I paid a dividend to a foreign shareholder — is there withholding tax in the UAE?

Unlike many tax systems worldwide that withhold tax on dividends, interest, or royalties paid to non-residents, Law 47 currently sets the withholding tax rate at 0% on most such payments — meaning no deduction at the source of payment itself.

That's a genuine competitive advantage for the country, but it's worth being clear with clients that this rate is set under the current law, not fixed forever — a future legislative amendment could change it. Also, 0% in the UAE doesn't automatically mean zero tax in the foreign recipient's own country; double-tax treaties and local law there determine their position. RASEEKH lays out the full picture for both sides, not just half the equation.