Tax Residency & Special Tax Regimes

Tax Residency & Special Tax Regimes

The UAE remains one of the world’s most attractive tax jurisdictions, with no personal income tax, no inheritance tax, and no capital gains tax on most asset classes.

Tax Residency Certificate

  • Trigger: 183-day rule or proving center of vital interests in the UAE
  • Benefit: Allows treaty access under the UAE’s 137+ double taxation agreements
  • Application: Via Ministry of Finance; requires Emirates ID, local bank statements, tenancy contract, and utility bills

Corporate Tax Developments

While a 9% corporate tax was introduced in June 2023 for profits exceeding AED 375,000, individuals with passive income or offshore earnings remain unaffected unless operating a UAE-registered business entity.

Strategic Tax Planning

High-net-worth individuals can use the UAE’s non-domiciled structure for:

  • Shielding global income from taxation
  • Estate planning (e.g., DIFC Wills Registry)
  • Tax-efficient crypto operations or holding companies