Repair of machinery

ISIC 3312 is categorized as a service activity. Under MD 229 of 2025, income is Qualifying only if the recipient is a Free Zone Person (subject to beneficial recipient rules) or if the repair is deemed 'ancillary' to the manufacturing of the machinery itself. If the machinery belongs to a Mainland person, the income is Excluded and taxed at 9%.

Audit Red Flag

Service leakage where technicians perform on-site repairs at Mainland facilities but invoice through the Free Zone entity to claim 0% tax.

Which UAE zones permit this activity?

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