United Arab Emirates (AE)
The United Arab Emirates is a federation of seven emirates — Abu Dhabi, Dubai, Sharjah, Ajman, Umm Al Quwain, Ras Al Khaimah, and Fujairah — that has transformed from a pearl-diving and fishing economy into one of the world's most modern and cosmopolitan nations within a single generation.
2026 Annual Changes — United Arab Emirates
Updated thresholds, benefits, and regulatory changes effective this year.
The UAE enters 2026 with its corporate tax regime fully bedded in (9% above AED 375,000 since June 2023), VAT at 5%, and continued expansion of long-term residence programmes. Key 2026 changes: CBUAE base rate cut to 3.65% in December 2025; Small Business Relief expires December 2026; Emirati minimum wage raised to AED 6,000/month; mandatory e-invoicing coming mid-2026; new WPS resolution from June 2026; and end-of-service gratuity savings scheme remains voluntary. Petrol prices fluctuate monthly.
Key Changes for 2026
| Category | 2026 Value | Previous | Effective Date |
|---|---|---|---|
| Tax Corporate Tax Rate — confirmed unchanged | 9% on taxable income above AED 375,000. Effective 0% on income up to AED 375,000. | 0% (pre-June 2023) | June 2023 (ongoing in 2026) |
| Tax VAT Rate — unchanged | 5% standard rate; zero-rated for healthcare, education, basic food items, and exports | 5% (unchanged since January 2018) | January 2018 (ongoing) |
| Tax Corporate Tax Small Business Relief — expires end of 2026 | Revenue under AED 3,000,000 qualifies for Small Business Relief (0% effective rate) for tax periods ending on or before 31 December 2026. No extension announced — businesses on SBR will enter the standard 9% regime from 2027. | AED 3,000,000 threshold (confirmed for FY2025 and FY2026) | Effective through 31 December 2026 only |
| Tax EmaraTax VAT filing deadlines — unchanged | Monthly filers: 28th of following month. Quarterly filers: 28th of month after quarter end. Online filing only via EmaraTax portal. | — | Ongoing 2026 |
| Tax Mandatory e-invoicing — rolling out mid-2026 | FTA mandatory e-invoicing regime launching mid-2026. All businesses including freelancers will be required to issue structured electronic invoices. Phase-in schedule by company size announced by FTA. | — | Mid-2026 (phased rollout) |
| Employment Emirati Minimum Wage — new requirement for 2026 | AED 6,000/month minimum salary for Emiratis under new or renewed work permits from 1 January 2026. Existing employees must reach this level by 30 June 2026. | No statutory Emirati minimum wage previously | 1 January 2026 |
| Employment MOHRE Wage Protection System (WPS) — new resolution effective June 2026 | Ministerial Resolution No. 340 of 2026 (effective 1 June 2026) replaces prior WPS framework. Key changes: unified salary deadline of the 1st of each month (previous 15-day grace period abolished); 85% compliance threshold rule introduced. WPS is mandatory on mainland; major free zones (DMCC, JAFZA) have integrated systems — not yet uniformly applied to all free zones. | Resolution No. 598 of 2022; 15-day grace period applied | 1 June 2026 |
| Employment MOHRE Non-statutory Wage Benchmarks (reference only) | No universal statutory minimum wage for expatriates. Internal MOHRE guidance benchmarks: skilled workers (university degree): AED 12,000/month. Technicians: AED 7,000/month. Unskilled: AED 4,000/month. | — | Ongoing 2026 (under review) |
| Employment End-of-Service Gratuity (EOSG) — Savings Scheme remains voluntary | Alternative EOSG Savings Scheme (Cabinet Resolution No. 96/2023) remains voluntary for private sector employers as of 2026. MoHRE consultation closed February 2026 on potential mandatory expansion — no mandatory rollout enacted yet. Traditional EOSG still applies: 21 days/year (first 5 years), 30 days/year (5+ years). | Voluntary pilot since 2023; fewer than 15% of mainland employers enrolled | Watch for Cabinet Resolution expanding scope in 2026-2027 |
| Housing RERA Rental Index — Dubai Rent Cap | Landlords may increase rent by up to 20% if current rent is ≥40% below market rate per RERA rent calculator. No increase permitted if rent is within 10% of market rate. RERA rent calculator at dubailand.gov.ae updated January 2026 reflecting continued rent rises in key areas. | — | January 2026 index update |
| Housing Ejari Annual Registration Fee — Dubai | Online via Dubai REST app: AED 120 total (AED 100 base + AED 10 Knowledge Fee + AED 10 Innovation Fee). In-person at Trustee/Typing Centre: approximately AED 220–235 total. | Same fee structure (minor component adjustments) | Ongoing 2026 |
| Transport UAE Petrol Prices (Monthly Review) | Petrol prices set monthly by the UAE Fuel Price Committee. January 2026 rates: Super 98: AED 2.53/litre; Special 95: AED 2.42/litre; E-Plus 91: AED 2.34/litre; Diesel: AED 2.55/litre. Check ENOC/ADNOC announcements each last Wednesday of the month for the following month. | December 2025: Super 98 AED 2.70, Special 95 AED 2.58, E-Plus 91 AED 2.51, Diesel AED 2.85 | Monthly adjustment (1st of each month) |
| Transport Dubai Metro Route 2020 (Orange Line) — fully operational | Orange Line connects EXPO 2020 Dubai station to Jebel Ali, Dubai Investment Park, Discovery Gardens, and Al Furjan. Ridership growing steadily. | — | Ongoing 2026 |
