Registration with Tax Authorities in Dubai
Updated on Wednesday 21st September 2016
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The economic activities of companies in the UAE are controlled by individual emirates and by the Federal Government. The authorities in Dubai have created proper environments and interesting advantages for all foreign businessmen who wish to set up companies in the city. You can receive proper guidance and information about the tax registration in Dubai from our team of accountants in Dubai.
Taxes in Dubai
Dubai is a developed business center that offers many benefits for people who wish to have a business in the city. Regarding the tax system, there are no corporate taxes for most companies, no VAT, and there are no direct income taxes in Dubai. The real estate property taxes are applied for those who own buildings in Dubai, levies that need to be paid to the local tax authorities.
Regarding certain companies in Dubai, the commercial and the industrial enterprises pay 5% from their annual income. They also need to contribute with 12.5% for the pension fund of national employees. It is good to know that people who live and work in Dubai have no tax obligations, but the foreign residents may be subject to taxation in their home states. The 5% city tax is imposed for individuals who rent properties in Dubai. It is good to know that the corporate income tax is available for a few types of businesses in Dubai, in certain trade areas like gas and oil industry. Foreign banks with branches in Dubai need to pay a 20% tax rate on their annual income. The tax registration is controlled by the Dubai Department of Finance and by the Ministry of Finance.
Dubai import and export custom duties
It is necessary to know that goods intended for the UAE's customs zones are subject to duty, according to the common custom law, while goods designed for free trade zones are exempted from duty. As a general rule, an external fare of 5% is applied on all the imports to the GCC (Gulf Cooperation Council), according to the Common External Tariff (CET). In order to properly deliver the goods, all exporters need to show the original bills of landing, the original invoices and also the deliver orders.
Obtain tax details from our Dubai accountants
Our accounting firm in Dubai is ready to offer the needed assistance for all foreign businessmen who wish to know if they are subject to taxation. The registration with the tax authorities in Dubai can be made with the help and guidance from our accountants, no matter if you are having a small or a large company in Dubai, our team being specialized in a wide range of audit and accounting services.
If you need additional information about registration with the tax authorities in UAE and about the necessary documents, please don’t hesitate to contact our accountants in Dubai.