Guide · updated 16.08.2026 · 13 min read · Lucent Legal team

What Changed in UAE Law in 2026: The Full Roundup

UAE Law Changes 2026: What's New for Expats

Key points

  • Since 15 April 2025, the updated Personal Status Law No. 41 of 2024 applies to Muslim families and anyone outside the separate civil-law regime: custody (hadana) now runs to age 18 for both sons and daughters.
  • Since 1 June 2026, a new MOHRE salary rule — Ministerial Resolution No. 340 of 2026 — requires last month's wages by the 1st of the following month and raises the WPS compliance threshold from 80% to 85% of amounts due.
  • Since 1 June 2026, a new Civil Code (Federal Law No. 25 of 2025 on the Civil Transactions Law) replaced the 1985 law: the age of majority drops from 21 to 18 for contracts, banking, and starting a business.
  • Since January 2025, the Dubai Land Department (DLD) has been rolling out the Smart Rental Index — instead of one averaged rate per district, each building gets a 1-to-5-star rating that caps how much rent can rise.
  • Sources disagree on a February 2026 Golden Visa change: some report the 50%-of-property-value payment requirement was scrapped, others say it was newly introduced for off-plan property — check the current rule with ICP/GDRFA or a lawyer before you file.

Over the past 12–18 months the UAE rewrote the rules on family, rent, salary, visas, and tax — the areas that touch almost every expat. The trouble is the news sits scattered across dozens of law-firm blogs that repeat each other and disagree on the details. This roundup pulls together only the 2025–2026 changes backed by official portals or major law firms, flags where sources conflict, and links each topic to its full guide.

Family Law: Law No. 41/2024 in Full Effect

Since 15 April 2025, custody (hadana) runs to age 18 for children of either sex. Federal Decree-Law No. 41 of 2024 on Personal Status took effect that day, replacing the old rules for Muslim families and anyone who hasn't opted into the separate civil regime for non-Muslims, which has run in parallel since 2023. The previous cutoffs differed, roughly 11 for boys and 13 for girls. From age 15, a child can tell the court which parent they'd prefer to live with.

This covers divorces and disputes over custody and guardianship (wilaya — the legal authority over schooling, travel abroad, and medical decisions), which for many expat families fall under this law unless a foreign law has been invoked instead. For who gets custody and until what age, how custody differs from guardianship, and what the court weighs, see "Child Custody in the UAE".

Golden Visa: What Changed in February 2026 — and Where Sources Disagree

The main 2026 Golden Visa track is real estate worth AED 2,000,000 or more in certified value, granting a 10-year visa — but the February 2026 update carries a genuine conflict worth naming. Some credible sources say the previous requirement to pay at least 50% of the property's value (based on the full certified contract or DLD valuation, including mortgaged and off-plan property) was scrapped. Others report the opposite: that a mandatory 50% payment was newly introduced specifically for off-plan property, as a condition for a visa tied to that unit.

A direct contradiction over the same update means you should confirm the detail right before you file, through the official ICP/GDRFA portal or with the lawyer handling your case, not a general blog post. For categories, amounts, and the most common reasons applications get rejected across all Golden Visa tracks, see "UAE Golden Visa 2026".

Smart Rental Index: Dubai's New Logic for Rent Caps

Since January 2025, each Dubai building gets its own 1-to-5-star rating, and that rating sets the rent cap. The Dubai Land Department (DLD) has been rolling out the Smart Rental Index, which replaces the old averaged rate per district with a per-building score based on more than 60 criteria: the building's age, condition, amenities, location. This building-specific rating, not the neighbourhood figure, now sets how much a landlord may raise rent under the Decree No. 43 of 2013 formula (0/5/10/15/20%, depending on how far the current rent lags the market).

For tenants, checking whether a specific increase is legal now means running your own building's rating through the current RERA rental index calculator on dubailand.gov.ae or the Dubai REST app. The landlord's duty to give at least 90 days' written notice of any increase still stands. For the full scale, worked examples, and what to do in a dispute, see "Rent Increases in Dubai".

WPS: New Salary Regulation From 1 June 2026

Since 1 June 2026, wages must reach employees by the 1st of the following month, and the WPS compliance threshold rose from 80% to 85%. Ministerial Resolution No. 340 of 2026 replaced the previous Resolution No. 598 of 2022 and tightened the Wages Protection System (WPS). Anything paid after the 1st already counts as a delay, and the 85% threshold applies to the amounts owed to all employees by that date.

The rule adds a staged penalty scale tied to how late a company runs: on day 2, notices and warnings; on day 5, new work-permit applications get blocked; on day 11, administrative fines (reportedly from AED 1,000 per affected employee) and a category downgrade; on day 16, an automatic labor-dispute filing and a permit freeze for companies with 25 or more unpaid employees in certain sectors; on day 21, asset freezes, a travel ban on the person responsible, and referral to the public prosecutor. The old 30-day grace period for new hires is gone too. This applies to all private companies licensed by MOHRE; free zones may adopt the rule separately.

