How To Obtain UAE Tax Residency Certificate

One of the main advantages of doing business in UAE is the fact that you can benefit from the attractive tax-friendly environment. By obtaining sufficient proof of tax residency in the UAE, one can avail a wide range of tax benefits. The UAE Tax Residency Certificate (TRC) is an official document issued by the UAE Ministry of Finance confirming that individuals and corporate entities reside in the UAE thereby avoiding the double taxation. A Double Taxation Agreement is usually signed between the UAE and other treaty countries for avoiding double taxation of income earned in one country by a non-resident. The UAE first signed the double taxation agreement with France, ever since the country has signed 92 treaties with countries across the globe.

Any person residing in the UAE for minimum 180 days can apply for the Dubai Residency Certificate. The non-residents cannot apply for this certificate. Companies operating in the UAE for at least past one year can apply for a tax residency certificate.

Benefits of UAE Tax Residency Certificate

• Can avoid double taxation.
• Can receive tax incentives.
• Can avail tax benefits for import and export.
• Can promote international business and strengthen cross border business relationship.

How to get Tax Residency in the UAE?

There are 3 ways to obtain a UAE residence certificate: via an employment contract, by purchasing immovable property, or by registering a free zone company. By registering a free zone (FZ) company, expatriate shareholders and employees of the company can apply a residency status.

Applicants can sign up an account on the MOF website system in order to receive the tax Residency certificate in Dubai by email.

Listed below is the process for obtaining a Double Taxation Certificate:

• Creating an online account in the Ministry of Finance system (MOF).
• Filling up a tax Residency application form.
• Uploading essential documents in required digital formats such as PDF or JPEG.
• Paying Application Fee.
• Receiving email notification of successful verification of application.
• Making remaining payment advice.
• Issuance of certificate and receiving at the registered address by express courier.

Here is the document list required for obtaining a Tax Residence Certificate:

For companies

• A copy of the trade license and partners’ documents.
• A copy of MOA (Memorandum of Association).
• A copy of the company’s owners/partners/directors’ passports, IDs and residence permits.
• A certified copy of the audited financial accounts.
• 6 months Bank statement.
• A copy of certified lease agreement.
• The establishment contract certified by authorities if required.
• The organizational structure of the company if required.

For Individuals

• A copy of Passport and Emirates ID.
• Valid residence permit.
• Ejari/ Tenancy contract.
• 6 months Bank statement.
• Salary certificate / Income certificate.
• A proof from the General Directorate of Residency and Foreigners Affairs mentioning the duration of the applicant’s stay in UAE (Minimum 180 days).
• Tax forms (if required) from the country where the certificate needs to be submitted.

Validity of UAE Tax Residency Certificate

The validity of the UAE tax residency certificate is one year from the date of issue. Companies and individuals can use the Tax Residency Certificate also referred to as Tax Domicile Certificate for one country at a time.

A sound knowledge in tax planning, accounting and existing rules are essential for getting maximum benefits out of the tax residency certificate in Dubai. Considering all these, it is always better to outsource this task to a well-experienced business consultants who offer the best PRO services in Dubai. Over the past few years, CORPIN has become a truly established business setup provider in UAE. Contact us for any service related to obtaining tax residency certificate.