Even for 15-20M AED / month business ? I think bank could be more compliant, if a lot people Switch with RAKICC company
Does the new UAE tax apply for RAKICC offshore companies?
- Thread starter OJ333
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Banking in UAE for non residents (companies or individuals) is extremely difficult. Hardly you will find any bank that under normal circumstances will onboard you.
If you have a real use case of why you need an offshore company and you cannot work with onshore company and you are managing a lot of money, try to find a smaller bank where you can more easily talk with managers or branch directors to expose your case tell them the amount of money or business you will bring to them and you might be lucky, as smaller banks have targets to meet and you can help them︀ achieve them. But remember that this is case by case and you have to be︁ very lucky by meeting the right person at the right moment.
Other than that, go︂ the traditional onshore way and you will have bank easier (still can be hard sometimes︃ but easier than offshore)
If you have a real use case of why you need an offshore company and you cannot work with onshore company and you are managing a lot of money, try to find a smaller bank where you can more easily talk with managers or branch directors to expose your case tell them the amount of money or business you will bring to them and you might be lucky, as smaller banks have targets to meet and you can help them︀ achieve them. But remember that this is case by case and you have to be︁ very lucky by meeting the right person at the right moment.
Other than that, go︂ the traditional onshore way and you will have bank easier (still can be hard sometimes︃ but easier than offshore)
Seems like they will be all taxed, except qualifying activities which are pretty useless are very few and does not fit the majority of people doing business in dubai.
Currently in IFZA but trying to find a new alternative... maybe Hong Kong or a Bahrain
Currently in IFZA but trying to find a new alternative... maybe Hong Kong or a Bahrain
what about? Issuance of Tax Certificates (Tax residency and commercial activi
Quoting: Offshore companies are not eligible to obtain Tax residency certificate as they are not considered to be established in the UAE.
Quoting: Offshore companies are not eligible to obtain Tax residency certificate as they are not considered to be established in the UAE.
If there is no tax it’s good think we still have opportunity in this country, but main problem is business banking ..
If there is no CIT there is income tax, if there is no income tax there is poor banking system if there is 0% with banking systeme it’s in a middle of island and you can do nothing
I am guessing you are basing this on the legal opinion of the senior tax advisor you mentioned earlier. Did you also talk to him about the effective management of the RAK ICC? From everything I understand about the new corporate tax laws, the RAK ICC cannot be managed by a UAE resident and remain tax-free, as that would trigger a permanent establishment and, thus, corporate tax. Or am I missing something, @OJ333?
Where I do follow: RAK ICC managed by a non-resident might remain tax-free, although still not 100% confirmed by the authorities.
Where I do follow: RAK ICC managed by a non-resident might remain tax-free, although still not 100% confirmed by the authorities.
Official guidance doesn't look like this, but certain types of income might be exempt.
Companies and other juridical persons that are incorporated or otherwise formed or recognised under the laws of the UAE will automatically be considered a Resident Person for Corporate Tax purposes.
Who is subject to Corporate Tax?
Corporate Tax applies to the following “Taxable Persons”:
What income is exempt?
The Corporate Tax Law also exempts certain types︀ of income from Corporate Tax. This means that a Taxable Persons will not be subject︁ to Corporate Tax on such income and cannot claim a deduction for any related expenditure.︂ Taxable Persons who earn exempt income will remain subject to Corporate Tax on their Taxable︃ Income.
The main purpose of certain income being exempt from Corporate Tax is to prevent︄ double taxation on certain types of income. Specifically, dividends and capital gains earned from domestic︅ and foreign shareholdings will generally be exempt from Corporate Tax. Furthermore, a Resident Person can︆ elect, subject to certain conditions, to not take into account income from a foreign Permanent︇ Establishment for UAE Corporate Tax purposes.
Companies and other juridical persons that are incorporated or otherwise formed or recognised under the laws of the UAE will automatically be considered a Resident Person for Corporate Tax purposes.
Who is subject to Corporate Tax?
Corporate Tax applies to the following “Taxable Persons”:
- UAE companies and other juridical persons that are incorporated or effectively managed and controlled in the UAE;
What income is exempt?
The Corporate Tax Law also exempts certain types︀ of income from Corporate Tax. This means that a Taxable Persons will not be subject︁ to Corporate Tax on such income and cannot claim a deduction for any related expenditure.︂ Taxable Persons who earn exempt income will remain subject to Corporate Tax on their Taxable︃ Income.
The main purpose of certain income being exempt from Corporate Tax is to prevent︄ double taxation on certain types of income. Specifically, dividends and capital gains earned from domestic︅ and foreign shareholdings will generally be exempt from Corporate Tax. Furthermore, a Resident Person can︆ elect, subject to certain conditions, to not take into account income from a foreign Permanent︇ Establishment for UAE Corporate Tax purposes.
maybe you can post it again, and kindly share the link so we can all start asking what is happening?
Yes but you still UAE resident︁ so if you live there you will have to pay CIT, maybe interesting for people︂ outside the country but in this case just open an US LLC ..
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