United Arab Emirates Tax Calculator (2026)

United Arab Emirates Income Tax Brackets (2025)

Unemployment Insurance Scheme

Fixed amount: AED 60 per year

Do I have to pay income tax if I work in the UAE?

No, the United Arab Emirates does not impose any federal or personal income tax, regardless of your salary level. This is one of the major tax advantages of working in the UAE, making it an attractive destination for expats and remote workers.

What deductions or contributions do I need to pay as an employee in the UAE?

As a non-GCC national employee in the UAE, you are required to pay the Unemployment Insurance Scheme, which costs 60 AED per year for salaries up to 16,000 AED per month. This is the primary mandatory employee contribution, though it is not tax-deductible.

Are UAE and GCC nationals taxed differently than foreign workers?

Yes, UAE and GCC nationals are required to contribute 5% to social security, whereas non-GCC national foreign workers are not subject to this contribution. Both groups, however, must pay the Unemployment Insurance Scheme fee.

Will my employer deduct anything from my salary?

Your main deduction will be the Unemployment Insurance Scheme at 60 AED per year (or 120 AED per year if your basic salary exceeds 16,000 AED per month). Since there is no income tax in the UAE, you will not see income tax withholdings on your payslip.

Is the UAE a good choice for tax purposes compared to other countries?

Yes, the UAE's zero income tax policy is highly competitive globally and makes it particularly attractive for high earners, expats, and remote workers. Combined with its low mandatory contributions, the UAE allows you to keep a significantly larger portion of your earnings compared to most other countries.

Compare United Arab Emirates with other countries

Other tax calculators