Construction of buildings

Construction of buildings (ISIC 4100) is inherently linked to Immovable Property. Under the UAE CT framework, income derived from Immovable Property located outside a Free Zone, or residential property within a Free Zone, is categorized as Excluded Income. Forensic auditors will scrutinize the 'Permanent Establishment' (PE) duration; if a construction site exceeds 6 months, it may trigger a PE for the Free Zone Person in the mainland, subjecting all related profits to the 9% standard rate.

Audit Red Flag

Mischaracterization of income from immovable property as 'Qualifying Services' to bypass the 5% de minimis threshold.

Which UAE zones permit this activity?

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