Dubai taxes & fees

Dubai (and the UAE as a whole) is one of the most tax-friendly jurisdictions in the world. There's no tax on income, capital gains, inheritance, or dividends. That said, purchasing a property does come withTransaction fees.

What you don't pay

• 0%Income Tax (including salary, business income, and rental income)
• 0%Capital Gains Tax (on the sale of property or shares)
• 0%Inheritance Tax (no tax on inherited assets)
• 0% Wealth Tax
• 0%Property Tax (no annual property tax)
• 0%On dividend income

One-time costs payable at purchase

• 4% DLD Transfer Fee— the primary fee, mandatory
• AED 2,000-4,000 Trustee office fee
• AED 250 Title Deed issuance
• 2%brokerage fee (typically paid by the seller, though in premium deals it's sometimes split 50/50)
• AED 4,000 + 0.25%mortgage registration (if financing with a mortgage)

Recurring charges

• Service charge— AED 10–30/sqft/year (varies by project). Covers security, cleaning, swimming pool, gym, elevators, and maintenance of common areas.
• DEWA— electricity and water, ~AED 500–2,000/month for a 1BR
• Etisalat/du— internet, AED 350–500/month
• Insurance— AED 500–1,500/year

Tourism Dirham (applies to short-term rentals)

If you're renting through Airbnb or holiday rentals, you'll need a DET (Department of Economy & Tourism) license and a Tourism Dirham fee of AED 10–20 per night. For long-term rentals (1 year+), no such payments are required.

VAT — 5%

• Onnew developments sold by the developer— VAT at 5% is included in the price (no additional charge on top)
• OnSecondary market— VAT does not apply
• Onresidential rentals— VAT-exempt
• OnBrokerage & services— VAT 5% typically included

UAE Corporate Tax at 9% (introduced in 2023) applies only to businesses with profits exceeding AED 375K — it has no bearing on personal property ownership.