UAE: Updated rules for qualifying free zone taxpayers
Provides welcome clarifications for commodity traders
The Ministry of Finance in August 2025 issued Ministerial Decision No. 229 of 2025, together with Ministerial Decision No. 230 of 2025 (both effective retroactively from June 1, 2023), providing new rules regarding the scope of “qualifying activities” for “qualifying free zone persons” (QFZPs) that may benefit from the 0% corporate tax rate under the QFZP regime (subject to certain conditions).
Ministerial Decision No. 229 of 2025 replaces Ministerial Decision No. 265 of 2023 and provides welcome clarifications for commodity traders.
Read a September 2025 report prepared by the KPMG member firm in the UAE