WorldTax Compare← All Comparisons

United Arab Emirates vs Malaysia
Tax Rate Comparison

Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.

πŸ‡¦πŸ‡ͺ United Arab Emirates
vs
πŸ‡²πŸ‡Ύ Malaysia
Tax Year:

πŸ’° Personal Income Tax Calculator

Enter your income to see your estimated annual tax liability in each country β€” side by side.

Enter your annual income above to see your personal tax comparison β†’
Individual Income Tax (Top Marginal Rate)
Top Income Tax Rate
0%
No personal income tax; unlikely to change short-term
No change
0–30%
30% top rate; Pillar Two compliance measures
No change
VAT / GST / Sales Tax
VAT / GST / Sales Tax
5%
5% stable; GCC coordination maintained
No change
10%
Service tax 8% maintained; GST return unlikely
No change
Corporate Tax Rate
Corporate Tax Rate
9%
Corporate tax compliance and reporting maturing
No change
24%
24% stable; potential reduction discussed for competitiveness
No change
Capital Gains Tax
Capital Gains Tax
0%
No CGT; free zone benefits under review for Pillar Two
No change
10–30%
CGT on unlisted shares fully embedded in system
No change
Social Security & Payroll
Social Security / Payroll
~17.5%
Emiratisation targets affecting employer costs
No change
~23%
EPF reviewing contribution rates and fund adequacy
No change
State, Regional & Local Taxes

πŸ‡¦πŸ‡ͺ United Arab Emirates β€” Emirate-Level Fees & Free Zone Benefits

The UAE has no federal income tax on individuals. Emirates impose municipality fees (~5%) on commercial rents and tourism/hotel fees of 10–15%. Free Zones (DIFC, ADGM, Jebel Ali) offer 0–9% corporate rates for qualifying activities. Real estate transfer fees of 4% apply in Dubai. Emiratisation targets are increasing employer costs.

πŸ‡²πŸ‡Ύ Malaysia β€” State & Local Authority Taxes

Malaysia's 13 states and 3 federal territories have limited independent taxing powers. States levy quit rent (cukai tanah) on land, assessment rates (cukai pintu/taksiran) on property through local councils, and royalties on natural resources. Petroleum royalties are a major state revenue in Sabah, Sarawak, and Terengganu. Local councils (majlis perbandaran) levy property assessment at 6%–12% of estimated annual rental value. No state income taxes exist β€” this is federal.

⚠️ Disclaimer: Rates shown are standard top/headline rates for informational purposes. Actual tax liability depends on income level, residency, deductions, and tax treaties. 2025–2026 data reflects announced or enacted rates and may be subject to change. Not financial or legal advice.

United Arab Emirates vs Malaysia: Key Tax Differences (2026)

πŸ’° Income Tax: πŸ‡²πŸ‡Ύ Malaysia has a higher top income tax rate (0% vs 0–30%). πŸ‡¦πŸ‡ͺ United Arab Emirates is more favourable for high earners.

πŸ›’ VAT/Sales Tax: Malaysia has a higher consumption tax (5% vs 10%).

🏒 Corporate Tax: πŸ‡¦πŸ‡ͺ United Arab Emirates offers a lower corporate rate (9% vs 24%), which can influence business location decisions.

πŸ“ˆ Capital Gains: πŸ‡¦πŸ‡ͺ United Arab Emirates taxes investment gains at a lower rate (0% vs 30%), benefiting investors.

Related Comparisons

πŸ‡¦πŸ‡ͺ United Arab Emirates vs πŸ‡§πŸ‡­ BahrainTax comparisonπŸ‡¦πŸ‡ͺ United Arab Emirates vs πŸ‡©πŸ‡ͺ GermanyTax comparisonπŸ‡¦πŸ‡ͺ United Arab Emirates vs πŸ‡°πŸ‡Ό KuwaitTax comparisonπŸ‡¦πŸ‡ͺ United Arab Emirates vs πŸ‡΄πŸ‡² OmanTax comparisonπŸ‡¦πŸ‡ͺ United Arab Emirates vs πŸ‡ΆπŸ‡¦ QatarTax comparisonπŸ‡¦πŸ‡ͺ United Arab Emirates vs πŸ‡ΈπŸ‡¦ Saudi ArabiaTax comparisonπŸ‡¦πŸ‡ͺ United Arab Emirates vs πŸ‡ΈπŸ‡¬ SingaporeTax comparisonπŸ‡¦πŸ‡ͺ United Arab Emirates vs πŸ‡¨πŸ‡­ SwitzerlandTax comparisonπŸ‡¦πŸ‡ͺ United Arab Emirates vs πŸ‡¬πŸ‡§ United KingdomTax comparisonπŸ‡¦πŸ‡ͺ United Arab Emirates vs πŸ‡ΊπŸ‡Έ United StatesTax comparisonπŸ‡¦πŸ‡ͺ United Arab Emirates vs πŸ‡¨πŸ‡³ ChinaTax comparisonπŸ‡¦πŸ‡ͺ United Arab Emirates vs πŸ‡«πŸ‡· FranceTax comparison