Tax resident status in the UAE

In recent years, questions of tax residence have become increasingly important in the processing of tax returns for the state, banks and tax offices. Obtaining tax residency in the UAE has grown in popularity for several reasons:

The UAE will join the Common Reporting Standard (CRS) later than most other countries - as of 2018.
For businesses and individuals in the UAE, there are generally no taxes on trade income, dividends, investments, bonds, etc.
The United Arab Emirates offers tremendous opportunities for international companies; Companies are easy to integrate and can be managed effectively.

Who can apply for tax residence status in the United Arab Emirates?
A Certificate of Tax Residence in the UAE can be issued to an onshore company or an individual, but you must be a UAE resident first. This can be achieved in one of the following ways:

You can register a company in your name. There are no requirements for this company to participate in active trading; essentially its main purpose is to support your tax residency status. This status is maintained on the basis of the onshore company, which must be renewed annually.
You can buy real estate worth over a million dirhams in the United Arab Emirates. The owners must be a single individual or a married couple. If there is more than one owner (or the couple's marriage is not officially registered), each person must invest one million dirhams in the property. Our package deal includes applying for a residence visa with the option of an annual extension.

UAE onshore company

Starting a business in the United Arab Emirates is fairly straightforward and has proven to be an excellent tool for international trade, as well as for holding dividends and interest. A business established for tax residency purposes cannot be just a shell and you must have some revenue in the company's bank account.

Note that only onshore free zone companies in the UAE can be considered for tax residency purposes. Therefore, Ras Al Khaimah companies will be of no use in this regard.

If you decide to start your onshore business in a free zone, consider the Umm al-Quwain Free Zone: unlike many others, there are no share capital or statutory accounting and auditing requirements. As with all UAE Onshore Free Zones, your business will need a specific license depending on the type of activity you want to do. An onshore company must also have a rented office - this service is included in our corporate package.

http://www.confiduss.com/en/services/solutions/taxes/uae-certificate/


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