The United Arab Emirates approved research and development tax credits for companies aimed at aligning incentives with the OECD’s revised global minimum tax framework.
Businesses will be able to claim nonrefundable R&D tax credits — up to 50% of qualifying expenditure and a maximum of AED 5 million ($1.36 million) — starting January 2026, according to a Cabinet decision by the UAE government Wednesday.
The tax credit is expected to “deliver a more favorable and predictable effective tax rate outcome for companies operating in the UAE,” the Ministry of Finance said in a press statement.
The ministry added the ...
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