Dubai property and Polish taxes: the Poland–UAE tax treaty in outline

In short: if you are a Polish tax resident, Poland as a rule taxes your worldwide income – including income from renting out and selling a flat in Dubai. The double tax treaty between Poland and the UAE of 1993 (amended by a 2013 protocol and by the MLI convention) allows income from property to be taxed in the country where the property is located, and Poland applies the proportional credit method to such income, deducting the tax paid in the UAE. Because individuals in the UAE generally do not pay income tax on private rental income, in practice there is usually nothing to deduct, and the income is settled in Poland. Below we describe the general framework – always agree the specific tax treatment with a tax adviser.

Updated: November 2026

Key points

• Residence is what counts: a Polish tax resident declares worldwide income in Poland (unlimited tax liability).
• The Poland–UAE treaty: signed on 31 January 1993 (Dz.U. 1994 item 373), amended by the protocol of 11 December 2013 (Dz.U. 2015 item 312) and modified by the MLI convention.
• Rental and sale: Article 6 and Article 13(1) of the treaty allow income from property to be taxed in the country where it is located – here, the UAE.
• The method in Poland: Article 24 of the treaty – a credit for tax paid in the UAE, but no more than the part of Polish tax attributable to that income.
• On the UAE side: Corporate Tax generally does not cover an individual's income from real estate investment if the activity does not require a licence.
• Bottom line: “no tax in Dubai” does not mean no tax in Poland.

Who is a Polish tax resident

Under the Polish Personal Income Tax Act, a Polish resident is a person whose centre of personal or economic interests is in Poland, or who stays in Poland for more than 183 days in a tax year. Such a person has unlimited tax liability in Poland, which means they declare their income regardless of where it was earned. Buying a flat in Dubai does not in itself change your residence – you still live, work and have your family in Poland, so you remain a Polish resident.

One more detail of the treaty is worth knowing. Under its Article 4, a UAE resident is an individual who has their domicile in the UAE and is a UAE national. So if you are planning to move to Dubai, determining where you will be tax resident requires an individual analysis – a residence visa (including a golden visa – see UAE Golden Visa through property) or an address in Dubai is not enough.

What the Poland–UAE treaty says

The texts of the treaty, the protocol and the official notices can be found in the list of double tax treaties on podatki.gov.pl. The Polish Ministry of Finance also publishes there a synthesised text of the treaty taking the MLI into account (for reference only; it is not a source of law). For the owner of a flat in Dubai, three provisions matter most:

Treaty provision	What it covers	What it means in practice
Article 6	Income from immovable property – rental, use	The UAE may tax income from renting out a flat located in Dubai
Article 13(1)	Gains from the sale of immovable property	The UAE may tax the gain from selling a flat located in Dubai
Article 24(1)	Elimination of double taxation in Poland	Poland deducts income tax paid in the UAE – up to the part of Polish tax attributable to that income

The word “may” is key here: the treaty gives the UAE the right to tax, but it does not exempt you from tax in Poland. Poland still includes this income in your tax return and can only deduct the tax paid in the UAE.

Is rental income taxed in the UAE?

The UAE does not levy income tax on individuals' private rental income in the way Polish PIT does. Since 2023 a federal Corporate Tax has been in force. According to the UAE Ministry of Finance, it applies mainly to companies, and to individuals only in respect of business activities specified by a Cabinet decision. In its guide on real estate investment by natural persons (October 2024), the Federal Tax Authority explains that an individual's income from selling and renting out property in the UAE is excluded from this tax if the activity is not conducted under a licence and does not require one.

The consequence for a Polish resident: since no income tax usually arises in the UAE, there is nothing to deduct in Poland under the Article 24 method. Rental or sale income therefore has to be settled in Poland under Polish rules. Things may be different if you buy through a company or if the letting requires a licence – these are situations to analyse only with an adviser.

Renting out a flat in Dubai and PIT

As a rule, a Polish resident reports revenue from renting out a flat in Dubai in Poland. A few points worth discussing with an adviser before you buy:

• Form of taxation. Since 2023, private rental in Poland has been taxed only under ryczałt – a flat-rate tax on recorded revenue (8.5% on revenue up to PLN 100,000 a year and 12.5% on the excess). How these rules apply to rental abroad and how to reflect the UAE treaty in your return is for the adviser to determine.
• Currency conversion. Revenue in dirhams is converted into zlotys at the NBP average rate from the last working day before the day the revenue is received. Keep your bank statements and tenancy contracts.
• Documents. Tenancy contracts registered in Ejari, statements from the management company, service charge invoices – these will be useful to your adviser and in the event of a tax inspection.
• Short-term rental. In Dubai it requires a separate permit from the tourism authority and often a licensed operator – this may matter both for the assessment in the UAE and for your Polish tax return. The rules for letting in Dubai are covered in Renting out property in Dubai: Ejari and holiday homes.

We do not promise “profit with no tax”: rental income depends on the market, costs and vacancies, and Polish tax has to be included in every calculation.

Selling a flat in Dubai and PIT

When you sell, the Polish five-year rule applies. Selling property before five years have passed, counting from the end of the calendar year in which it was acquired, is a source of revenue for PIT, and the income (sale price minus documented acquisition costs) is taxed at 19%. It is declared in a separate annual return (usually PIT-39). A sale after five years have passed generally does not give rise to income tax.

Two issues are worth settling with an adviser in advance:

• Off-plan. When buying a unit under construction, you need to determine what counts as the acquisition date for the five-year period – signing the contract with the developer and registration in Oqood, or the issue of the title deed after construction is completed. This determines whether a sale “before handover” will be taxed.
• Costs and exchange rates. Acquisition costs include, among other things, the documented price and fees – for example the 4% DLD fee described in the article on buying costs in Dubai. All amounts are converted into zlotys according to the rules of the Act, so keep confirmations of transfers and exchange rates.

Buying through a company and other special situations

Buying through a company in Poland or in the UAE, joint ownership with a person living abroad, or receiving a flat in Dubai as a gift or inheritance – each of these situations has different tax consequences, also on the Polish side (for example, the controlled foreign company rules). Do not set up such structures without an adviser's analysis, and discuss the inheritance implications with a lawyer as well.

Also bear in mind the exchange of information: the UAE takes part in the automatic exchange of financial account information (CRS), so data on bank accounts in the UAE may reach the Polish tax administration. Transparent reporting from the outset is simply safer.

How to prepare for a meeting with an adviser

• the sale and purchase agreement (SPA) or memorandum of understanding (MOU), confirmation of registration with the DLD (Oqood or title deed);
• confirmations of all payments – with dates, amounts and currency;
• your plan: a flat for yourself, long-term rental, short-term rental or a sale within a few years;
• whether you are planning to change your place of residence.

How we help

We do not provide tax advice – we will recommend a tax adviser familiar with reporting UAE income and prepare a complete set of transaction documents for them. We help with the purchase itself, and we hold consultations about Dubai in Polish, Russian, Ukrainian and English. We describe the whole process in the article How to buy property in Dubai from Poland, and financing and transfers in the article UAE mortgages for non-residents and transferring money from Poland. Ask about a consultation.

Frequently asked questions