Program for obtaining a residence permit in the United Arab Emirates

Despite the fact that the United Arab Emirates is a rather young state, it has already managed to achieve prosperity and gain worldwide popularity. The unquenchable interest of residents of different countries is justified by the high standard of living and social security of the population, developed infrastructure and the reliability of this jurisdiction.

The UAE consists of seven emirates that have their own government and legislation. The state is a member of such international organizations as the UN, the League of Arab States, the Non-Aligned Movement, the Organization of Islamic Cooperation, etc. The official language is Arabic, but many citizens speak English, especially in Dubai and Abu Dhabi.

For foreign citizens who wish to live and work in the UAE, taking advantage of the local tax system, a program has been developed to obtain a residence permit through investment.

Program conditions

There are no minimum investment requirements for obtaining a residence permit, however, the establishment of a company in the Emirates is a prerequisite. The easiest way to register an enterprise is in a local free (special) economic zone (FEZ, SEZ), of which there are more than 30 in the UAE. Free economic zones have a special legal status and attract foreign businessmen with their favorable conditions. A prerequisite for opening a company is the lease of commercial real estate. Some free economic zones suggest the possibility of creating virtual offices. All companies established in such zones are required to prepare and submit annual financial statements. After opening a company, applicants need to come to the Emirates to undergo a medical examination.

Procedure and terms of consideration of the application

The process of consideration of the application begins after the registration of the company and obtaining a license to conduct the relevant activity and can last 1-2 months. Applicants with a resident visa in their passport must apply for an identity document (Emirates ID), which requires fingerprinting at one of the government centers. The validity of the resident visa and Emirates ID is 3 years, after which the whole process will have to be repeated. To maintain the residence permit, you must visit the Emirates at least once every six months.

Citizenship

Foreigners are not eligible to apply for UAE citizenship.

Taxation

Each FEZ in the United Arab Emirates and each individual emirate has its own tax rules. There is no standard income tax in the UAE, but in some emirates oil and gas companies and banking institutions are subject to it. At the same time, most enterprises are exempt from taxes for 15 years with the possibility of extending this period. Since January 1, 2018, VAT has been introduced in the Emirates at a rate of 5%.

Personal income tax is not charged. There is also no inheritance, gift or capital gains tax. Residential property maintenance fees (from 2 to 15% depending on the value of the property and the rules of the individual emirate) are charged, as well as a tax on real estate transactions.

The main advantages of obtaining a residence permit in the United Arab Emirates:

No personal income tax, property taxes, capital gains and wealth.
Relatively low costs for obtaining a residence permit.
Short processing times for applications.
High living standards.

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