Corporate Tax: A 2026 Deadline That's Easy to Miss

Corporate tax has applied since 1 June 2023: 0% on profit up to AED 375,000 and 9% above that, with Federal Tax Authority (FTA) registration mandatory even for free-zone companies taxed at 0%. One deadline lands specifically in 2026: under the current decision, Small Business Relief (an effective 0% rate for revenue up to AED 3 million) only covers tax periods ending on or before 31 December 2026. So 2026 could be the last year small businesses and some licensed freelancers automatically qualify.

Late FTA registration draws a flat AED 10,000, whether or not any tax was owed. A late return costs AED 500 a month for the first 12 months, then AED 1,000 a month. For who the 9% rate applies to, what QFZP status means for free zones, and the full penalty table, see "UAE Corporate Tax 9% in 2026".

New Civil Code: Adulthood at 18

Since 1 June 2026, the age of majority drops from 21 to 18. Federal Law No. 25 of 2025 on the Civil Transactions Law — a new Civil Code replacing the 1985 law — is now in force, which law firms call the biggest change to civil law in 40 years. From 18, a person can sign contracts, manage their own finances, start a business, and take part in court proceedings without a parent's or guardian's consent. The law also tightens good-faith disclosure in negotiations and clarifies how courts calculate damages.

Labor, family, banking, and insurance relationships stay outside the new code and run under their own separate laws (on wrongful termination specifically, see "Wrongful Termination in the UAE", which also covers the two-year window to file a labor claim).

Smaller Visa and Penalty Changes

Beyond the major reforms, 2025–2026 brought several narrower changes worth knowing even if they don't apply to everyone:

  • Salary threshold for family sponsorship: some sources report the minimum salary for family sponsorship rose from AED 3,000 to AED 4,000 a month — double-check it when you apply, since requirements vary by emirate and visa category.
  • One-off overstay amnesties: authorities periodically open short windows to fix status without a fine — for example, a 30-day grace period from 10 June to 9 July 2026 for people unable to leave because of a flight suspension in late February 2026. These are one-time events, not a standing rule, so don't count on the same dates repeating.
  • Expanded visa-on-arrival: per some sources, new nationalities joined the visa-on-arrival list, and holders of certain third-country visas (Singapore, Japan, South Korea, among others) gained visa-on-arrival eligibility similar to existing rules for US/UK/EU visa holders.

These points shift more often than the major reforms and are less widely confirmed. If a specific situation hinges on one of them, verify it with ICP/GDRFA or a lawyer right before you act.

FAQ

Which UAE law matters most for expats in 2026?

There's no single answer — it depends on the situation. For families with children, it's Personal Status Law No. 41/2024 (custody to age 18); for tenants, the Smart Rental Index; for employees, the new WPS rule from 1 June 2026; and for companies, the Small Business Relief deadline under corporate tax.

Is the new Civil Code already in force?

Yes. Federal Law No. 25 of 2025 on the Civil Transactions Law took effect on 1 June 2026 and replaced the 1985 law. It doesn't override the separate laws on labor, family, banking, or insurance, which still run under their own statutes.

Is it true you no longer need to pay 50% of the property price for a Golden Visa?

Sources disagree. Some say that requirement was scrapped in February 2026; others say a 50% payment was newly introduced for off-plan property. Confirm the exact rule at the time of filing with ICP/GDRFA or the lawyer handling your case.

How do I know how much my landlord is allowed to raise the rent in 2026?

The increase formula itself (0/5/10/15/20% under Decree No. 43 of 2013) hasn't changed, but since January 2025 the cap for a specific building comes from its Smart Rental Index rating (1 to 5 stars) rather than an averaged district rate — check the current figure on the Dubai REST app or dubailand.gov.ae.

What happens to an employer for late salary payment after 1 June 2026?

Under the new Ministerial Resolution No. 340 of 2026, penalties escalate by day: warnings and a block on new work permits on days 2–5, administrative fines (reportedly from AED 1,000 per employee) on day 11, and a travel ban on the person responsible on day 21.

Does my free-zone company have to register for corporate tax?

Yes. FTA registration is mandatory for all taxable persons, free-zone companies taxed at 0% (QFZP) included, and late registration draws a flat AED 10,000 regardless of whether any tax was actually due.

Sources

This material is a general roundup and doesn't replace legal advice — the underlying laws and how they're interpreted can be updated, and on some points (Golden Visa, the smaller visa changes) sources directly disagree. For action on a specific case (a deal, a visa, a dispute with an employer), verify the current requirement directly with the relevant official body (MOHRE, ICP/GDRFA, DLD, FTA) or with a lawyer in the UAE.

This material is for information only and is not legal advice. UAE law changes — a lawyer will assess how it applies to your situation.