GTL Summary:

This article establishes the legal framework for a Withholding Tax (WHT) system in the UAE. It applies to certain categories of State Sourced Income derived by a Non-Resident Person, provided the income is not attributable to their Permanent Establishment in the State. The default WHT rate is set at 0% (zero percent). However, the Cabinet is granted the authority to specify a different rate and to define the specific income categories that will be subject to WHT. The WHT is required to be deducted from the gross payment and remitted to the Authority.

Document Type: Tax Law Article
Law: CIT (FDL No 47 of 2022, as amended)
Article Number: 45
Country: 🇦🇪 UAE
Location: Chapter 13 - Calculation of Corporate Tax Payable
Order: 45
Last updated at: 2025-11-04 11:19:40 UTC

Chapter 13 - Calculation of Corporate Tax Payable

Article 45 - Withholding Tax

  1. The following income shall be subject to Withholding Tax at the rate of 0% (zero percent) or any other rate as specified in a decision issued by the Cabinet at the suggestion of the Minister:

    1. The categories of State Sourced Income derived by a Non-Resident Person as prescribed in the decision issued by the Cabinet pursuant to this Article, insofar such income is not attributable to a Permanent Establishment of the Non-Resident Person in the State.

    2. Any other income as specified in a decision issued by the Cabinet at the suggestion of the Minister.

  2. The Withholding Tax payable under Clause 1 of this Article shall be deducted from the gross amount of the payment and remitted to the Authority in the form and manner and within the timeline prescribed by the Authority.

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Article 44 - Calculation and Settlement of Corporate Tax
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