Every answer is built from the UAE's official tax law and the FTA's own guidance, read word for word, cited to the Article and page, and checked statement by statement before you see it.
General assistants were trained on the open internet, not on the UAE's tax legislation, and they write from what they remember. On tax that produces fluent answers that can be out of date, unsourced, or wrong in ways that are hard to spot. This system is built the other way round: nothing is answered that was not first read.
Before anyone asks a question, we build a library of the UAE's actual tax law and the tax authority's own guidance. Every Decree-Law, Cabinet Decision, Ministerial Decision, FTA guide and public clarification is read page by page, split into Articles, labelled with whether it is still in force, and linked to the documents it amends, replaces or explains.
Replaced law is never dropped. It stays on the shelf with a clear label, so a question about an earlier tax period is answered from the law that governed it.
601 instruments in the library. Each spine is sized to the number of instruments of its kind; four tax treaties and four FTA directives sit at the end of the shelf.
Decree-Law first, then the Decisions that implement it, then the FTA's guides. It reads the law itself, never a search snippet, and checks whether anything has been replaced for your tax period.
FDL-47-2022 · Art. 18 → CD-100-2023 → MD-229-2025Delegations, exceptions and definitions are opened, not assumed. Every calculation runs on an exact calculator and appears as a worked table with its source.
calculate · 18 steps · shown in fullThe answer is taken apart statement by statement and each is checked against the exact text that was read. Anything contradicted goes back to be fixed before you see the answer.
140 statements · checked against 14 sourcesWhere a fact you didn't give would change the answer, it concludes on the facts you did give and names the risk. Open points are listed, and you can ask it to keep reading.
Open points · ContinueBefore release, the system is run on a set of questions written by a chartered tax professional, the kind a practitioner brings to a partner: free zone qualifying income, participation exemptions, foreign branches and tax credits, interest limitation, deductions and full corporate tax computations. Each answer is scored point by point against the expert's own answer.
B LLC, resident in the UAE, has taxable income in the year ended 31 December 20X4 as follows (revenue less allowable expenses): UAE trading income AED 550,000; rent received from overseas branch 1 in Country X AED 55,440 (net of 23% withholding tax); trading income from overseas branch 2 in Country Y AED 57,960 (net of 8% withholding tax).
Other information: the WHT is applied on the net income in both countries; the UAE does not have a double tax treaty with either country; Small Business Relief is not available.
Calculate B LLC's corporation tax liability for the year ended 31 December 20X4.
The answer as produced · 10 documents read · 3.0 minutes · 83 statements checked
B LLC's UAE Corporate Tax liability for the Tax Period 1 January – 31 December 20X4 is AED 22,401 (exactly AED 22,401.46). This is Corporate Tax of AED 27,900 on Taxable Income of AED 685,000 (the foreign income grossed up to its pre-tax amount), reduced by a Foreign Tax Credit of AED 5,498.54. Foreign tax of AED 21,600 was suffered; AED 16,101.46 of it is unrelieved and is forfeited (it cannot be carried forward, carried back, or deducted). FDL-47-2022 · Art. 47(2), 47(3)
The figures given are net of withholding tax. The FTA requires the pre-tax foreign source income to be included in Taxable Income before any credit is taken. The absence of a double tax treaty is irrelevant: Article 47 is a unilateral credit. The credit is the lower of the foreign tax paid and the Corporate Tax due on that income, computed on the FTA's weighted-average basis and applied income by income. CTGDTI1 · p. 48 CTGFSI1 · pp. 39–41
| Step | Figure (AED) | Operation | Source |
|---|---|---|---|
| Branch 1 (Country X) rent, gross | 72,000 | 55,440 ÷ (1 − 0.23) | CTGDTI1 p. 48 |
| Branch 2 (Country Y) trading income, gross | 63,000 | 57,960 ÷ (1 − 0.08) | CTGDTI1 p. 48 |
| Taxable Income | 685,000 | 550,000 + 72,000 + 63,000 | Art. 12(1) |
| Corporate Tax before credit | 27,900 | (685,000 − 375,000) × 9% | Art. 3(1); CD 116 Art. 2(1) |
| Credit, Country X: lower of 16,560 and the cap | 2,932.55 | 27,900 × 72,000 ÷ 685,000 | Art. 47(2); CTGFSI1 p. 39 |
| Credit, Country Y: lower of 5,040 and the cap | 2,565.99 | 27,900 × 63,000 ÷ 685,000 | Art. 47(2); CTGFSI1 p. 39 |
| Corporate Tax payable | 22,401.46 | 27,900 − 5,498.54 | Art. 47(1) |
A short note when a new UAE tax instrument enters the library: what it is, what it changes and whom it affects. A few times a month at most, and nothing else. A confirmation link comes first.