Sovereign Verdict
EXCLUDED
Statutory ISIC
0220
Regulatory Activity Scope
Logging
"Logging is classified as primary production and extraction of natural resources. Under Ministerial Decision No. 229 of 2025, activities involving the extraction of natural resources are explicitly listed as Excluded Activities. Consequently, income derived from logging does not constitute Qualifying Income for a Qualifying Free Zone Person and is subject to the standard 9% Corporate Tax rate."
Forensic Audit Red Flag
Re-characterizing primary logging (ISIC 0220) as 'Manufacturing of wood products' (ISIC 16) to illicitly claim the 0% Qualifying Income rate.
Statutory Authority
Ministerial Decision No. 229 of 2025, Article 3, Clause 1
Nexus Requirement
Physical land tenure within a Designated Zone and environmental licensing from the UAE Ministry of Climate Change and Environment.
2026 Substance Compliance
- Core Income Generating Activities (CIGA)
- Local Full-Time Employment Test
- Adequate Local OPEX