Is rental income taxed in Dubai?

No personal income tax applies to rental income in Dubai for individual property owners. There is no capital gains tax either. This is one of the primary reasons international investors choose Dubai.

However, there are some charges to be aware of:

• Municipality Fee: 5% of annual rent, collected through your DEWA bill for residential properties
• Service Charges: Annual maintenance fees paid to the building management (AED 10–40 per sq ft depending on the building)

If you own property through a UAE company, the 9% corporate tax (introduced June 2023) applies to net rental profits above AED 375,000. Individual ownership remains tax-free.

Important: your home country may still tax your worldwide income. Check your country's double tax treaty with the UAE.

Full analysis: Landlord Tax Obligations in Dubai 2026