Abu Dhabi, UAE - 07 August 2026: The Ministry of Finance has announced the issuance of Ministerial Decision No. (131) amending certain provisions of the Ministerial Decision on the Taxation of Corporations and Businesses. The amendment extends the period during which Small Business Relief may be claimed to tax periods ending on or before 31 December 2029.

The Decision forms part of the Ministry's ongoing efforts to support small businesses and start-ups, strengthen the business environment, and enable entrepreneurs to grow and expand their businesses, thereby reinforcing the UAE's position as a leading global destination for investment. It also reaffirms the UAE's commitment to developing a competitive tax system that supports sustainable economic development, promotes compliance, and remains aligned with international best practices.

Under the Decision, the threshold prescribed under Ministerial Decision No. (73) of 2023 will continue to apply to tax periods commencing on or after 1 June 2023, and shall apply to subsequent tax periods ending on or before 31 December 2029.

Small Business Relief enables Taxable Persons with annual revenue not exceeding AED 3 million (the threshold) to benefit from simplified Corporate Tax compliance requirements, subject to the conditions and requirements set out in the relevant legislation.