TAX FREE ENVIRONMENT IN UAE

12 June 2012
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Written by Administrator

Generally, people pay taxes in the country they live and/or work in, whether it be income tax, and/or a tax on consumption (eg VAT in the UK, MwSt in Germany, GST in Canada and New Zealand, etc. Tax is also paid on income derived from within a country whether or not you live there eg rental property, investments. But UAE has established a reputation of being largely a tax-free country Dubai's key benefits are

  • The investor becomes the partner in the company.
  • The investor gets the investor visa under which he/her enjoys an investor’s status in Dubai along with his/her family.
  • The investor can open an account in the bank having his authority to operate the account as well as creating any kind of banking transactions without local national’s assistance. The local national partner cannot open an account in the bank as bank account operations authorization is clearly mentioned in the name of the investor in the court agreement.
  • The liability of the company is restricted to the company only. It means that if any loss occurs in the company, the partner’s personal assets are not attachable.
  • The investor gets more facility to employee people in the company.
  • The investor can create more branches at different places for his activities.
  • The investor can run the business without the day-to-day interference of the local national partner.

The assets and capital created will be in the name of the company and not in the name of the local national partner.