2025 marked a major update to key areas of legislation in the UAE, from tax and corporate regulation to media and AML requirements. The UAE business environment continues to rapidly adopt international standards of transparency and digitalization.
This review systematizes the key legal updates adopted in 2025 and explains their practical implications for companies, investors, financial and legal professionals.
In 2025, the FTA issued a number of guides and clarifications regarding the application of the tax regime in the UAE. The most important are:
- Interest Deduction Limitation Rules Corporate Tax Guide | CTGIDL1 explains how interest expense deductions are recognized and limited in the UAE when calculating taxable profits for corporate tax purposes. The guide defines what is considered "interest" for tax purposes, establishes general principles for its deduction, and applies the Specific and General Interest Deduction Limitation Rules, including limits on the amount of net interest expense (e.g., a limit of 30% of adjusted EBITDA or a fixed threshold, which is greater). It also describes exceptions for banks, insurer...