FAQ – Article 25 Non-resident person operating aircraft or ships in international transportation

Source: https://mof.gov.ae/corporate-tax-faq/

1. How will international airlines and shipping companies be taxed?

Income earned by foreign operators of aircrafts and ships will be exempt from UAE CT in respect of:

1. providing international transportation of passengers, livestock, mail, parcels, merchandise or goods by air or by sea;
   2. leasing or chartering aircrafts or ships used in international transportation; or
   3. leasing or chartering equipment which are integral to the seaworthiness of ships or the airworthiness of aircrafts used in international transportation.

This exemption would only apply where the country of the foreign airline or shipping company would grant a similar exemption to UAE operators of aircrafts and ships.