Corporate Tax assessment
Review of business activity, turnover, registration date, deductible expenses, taxable income and filing obligations for the calendar year.
Professional and freelancer advisory
Tax and Accounting Support for UAE Individual Professionals
Freelancers, consultants and sole establishment owners can have Corporate Tax and VAT obligations even when they do not operate through a limited company. Personal and business transactions must be separated from the first day.
Partner led advice · UAE focused analysis · Review ready records
Structure specific support
An individual can be a taxable business person
A natural person is generally subject to UAE Corporate Tax when carrying on a business or business activity in the UAE and total turnover from those activities exceeds AED 1 million in the calendar year. Wages, personal investment income and real estate investment income are not treated as business activity for this threshold when the statutory conditions are satisfied.
VAT is a separate test with different thresholds and transaction rules. CBMC separates personal and business activity, organises records, assesses registration, prepares returns and provides management reporting that helps the professional understand cash, tax and profitability.
This page is relevant for
- Freelancers and independent consultants
- Sole establishments and individual licence holders
- Doctors, engineers, designers, advisers and other professionals
- Content creators, technology specialists and project based contractors
- Individuals with cross border clients or more than one income source
Services for this structure
Practical support for owner managed activity
The service is designed to keep records simple, separate and sufficient for filing, banking and commercial decisions.
Bookkeeping and expense control
Separate business ledger, bank and card reconciliation, invoice capture, expense categories, asset records and owner drawings.
VAT registration and returns
Threshold monitoring, registration, tax invoice setup, return preparation, input tax review and reconciliation with professional income.
Annual tax return support
Tax computation, return preparation, supporting schedules, payment planning and retention of records for the required period.
Cross border and residency review
Review of client location, permanent establishment, foreign tax exposure, residence evidence and documentation needed for treaty or certificate applications.
Cash and pricing advice
Income forecast, tax reserve, expense budget, fee and margin review and a simple monthly dashboard for the owner.
UAE considerations
Personal and business rules must not be mixed
The main compliance risk is incomplete evidence where personal accounts, business receipts, investment income and expenses are combined.
AED 1 million turnover test
A natural person generally enters Corporate Tax when UAE business turnover exceeds AED 1 million in a Gregorian calendar year. The test is based on turnover rather than accounting profit.
Excluded income categories
Wages, personal investment income and real estate investment income are outside the natural person business test when they meet the definitions and conditions in the legislation.
Registration deadline
A natural person who exceeds the threshold can have a registration deadline of 31 March following the relevant calendar year under the current FTA framework.
Corporate Tax rates
Taxable income is generally subject to zero percent up to AED 375,000 and nine percent above that amount after applying the relevant tax rules and deductions.
VAT is separate
VAT registration generally becomes mandatory when taxable supplies and imports exceed AED 375,000, with voluntary registration potentially available above AED 187,500.
Business expense evidence
Expenses should be incurred wholly and exclusively for the business, properly documented and separated from private costs. Mixed expenses require a reasonable business allocation.
Information we organise
Keep a clean business file outside personal finances
A separate bank account and consistent invoice process reduce filing time and make deductible expenses easier to support.
Professional licence, permits, client contracts and scope of work
Business bank and card statements separated from personal accounts
Sales invoices, receipts, payment platform statements and customer location evidence
Supplier invoices, travel, software, equipment and workspace expense records
VAT registration, returns, tax invoices and turnover monitoring schedule
Calendar year income summary, asset register, tax computation and filing confirmations
How we work
A controlled process with clear ownership
Every stage has a defined purpose, required information, review point and practical output.
Income separation
We identify business income, wages, investments, property and other receipts and document the correct category.
Registration review
Corporate Tax and VAT thresholds, deadlines and prior period risks are assessed.
Simple monthly records
Income, expenses, bank transactions and tax reserves are reconciled through a proportionate bookkeeping process.
Annual filing
The tax computation and return are prepared from the reconciled calendar year records with payment planning.
Engagement output
A simple and complete owner tax pack
The professional receives clear numbers, filing support and a practical method for maintaining records going forward.
Corporate Tax and VAT registration assessment
Calendar year income and expense ledger with reconciled bank balances
Tax computation, return schedules and payment estimate
Monthly tax reserve and cash flow dashboard
Record retention and invoice checklist for future periods
Why CBMC
Partner led work with one accountable standard
Tax, accounting, audit and finance work are coordinated around one reconciled source of information.
Partner led accountability
A named senior contact coordinates the engagement and remains responsible for quality, communication and deadlines.
UAE specific analysis
Advice reflects the licence, legal form, Emirate, Free Zone status, activities, ownership and transaction flows.
Review ready records
Reconciliations, calculations, working papers and supporting evidence are organised for professional review.
Commercially useful reporting
Technical requirements are translated into decisions, priorities, responsibilities and practical next steps.
Frequently asked questions
Questions businesses ask before engaging us
These answers provide general guidance. The correct treatment depends on current legislation and the facts of the structure.
Does salary count toward the AED 1 million Corporate Tax threshold
No. Wages are not treated as business or business activity for the natural person Corporate Tax threshold under the current rules.
Does rental income count toward the threshold
Real estate investment income can be excluded when it meets the statutory definition and is not conducted through or requiring a business licence. The facts should be reviewed.
Is the threshold based on profit or revenue
The AED 1 million natural person threshold is based on turnover from business or business activities in the calendar year, not net profit.
Can a freelancer claim business expenses
Business expenses can generally be deductible when they are incurred for the business, meet the Corporate Tax rules and are supported by proper records. Private costs are not deductible.
Do I need VAT registration before Corporate Tax registration
The taxes have separate registration tests. A professional may need one registration, both registrations or neither depending on turnover, supplies and business activity.
Start the conversation
Separate the business, protect the records and plan the tax
Book a confidential review of the income streams, licence and current records. We will explain the registration and filing position in plain language.
Important note UAE tax and regulatory treatment depends on the current law, implementing decisions, official guidance and the facts of each case. This page is general information and is not a substitute for a written professional opinion.
Content framework reviewed against official publications of the UAE Ministry of Finance and Federal Tax Authority.