UAE unveils tax residency criteria
- Thread starter Martin Everson
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This applies to those who need it. I am giving just another heads up to apply for your tax residency certificate asap under Article 5 for both natural and legal persons as per below. Cabinet Resolution No.85 is fully approved thu&¤#.
Determination of Tax Residency - 1st March 2023
https://tax.gov.ae/Datafolder/Files...inet Decision 85 of 2022 - For publishing.pdf
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Please note my posts should not be taken as financial or tax advice. Please seek professional advice in that respect.
Determination of Tax Residency - 1st March 2023
https://tax.gov.ae/Datafolder/Files...inet Decision 85 of 2022 - For publishing.pdf
Toggle signature
Please note my posts should not be taken as financial or tax advice. Please seek professional advice in that respect.
In theory even better, you could have a permanent place of residence OR have a business:
"If he has been physically present in the State for a period of (90) ninety days or more, within the relevant (12) twelve consecutive months, and he is a UAE national, holds a valid Residence Permit in the State or holds the nationality of any member state of the Gulf Cooperation Council, and meets any of the following:
- He has a Permanent Place of Residence in the State.
- He carries on an employment or Business in the State."
UAE national it is one of the conditions but you can also hold a resident permit they are both allowed conditions 🙂
And what if I stay in Dubai for 100 days then move to France for max 6 months and finally travel for around 3 months? Will it work?
Better stay a little bit less in your home country and also make sure to completely cut ties to it, no home at disposals, cars, rental contracts, gym memberships etc, and everything else which could tie it to your home country.
This applies to every country you do not want to trigger tax residency, but especially to your home country.
Is there a difference if you fly from Dubai to neighbouring EU country first (in case of France that would be: Belgium/Spain/Luxembourg/Germany/Italy) and then with bus/rail/car to your home country France without border check (Schengen rules)? In that case France doesn't have any clue that you are there?
Short term thinking. You will have to prove that you lived in UAE
Show flight tickets to UAE. Show credit card statements etc etc
If you're a small fish, properly cut all ties, deregister and don't leave any traces when visiting your home country...why would they waste their time and money on investigation?
But if you still have family/business/credit cards/bank accounts/real estate/flights in your home country, high net worth, and you're bragging on social media... you're a good candidate for tax investigation.
If you're a small fish, why bother with Dubai?
If you're a small fish, just stay in Europe. It's a paradise for everybody who does not exceed a certain threshold.
Last edited: Jan 14, 2023
Wise word.....Sometime Cost of moving and living in Dubai are more than paying tax for small fish......As @Martin Everson said " let people find out the hard way how things work"
I'm talking about small fish that is large enough to afford UAE visa and all other costs (budget version, without luxurious nonsense).
Costs are very important, sometimes it's better to just stay where you are and pay tax.
If you can afford UAE setup then that means make much more than an average EU salaried person. Governments are not looking for only high net worth individuals and they can easily select you for inspection. They can wait now and knock your door 5 years later.
I think it's better to spend out money in Dubai restaurants and hotels rather pay tax.
Even in home countries especially if they are western countries life is not cheap and restaurants are not free.
So still even if you overspend you can have life with less headache. Even if we talk income around 100k/year
Even in home countries especially if they are western countries life is not cheap and restaurants are not free.
So still even if you overspend you can have life with less headache. Even if we talk income around 100k/year
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