What are the income tax brackets in United Arab Emirates for 2026?

United Arab Emirates uses a progressive tax system where higher income is taxed at higher rates. Tax brackets vary by country - see the detailed breakdown on this page for exact thresholds and rates.

How much social security do I pay in United Arab Emirates?

Social security contributions in United Arab Emirates are typically split between employer and employee. The exact rates depend on various factors including income level and type of contribution.

Are there any tax credits available in United Arab Emirates?

Yes, United Arab Emirates offers various tax credits and deductions that can reduce your tax liability. Common credits include general tax credits, labor credits, and family-related deductions.

Official 2026 Rates

United Arab Emirates Income Tax Bands

Complete guide to income tax rates, brackets, and thresholds in United Arab Emirates for the 2026 tax year.

Income Tax - 2026

The United Arab Emirates levies zero personal income tax on all residents, whether expatriate or UAE national. This applies to employment income, freelance income, business profits (below corporate tax threshold), and investment gains.

Resident Type	Income Range	Rate
Expatriate residents (~88% of workforce)	All income levels	0%
UAE nationals	All income levels	0%

Tax-Free Income

The UAE Constitution and UAE Income Tax Decree (Federal Law No. 47 of 2022) confirm there is no personal income tax. Corporate tax of 9% applies to business profits above AED 375,000, but this does not affect employee salaries.

Pension Contributions (UAE Nationals)

Pension contributions apply only to UAE nationals employed in the private sector. Expatriates have no mandatory social security deductions from their salary. Rates were updated by Federal Decree Law No. 57 of 2023 (effective Nov 2023).

Employee Contribution

11%

11% of basic salary for UAE nationals. Applies to new scheme members from Nov 2023.

Employer Contribution

12.5% – 15%

12.5% (GPSSA, salary below AED 20k/month) or 15% (ADPF Abu Dhabi, or salary ≥ AED 20k).

Monthly Salary Cap

AED 70,000

GPSSA cap: AED 70,000/month basic salary. Pension contributions are capped at this level.

Expatriate Deductions

None

Expatriates pay zero pension or social security. Their full gross salary is take-home pay.

End-of-Service Gratuity (Expatriates)

Expatriate employees are entitled to an End-of-Service Gratuity (EOSG) upon leaving employment after completing at least 1 year of service. This is paid by the employer, not deducted from salary.

Years of Service	Entitlement	Basis
1 – 5 years	21 days basic salary per year	21 days/yr
After 5 years	30 days basic salary per year	30 days/yr
Maximum payout	Capped at 2 years' total salary	Cap

Important Notes

EOSG is calculated on basic salary only (excluding allowances). From 2023, employers can choose to enroll employees in the DIFC Employee Workplace Savings (DEWS) scheme or equivalent as an alternative to the traditional EOSG lump sum.

Minimum Wage

UAE Nationals (Private Sector)

AED 6,000/month

AED 72,000/year. Raised from AED 5,000 — effective January 1, 2026 per MoHRE announcement.

Expatriates

None

No statutory minimum wage for expatriate employees. Wages are set by market forces and employer–employee agreement. The Ministry of Human Resources regulates fair wages through the Wage Protection System (WPS).

Calculate Your Take-Home Pay

Use our salary calculator to see exactly how much tax you'll pay based on these rates.

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