UAE’s Double Tax Treaties List: What Is It and Which Countries Are Included?

To address this, the UAE has signed double taxation agreements (DTAs) with over 100 countries. These treaties determine which jurisdiction has the primary right to tax income, preventing expats from being taxed twice on the same earnings.

However, not all countries are included, so it is essential to confirm whether your home or destination country has a treaty in place.

In this guide, we will provide the UAE’s double tax treaties list. We also explain what these agreements contain, how they vary, and how it’s beneficial for expats.

What Are the UAE’s Double Tax Treaties?

A double taxation agreement (DTA) is a treaty between two countries that prevents individuals and businesses from being taxed twice on the same income. These agreements specify which jurisdiction holds the primary taxing rights and define the tax rates applicable to both active and passive income.

The UAE has a zero tax policy, which means it imposes no tax on income from employment, rent, inheritance, or capital gains. Due to this favourable tax regime, most individual income is not subject to tax, even when the UAE has primary taxing rights under a treaty. However, the provisions of DTAs remain relevant in case of future changes to UAE tax law.

DTAs also protect against the double taxation of business income, which can be taxable in the UAE. Since 1 June 2023, the UAE has imposed a 9% corporate tax on taxable profits exceeding AED 375,000.

This applies to UAE-resident companies and foreign businesses operating through a permanent establishment (PE) in the UAE such as foreign banks or branches of overseas corporations.

What Do UAE’s Tax Treaties Contain?

The content of double tax treaties varies between countries, but most DTAs contain the following information:

• The taxation policies applicable to individuals and companies in each jurisdiction.
• The available tax relief methods and the income categories to which they apply.
• Rules determining the primary taxing jurisdiction for various types of income.
• Provisions for deducting taxes on international air transportation and shipping.
• Reduced tax rates for government-related investments between treaty countries.

While the information outlined above is generally included in all double taxation agreements irrespective of the countries involved, treaties concluded with the UAE also incorporate the following information:

• Taxation rules for dividends, royalties, and interest earned between jurisdictions.
• Tax treatment of international air transport and shipping revenue.
• Allocation of taxing rights for income from immovable property or capital gains from property sales.
• Provisions for income earned through personal service entities such as consulting companies or business trusts.

Consulting with a qualified financial adviser with cross-border tax expertise – such as those at Titan Wealth International – ensures you understand the full implications of applicable DTAs, claim all eligible treaty reliefs, and optimise your global tax position.

How Can You Claim Tax Relief Under a Double Tax Treaty With the UAE?

Depending on the terms of the relevant agreement, you may be eligible for tax relief through one of the following ways:

1. Tax credit: This method allows you to offset tax paid in one country against your tax liability in the other.
2. Tax exemption: Certain types of income may be excluded from taxation in one jurisdiction, or taxed at a reduced rate.
3. Withholding tax credit: If a treaty country imposes withholding tax (WHT), you may be able to credit this against your UAE tax bill—if applicable under UAE corporate tax rules.

Which Countries Are on the UAE’s Double Tax Treaties List?

As of June 2025, the United Arab Emirates (UAE) has signed over 140 double taxation agreements (DTAs) with countries across Europe, Asia, Africa, and the Americas.

Is There a Tax Treaty Between the US and the UAE?

Although the UAE entered a DTA with many major economic powers, including China and the UK, there is no US–UAE double tax treaty. Consequently, American expats residing in the UAE remain subject to US taxation on their worldwide income, regardless of their residency status.

However, the UAE has implemented a Model 1 Intergovernmental Agreement (IGA) with the US under the Foreign Account Tax Compliance Act (FATCA).

This agreement mandates UAE financial institutions to report information about US account holders to the UAE Federal Tax Authority, which then shares the data with the US Internal Revenue Service (IRS).

While this IGA does not provide tax relief as there is no US–UAE tax treaty, it facilitates compliance and reduces the risk of penalties for US taxpayers. American expats in the UAE should consult with tax professionals to navigate their obligations effectively.

Is There a Difference in the UAE’s Double Tax Treaties With Different Countries?

The UAE’s double tax treaties vary depending on the terms negotiated with each contracting country. These differences typically relate to:

• The types of income covered.
• The allocation of primary taxing rights.
• The applicable tax rates on dividends, royalties, and interest.
• Tax exemption thresholds or eligibility conditions.

Each country also applies specific rules based on your expat tax residency status. For example, in the United Kingdom, tax residents are liable on their worldwide income, while non-residents are only taxed on income sourced within the UK.

