss out on this valuable relief. If your business revenue is under AED 3 million, no need to pay corporate tax.

💬 Chat With us :
+971 50 225 3373

Small Business Relief (SBR) Under UAE Corporate Tax