Manufacture of magnetic and optical media

Under MD 229 of 2025, manufacturing is a Qualifying Activity. Forensic focus is on the 'substantial transformation' test. For magnetic/optical media, the process must involve the physical creation of the media (e.g., injection molding, sputtering, or coating) rather than mere data burning or distribution of pre-manufactured units.

Audit Red Flag

Misclassification of 'Content Duplication' services as 'Manufacturing'. If the entity does not own the raw materials or perform the physical transformation of the substrate, the FTA may recharacterize the income as a non-qualifying service.

Which UAE zones permit this activity?

Scout checks the current permission status for this activity across every UAE zone against your specific structure.