UAE domestic minimum top-up tax (DMTT) calculator
From 1 January 2025, UAE entities of multinational groups with consolidated revenue of EUR 750 million or more pay a domestic minimum top-up tax that brings their UAE effective tax rate up to 15%. Top-up = (15% − UAE effective tax rate) × (GloBE income − substance-based income exclusion).
Reviewed by Countify's ACCA/FCCA chartered certified accountants · Updated
A return on payroll and tangible assets in the UAE.
- UAE effective tax rate
- 8.5%
- Top-up percentage
- 6.5%
- Excess profit
- AED 90,000,000.00
- Domestic minimum top-up tax
- AED 5,850,000.00
Simplified: ignores qualified refundable tax credits (such as the UAE R&D credit), de minimis exclusions and safe harbours.
Results are estimates for general information, not tailored advice.
Top-up tax on AED 100m of GloBE income
Substance-based exclusion of AED 10 million.
| Covered taxes | UAE effective tax rate | Domestic minimum top-up tax |
|---|---|---|
| AED 9,000,000 | 9% | AED 5,400,000.00 |
| AED 12,000,000 | 12% | AED 2,700,000.00 |
| AED 15,000,000 | 15% | AED 0.00 |
A group paying 9% UAE corporate tax tops up by about 6% of its excess profit.
Who it applies to
The DMTT follows the OECD Pillar Two GloBE rules. It applies to constituent entities in the UAE of groups with consolidated revenue of at least EUR 750 million in two of the four preceding years. SMEs and most UAE family groups are outside it.
What reduces the top-up
The substance-based income exclusion gives a return on UAE payroll and tangible assets. Qualified refundable tax credits (designed to sit alongside Pillar Two, such as the UAE R&D tax credit) count as income rather than reducing covered taxes, which protects the effective rate. This calculator is simplified; a full GloBE computation is needed for the return.
Legal basis
- Federal Decree-Law No. 60 of 2023 and Cabinet Decision No. 142 of 2024 (Domestic Minimum Top-up Tax)
We review this calculator whenever the FTA or Ministry of Finance issues a new decision or clarification.
Frequently asked questions
When did the UAE DMTT start?
For financial years starting on or after 1 January 2025.
Does DMTT affect SMEs?
No. It applies only to multinational groups with consolidated revenue of EUR 750 million or more.
Corporate tax registration and returns
We register you, prepare the tax computation and file your corporate tax return, with Small Business Relief, QFZP and loss elections handled correctly.