> A natural person who is a shareholder in a UAE joint stock company, without conducting business independently, earns income classified as Personal Investment income.
> As this income is considered Personal Investment income, the individual is not required to register for Corporate Tax.
Developing and Selling Accounting Software:
> A natural person develops accounting software at home in Sharjah and sells licenses to companies, with total sales amounting to AED 1.2 million in a Gregorian calendar year.
> The individual must register for Corporate Tax since they are conducting a business in the UAE and their total turnover exceeds AED 1 million in the Gregorian calendar year.
Independent Car Rental Agency:
> A natural person, who is a shareholder in a UAE joint stock company, opens and operates an independent car rental agency from their home in Abu Dhabi, generating a monthly income of AED 1.5 million.
> The income from the car rental agency business requires the individual to register for Corporate Tax as their total turnover exceeds AED 1 million in the Gregorian calendar year.
> The income from being a shareholder remains classified as Personal Investment income and is not subject to Corporate Tax.
Rental Income from Real Estate Investment:
> A natural person derives rental income of AED 1.5 million from two apartments in the UAE, purchased as a Real Estate Investment.
> This rental income is classified as Real Estate Investment income, which is not subject to Corporate Tax for natural persons.
> Therefore, the individual is n0t required to register for Corporate Tax based on this income.
