Small Business Relief (SBR) lets eligible businesses be treated as having no taxable income for a tax period. It is one of the most useful reliefs for small companies and freelancers, but it has conditions.

Who can use it

• Resident persons (companies or individuals running a business)
• Revenue of AED 3 million or less in the relevant tax period and in each previous tax period
• Available for tax periods ending on or before 31 December 2026

Who cannot use it

• Qualifying Free Zone Persons
• Members of large multinational groups

It is not automatic

You must elect Small Business Relief in your Corporate Tax return for each period. If you do not elect it, the normal rules apply.

What still applies

Electing SBR does not remove your obligations. You still need to be registered, keep records and file your return on time.

Plan ahead

The relief currently covers periods ending by 31 December 2026. Businesses relying on it should plan their bookkeeping and tax position for the periods after that.

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General information only, not advice for your specific situation.