Since the turn of the century, the United Arab Emirates has become one of the most popular business destinations for high-net-worth European investors. Major emirates like Dubai, Abu Dhabi, and Sharjah have made their mark as global trade and commerce centers and are the hottest jurisdictions for foreign investors who are looking for lucrative business opportunities along with high standards of living. In addition, the UAE remains one of the best options for investors since it offers unparalleled tax advantages to its residents.
What is Tax Residency?
Every person is legally obligated to pay taxes to a country. The country that receives your taxes is the tax residence. As a tax resident, you will be able to enjoy certain deals and the UAE remains one of the top countries that offer fiscal and economic welfare to European residents and give them excellent opportunities for business expansion.
All of the benefits come at a lesser cost than what you will have to pay in most European countries.
What is the Tax Residency Certificate in the UAE?
A UAE Tax Residency Certificate allows eligible individuals to take advantage of the UAE’s Double Taxation Agreements, tax benefits from imports and exports, and other tax incentives.
A natural person living in the UAE for at least 180 days can apply for the tax residency certificate while a legal person operating in the UAE can apply for the tax residency after at least 1 year. The certificate is valid for one year and is renewed if the eligibility criteria is met.
Benefits of Tax Residency in the UAE
One of the most attractive reasons for doing business in the UAE is the tax residency benefits. These include the following:
- 0% income tax
- The Double Taxation Treatise helps individuals avoid double taxation in over 100 countries
- Operating in a jurisdiction with a spotless record with international financial regulators.
- Tax benefits for exports and imports
- UAE residency with access to lucrative property and other investments
- Residency in a country with a low crime rate, a stable political environment, and a growing economy
- Visa-free travel to multiple destinations
- Getting a UAE driving license easily
- Access to a UAE bank account
- Access to a range of public services, including education institutions, health services and health insurance, etc.
- Access to international trade, particularly with South Asia and the North African region.
- Cutting-edge business infrastructure and technology
- 2-year or 3-year residency which can be renewed if conditions are met
- Investors can sponsor UAE Residency Visas for immediate family members like parents, spouse, and children.
- Protection of wealth, business, and family in the country
- Enjoying a high quality of life in the Middle East.
How Can Capatt Services Help You
At Capatt Services, we have a proven record of helping European investors obtain top-notch tax residencies in the UAE. Our expert business setup consultants can guide you every step of the way when it comes to acquiring your UAE tax residency. We have tax planning experts who work with high-net-worth investors so that they can redomicile their business to the Emirates. Our team can also help you establish a new business in the country in the jurisdiction of your choice.
If you want to change your tax residence to the UAE, Capatt Services can support you. Reach out to us today at https://www.capattservices.com/.
