UAE and Australia implement new tax relief measures for small businesses

The United Arab Emirates has extended its Small Business Relief (SBR) program through tax periods ending on or before 31 December 2029. Under Ministerial Decision No. 131 of 2026, eligible resident businesses and start-ups can continue to benefit from simplified corporate tax treatment to reduce administrative costs. The revenue threshold for this relief remains set at AED 3 million. To access the relief, businesses must register for corporate tax, file a return, and specifically elect for the relief within that return.

In Australia, the Treasury Laws Amendment (Tax Reform No. 2) Act 2026 has received Royal Assent, introducing two major changes for businesses effective 1 July 2026. First, a $20,000 instant asset write-off has been made permanent for small businesses with an annual turnover of less than $10 million, allowing immediate deductions for eligible assets under that amount. Second, a two-year company loss carry-back measure has been introduced, allowing eligible corporate tax entities to offset current losses against tax paid up to two years prior, subject to certain limitations regarding revenue losses and franking account balances.