FTA Guide on Determination of Taxable Income

The Federal Tax Authority (FTA) in the United Arab Emirates (UAE) has recently released a comprehensive guide on calculating taxable income and corporate tax liability. This guide offers extensive guidance through explanations and case studies regarding the tax treatment of various income streams and expenses. The topics covered in the guide are essential for all taxpayers in the UAE to understand their tax positions, particularly those that may impact their tax provisioning and returns.

In light of this, our UAE business tax team hosted a webinar, where they discussed the following topics:

• An overview of the calculation of taxable income and corporate tax liability.
• Clarifications on the taxability of various income streams and the deductibility of expenses.
• Key concepts related to the determination of taxable income, illustrated with examples.
• Key takeaways and open issues.