| Transport Salik Toll System | Dubai Salik toll: AED 4 per crossing. Monitor RTA announcements for any new gate locations. | AED 4/crossing (unchanged since Salik expansion in 2023) | Ongoing 2026 |
| Utilities DEWA Electricity Tariff — Expatriates | Tier 1 (0–2,000 kWh/month): AED 0.23/kWh. Tier 2 (2,001–4,000): AED 0.28/kWh. Tier 3 (4,001–6,000): AED 0.32/kWh. Tier 4 (6,001+): AED 0.38/kWh. Plus fuel surcharge ~AED 0.060/kWh + 5% VAT. UAE nationals receive subsidised rates. | — | Reviewed annually |
| Immigration Golden Visa — Property Investment Threshold | AED 2,000,000 minimum property valuation for 10-year self-sponsored Golden Visa. Off-plan properties included with developer confirmation letter. February 2026 update: requirement to have paid 50% of a mortgaged property's value removed — eligibility now based solely on DLD-certified valuation reaching AED 2 million. | AED 2,000,000 (set 2022); off-plan confirmed 2024; 50% mortgage payment requirement removed Feb 2026 | Ongoing 2026 (mortgage rule updated February 2026) |
| Immigration Green Visa for Skilled Professionals | UAE Green Visa (5-year self-sponsored): skilled employees earning AED 15,000+/month with qualifying degree. Freelancers/self-employed earning AED 360,000+/year (AED 30,000/month equivalent). No employer sponsor required. | — | Ongoing 2026 |
| Immigration Digital Nomad Visa — Documentation Tightened | Bank statement requirement doubled from 3 to 6 consecutive months of statements required for new applications from January 2026. | 3 months bank statements | 27 January 2026 |
| Education KHDA School Fee Cap — Dubai | Fee increases permitted based on inspection rating: Outstanding schools: up to 6%; Good: up to 3%; Acceptable or below: 0%. Based on most recent KHDA inspection result. | — | Academic year 2025-2026 (September 2025 intake) |
| Education ADEK School Fee Cap — Abu Dhabi | Tiered fee increase caps: up to 5% for outstanding schools. Based on most recent ADEK inspection result. | — | Academic year 2025-2026 |
| Finance CBUAE Interest Rate | CBUAE Base Rate tracks the US Federal Reserve due to AED-USD peg. Rate as of January 2026: 3.65% (cut from 3.90% on 11 December 2025, following Fed easing cycle). Affects mortgage rates and savings accounts. | Peaked at 5.40% in 2023-2024; 3.90% in Oct-Dec 2025 | 11 December 2025 (adjusted with each US Fed decision) |
| Finance AECB Credit Score | Basic credit score check: AED 10.50 via AECB app. Full credit report: AED 84. No free annual report available. | — | Ongoing 2026 |
January Checklist
Actions to take each January when new rates take effect.
- 1
Check updated petrol prices (released last Wednesday of December for January rates).
- 2
Review corporate tax obligations — confirm FTA registration is current and check Small Business Relief eligibility before it expires 31 December 2026.
- 3
If you employ Emiratis, confirm they are being paid at least AED 6,000/month; deadline for existing employees is 30 June 2026.
- 4
Review RERA rent calculator for 2026 market rates if your lease renews this year.
- 5
Confirm DEWA tariff rates and check winter energy usage patterns.
- 6
Review health insurance: confirm new-year activation and employer policy renewal.
- 7
Check for KHDA/ADEK school fee increase notices — usually released December/January.
- 8
Check if your UAE residence visa expires in 2026 — begin renewal 2 months early.
- 9
Review vehicle Mulkiya renewal dates and schedule car inspection if due.
- 10
Check Golden Visa eligibility — the 50% mortgage payment requirement was removed in February 2026.
- 11
For businesses: review VAT return filing calendar for Q1 2026 and prepare for e-invoicing rollout mid-year.
- 12
Check CBUAE base rate (3.65%) and impact on any variable-rate mortgage or savings account.
Where to Track Annual Changes
-
Federal Tax Authority (FTA) — tax.gov.ae: Corporate tax, VAT, EmaraTax, e-invoicing updates
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ICP Federal Authority — icp.gov.ae: Visa categories, requirements, and fee changes
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MOHRE — mohre.gov.ae: Labour law, WPS, employment regulations
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RTA Dubai — rta.ae: Metro, driving licence, vehicle registration, Salik updates
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DEWA — dewa.gov.ae: Utility tariff updates
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RERA / DLD — Dubai REST app or dubailand.gov.ae: Rent index, Ejari, property regulations
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KHDA — khda.gov.ae: Dubai school fee caps and inspection ratings
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UAE Fuel Price Committee — ENOC/ADNOC announce monthly petrol prices on the last Wednesday of each month
-
UAE Government — u.ae: Cabinet decisions and new laws
The UAE regulatory environment evolves rapidly. Cabinet Resolutions can be effective immediately. Subscribe to FTA, ICP, and MOHRE email alerts. Free-zone and mainland rules differ significantly — consult a UAE-licensed legal or tax adviser for major financial decisions.
Annual Changes
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