The UAE Ministry of Finance has published a copy of Cabinet Decision No. 142 of 2024, detailing the country’s Domestic Minimum Top-up Tax (UAE DMTT) law.

The Decision enacted a DMTT for multinational enterprises (MNEs). This measure aligns with the OECD’s Pillar Two framework, establishing a 15% Global Minimum Tax (GMT) for large international corporate groups, effective for financial years beginning on or after 1 January 2025.

Entities subject to the top-up tax include constituent entities, joint ventures, permanent establishments, and minority-owned constituent entities. Government and investment entities are exempt from this requirement.

Earlier, the UAE Ministry of Finance  announced the issuance of the Decision on 9 December 2024.