# Small Business Relief vs QFZP vs standard rates

> UAE businesses pay corporate tax at 0% up to AED 375,000 and 9% above by default. Small Business Relief removes the tax entirely for revenue of AED 3 million or less; Qualifying Free Zone Person status gives 0% on qualifying income with no revenue cap but stricter conditions. A QFZP cannot also claim Small Business Relief.

Interactive calculator: https://www.countify.ae/tools/corporate-tax-regime-comparison · Updated 2026-10-14 · Countify UAE

## Tax under each regime

Taxable income AED 900,000; AED 100,000 non-qualifying revenue.

| Revenue | Standard rates (0% / 9%) | Small Business Relief | Qualifying Free Zone Person |
| --- | --- | --- | --- |
| AED 2,800,000 | AED 47,250.00 | AED 0.00 | AED 0.00 |
| AED 5,000,000 | AED 47,250.00 | AED 47,250.00 | AED 0.00 |

Above AED 3m revenue, SBR drops out and the choice is between standard rates and QFZP.

## Choosing between them

For a small free zone company, Small Business Relief is usually simpler: no substance test, no audited accounts requirement for corporate tax, no de minimis. QFZP becomes valuable once revenue passes AED 3 million and most income is qualifying. Both need you to register and file.

- [Small Business Relief checker](https://www.countify.ae/tools/small-business-relief-checker)
- [QFZP de minimis calculator](https://www.countify.ae/tools/qfzp-de-minimis-calculator)
- [Corporate tax calculator](https://www.countify.ae/tools/corporate-tax-calculator)

## Legal basis

- Federal Decree-Law No. 47 of 2022 on the Taxation of Corporations and Businesses (https://mof.gov.ae/corporate-tax/)

## Frequently asked questions

### Can a free zone company claim Small Business Relief instead of QFZP?

Yes. A free zone company that is not a QFZP (for example, it elects out or fails a condition) can claim Small Business Relief if revenue is AED 3 million or less.

### Which is better for a small free zone company?

Usually Small Business Relief, because it has fewer conditions. Above AED 3 million of revenue, QFZP is the only route to 0%.