What are the UAE Corporate Tax record-keeping requirements for 2026?

Under Federal Decree-Law No. 47 and Article 52 of the Tax Procedures Law, taxable persons must maintain records for 7 years. Arakan Protocol ensures these records remain in-situ within the UAE digital perimeter to satisfy data residency mandates.

How does Pillar Two affect multinational groups in the UAE?

Pillar Two introduces a 15% global minimum tax for MNE groups with revenues exceeding EUR 750 million. Arakan provides automated GloBE substantiation and jurisdictional nexus mapping to manage top-up tax liabilities.

What is the 0% Qualifying Free Zone Person (QFZP) status?

A QFZP is a Free Zone entity that maintains adequate substance in the UAE and derives Qualifying Income. Failure to demonstrate Core Income Generating Activities (CIGA) can result in a retroactive 9% tax liability.

Is AAIAFZ a Qualifying Free Zone for 0% Corporate Tax?

Yes, Al Ain International Airport Free Zone is a jurisdiction where entities can qualify for a 0% rate under Decree-Law 47, provided they maintain adequate substance and meet CIGA requirements. Arakan AI automates this forensic audit.

What are the CIGA requirements for AAIAFZ?

Core Income-Generating Activities in AAIAFZ must be performed within the zone, involving adequate assets and qualified employees. Arakan Forensic maps these statutory requirements against your actual operations.

AAIAFZ
Compliance Blueprint.

Forensic Node Active // Abu Dhabi

Statutory DNA Mapping // v1.0.26

The Sovereign Verdict

The Aerospace Node; Specialized in MRO (Maintenance, Repair, Overhaul) Substance.

Strategic Overview

AAIAFZ is Abu Dhabi’s dedicated hub for the aerospace and defense sector. For 2026, the forensic challenge is 'Technical Labor Localization.' For MRO services to qualify for 0%, the entity must prove that the technical 'Core Income-Generating Activity' (the actual repair/overhaul) occurs within the Al Ain hangar. This is verified by cross-referencing technical staff time-logs (WPS) against aircraft 'Tail-Number' service records.

I. Statutory Basis

As a Qualifying Free Zone Person, this jurisdiction requires strict adherence to Core Income-Generating Activities.Designated Zone status for VAT. Article 18 compliance centers on 'Maintenance and Repair' as a Qualifying Activity. Requires a synchronized customs-to-tax trail for high-value components under 'Temporary Admission'.

Compliance Roadmap

01
MRO Technical Log-Sync: Reconciling aircraft tail-number service records with on-site technical staff hours
02
Customs-Bonded Inventory Sync: Maintaining a real-time ledger for aerospace components under 'Temporary Admission' for repair
03
CIGA Location Audit: Documenting that high-value R&D and engineering design occur physically within the Al Ain hangar footprint

Audit Hotspots

Inadequate local substance for Al Ain-based entities where management resides in Dubai/Abu Dhabi City
Mishandling the tax characterization of 'Off-Site' emergency repair services performed at other airports
Failure to segregate 'Educational' aerospace training revenue from 'Commercial' MRO income

Sovereign Link Architecture

Jurisdictional Connectivity

Global Parent

15%

AAIAFZ

Live Node

Dubai Mainland

Forensic Brief

Qualifying Income requires physical CIGA within the zone boundaries. Article 18 mapping is mandatory to maintain 0% status.

Statutory Audit

Full forensic substantiation for AAIAFZ.

Initiate Forensic Scan

Support

Expert Consultation

Discuss your AAIAFZ structure with our senior forensic partners.

Semantic Topic Cluster

Lexicon

QFZP Status

Lexicon

CIGA Audit

Briefing

2026 Readiness

Tool

License Checker