Incentives in Abu Dhabi
CityCalc Insight
ADGM is the Abu Dhabi equivalent of DIFC — a common law, English-language financial free zone with its own independent judiciary. For institutions targeting SWF relationships with ADIA, Mubadala, or ADQ, no other city offers the same proximity.
Corporate Tax (ADGM)0%indicative
Personal Income TaxNoneindicative
Corporate Tax (Mainland)9%indicative
Profit Repatriation100% unrestrictedindicative
| ADGM Benefits | Own courts, common law, GDPR-aligned data protection, 0% tax, 100% foreign ownership |
|---|---|
| Golden Visa | 10-year renewable (UAE-wide programme) |
| ADIO Incentives | Abu Dhabi Investment Office offers sector-specific support (details vary by sector) |
| Corporate Income Tax | 9% on taxable income above AED 375000; 0% below Source: PwC Worldwide Tax Summaries |
| Free Zone Tax | 0% for Qualifying Free Zone Persons on qualifying income; 9% otherwise Source: PwC Worldwide Tax Summaries |
| Personal Income Tax | None Source: PwC Worldwide Tax Summaries |
| VAT | 5% Source: PwC Worldwide Tax Summaries |
| Withholding Tax | 0% Source: PwC Worldwide Tax Summaries |
| Recent Tax Developments | Small business relief (revenue under AED 3M) is available until 31 Dec 2026. A 15% Domestic Minimum Top-up Tax (DMTT) applies to large multinationals from 2025. Source: PwC Worldwide Tax Summaries |
| Free Zone: ADGM | 0% corporate tax for QFZP qualifying income; 100% foreign ownership; capital repatriation; no FX controls; English common-law with independent ADGM Courts; 2025 fee reductions Source: Abu Dhabi Global Market |
| Free Zone 0% Rate — 2025 Rules | No longer automatic. Ministerial Decisions 229 & 230 of 2025 (retroactive to 1 June 2023) require genuine Qualifying Free Zone Person status: a physical office, qualified staff, local substance, core decisions made in-UAE, and annual filings. Source: PwC Worldwide Tax Summaries (UAE MoF Ministerial Decisions 229 & 230 of 2025) |
| Free Zone: KEZAD | 100% foreign ownership; 0% tax-free; no VAT Source: KEZAD Group |