Consequently, a DTA generally applies when both the UAE and the other contracting country impose tax on the same category of income – most commonly business profits or investment income.

Practical Example: UAE’s Tax Treaty Provisions With Portugal and Saudi Arabia

The UAE–Portugal double tax treaty came into force in 2012 and includes the following key provisions:

• Capital gains: Gains from the sale of real estate are taxed in the country where the property is located. If more than 50% of a company’s value is derived from immovable property, capital gains from share sales may also be taxed.
• Dividends, interest, and royalties: The UAE does not impose withholding tax (WHT) on these payments. However, Portuguese residents receiving income from UAE sources may still be taxed in Portugal, subject to treaty-based reductions.
• Permanent establishment (PE): Business income is taxable in the country where the business is established. If a UAE company operates a PE in Portugal, Portugal may tax the income attributable to that establishment, potentially subject to relief.

Comparison: UAE–Portugal vs. UAE–Saudi Arabia DTAs

While the UAE’s tax treaties with many European countries include similar provisions, there are several differences when compared to a DTA with Middle Eastern countries, such as Saudi Arabia.

The key distinctions in the UAE’s double taxation agreements with Portugal and Saudi Arabia include:

Each agreement provides distinct benefits – the DTA with Portugal provides lower WHT on royalties, while the treaty with Saudi Arabia offers more favourable rates on dividends.

However, in both instances, no WHT is levied in the UAE, meaning these rates only apply to payments made by Saudi Arabia or Portugal to a UAE resident.

How Do Recent Updates of UAE’s Tax Treaties Impact Expats?

Double tax treaties are often updated to reflect changes in international tax policy, economic developments, or evolving political priorities between jurisdictions.

Recently, the UAE has amended or replaced several tax treaties. Notably, it has:

• Signed a new DTA with the Czech Republic.
• Updated its treaty with Austria.
• Seen the termination of its agreement with Germany.

New Double Tax Treaty With the Czech Republic

While the UAE and the Czech Republic entered a DTA in 1996, the two countries signed a new double tax treaty on 24 May 2023. The new DTA has been in force since May 2024, and it includes the following updated provisions:

• Interest: Interest is only taxed in the country where you’re a tax resident.
• Royalties: Income from royalties is taxed at a 10% rate if paid to a UAE resident by the Czech Republic. Otherwise, it’s tax-free.
• Dividends: Dividends paid by the Czech Republic to a UAE tax resident are subject to a 5% withholding tax. Specific entities, like local authorities or the country’s central bank, are exempt from this tax.
• Capital Gains:
  • Taxable in the country where immovable property is located.
  • Gains from the sale of movable property tied to a permanent establishment are taxable in the host country.
  • Other capital gains are taxable only in the seller’s country of residence.

Amendment of the Tax Treaty With Austria

Since the double tax treaty between the UAE and Austria is no longer aligned with the developments in international tax laws, the DTA was amended. The provisions in the amendment protocol apply from January 2023.

The changes concern the implementation of Organisation for Economic Co-operation and Development (OECD) standards on tax transparency, profit shifting, and withholding tax on dividends. Thus, the amendment includes the following updates:

• Income tax: Expats with primary personal and economic ties in Austria who aren’t self-employed in the UAE must pay income tax in Austria.
• Dividends: Income from dividends is subject to a withholding tax of 10% when paid to a foreign recipient (for instance, when Austria pays dividends to a UAE resident), but the recipient’s country of residence must provide a tax credit for the WHT paid. Entities like the government of the contracting state and local authorities are exempt from tax.
• Financial data: Due to the rules stated in Article 6 of the Protocol of Amendment, both countries must exchange banking information to prevent tax evasion.

The treaty now also includes a principal purpose test, which ensures that the treaty benefits are not granted if the main objective of the arrangement is to obtain tax benefits.

The End of a Tax Treaty With Germany

The UAE and Germany signed a double tax treaty twice—in 1995 and again in 2011. However, following the expiration of the second agreement on 14 June 2021, Germany hasn’t renewed the agreement.

As a result, the taxation of German expats from 1 January 2022 is based only on German tax law.

German expats in the UAE are subject to taxation on worldwide income in Germany if they meet the following criteria:

1. Their domicile or habitual abode is in Germany (for individuals).
2. Their management or registered office is in Germany (for companies).

Even if these don’t apply, German expats may still be liable for German tax on income from German sources.

Expats who were residents in the UAE before 1 January 2022 aren’t affected by these changes. However, anyone moving to the UAE from Germany after that date won’t be able to benefit from the DTA.