Wholesale of electronic and telecommunications equipment and parts

Under the framework of Ministerial Decision No. 229 of 2025, wholesale of electronics is categorized under 'Distribution of goods or materials'. Forensic audit focus is on verifying the 'Designated Zone' nexus and validating the counterparty's status as a reseller. Any retail-level activity or lack of physical inventory management within the DZ will trigger a reclassification to 9% taxable income.

Audit Red Flag

B2C transactions or sales to end-users disguised as wholesale, which fails the 'resale' condition required for the 0% rate on distribution activities.

Which UAE zones permit this activity?

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