- The UAE Federal Tax Authority issued a clarification on corporate tax exemptions for investors in Real Estate Investment Trusts (REITs) as Qualified Funds.
- The clarification covers tax treatment, compliance obligations, and tax periods for investors in REITs.
- It includes details on profit distribution, investment expenses, and the role of tax agents for non-resident investors.
- From January 1, 2025, investors in exempt REITs will be taxed on 80 percent of immovable property income.
- If a REIT distributes income within nine months and the investor has disposed of their interest, they are not taxed on that income.
- Immovable property income includes profits from rights, sales, leasing, and other uses of property in the UAE.
- Investors in REITs are considered legal owners of their ownership interests for tax purposes.
Source: regfollower.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
