Dubai emirate introduces 20% tax on foreign banks’ operations

In the emirate of Dubai, a 20% annual tax is being introduced for foreign banks, reports Vedomosti. The law applies to all foreign banks operating in Dubai, including special development zones and free zones, except for foreign banks licensed to operate in the Dubai International Financial Centre (DIFC). The new tax will be levied on the bank’s annual income. If banks pay corporate tax in accordance with the law, the amount will be deducted from the total tax liability. A fine may be imposed for violating the new law.