Public administration and defence; compulsory social security
3 activity groups
Excluded · 9% taxable
Forensic Analysis
DZ requiredSubstance: HIGHAI-derived
Activities under ISIC 84 are typically reserved for Government Entities or Government Controlled Entities. Under the UAE CT framework, these are 'Exempt Persons' rather than 'Qualifying Free Zone Persons'. If performed by a private Free Zone entity, the activity is deemed 'Excluded' as it does not constitute a 'Qualifying Activity' under the commercial scope of Ministerial Decision No. 229 of 2025, subjecting all non-sovereign income to the 9% standard rate.
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Legal Reference
Article 4(1)(a) and Article 4(1)(b) of Federal Decree-Law No. 47 of 2022
Audit Red Flag
Private sector entities misclassifying outsourced administrative services as sovereign 'Public Administration' to claim exemption under Article 4.