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UAE Double Tax Treaties

Dec 25th ,2019 / Haroon Juma / VAT Blogs

UAE Double Tax

In seeking to establish a competitive and dynamic economy, the UAE Government has sought to build an attractive investment environment to offer resident companies and individuals the benefits of its attractive tax environment.

The Ministry of Finance has over the last years agreed on Double Tax Treaties with a number of jurisdictions to minimise impacts from similar taxes imposed on the same taxpayer in both countries.

The UAE Double taxation is defined as when similar taxes are imposed in two countries on the same taxpayer on the same tax base, which harmfully affects the exchange of goods, services, and capital and technology transfer and trade across the border.

Public and private companies, investment firms, air transport firms, and other companies operating in the UAE, as well as residents, benefit from Avoidance of Double Taxation Agreements (DTA).

With the purpose of promoting its development goals, the UAE concluded 115 DTA with most of its trade partners.

Who is eligible under avoidance of DTA Agreements?

There are specific requirements to obtain a tax residency (Domicile) certificate in UAE issued by the International Financial Relations and Organisations Department.  

UAE Double Tax

In both scenarios, the applicant must provide the necessary documents to support and evidence their eligibility.

What documentation is required?

Depending on the applicant (as a company or individual) different documentation is required:

Companies

Individuals

Trade License.

Proof of Authorization (Establishment Contract or the Power of Attorney).

Copy of the audited financial accounts certified by a certified audit firm.

A bank statement issued by a local bank covering 6 months within the financial year related to the request.

Certified copy of the Memorandum of Association (if applicable).

Passport.

Valid Residence Permit.

Emirates ID.

A certified copy of residential lease agreement.

Source of income/salary certificate.

A bank statement issued by a local bank covering 6 months within the financial year related to the request.

Entry and exit report from Federal Authority of Identity and Citizenship or a local competent Government entity.

Failure to provide accurate and valid documentation can lead to delays and complications, therefore preparation is recommended with support from an experienced advisor.

What jurisdictions are applicable?

MoF is continuing to increase its arrangements with other tax jurisdictions, the complete list for December 2019 is listed below:

Country

Entry into force

Country

Entry into force

Country

Entry into force

Albania 3/26/2015 Guinea 7/9/2014 Panama 10/23/2013
Algeria 6/25/2004 Guinea- Bissau Paraguay 1/20/2019
Andorra 8/1/2017 Hellenic 12/16/2014 Philippine 10/2/2008
Angola 3/28/2020 Hellenic (Protocol Amendment) 12/16/2014 Poland 2/3/1994
Antigua and Barbuda 2/24/2022 Hong Kong 12/10/2015 Poland 5/1/2015
Argentina 1/20/2019 Hungary 10/4/2014 (Protocol Amendment(
Armenia 1/11/2005 India 9/15/1993 Portugal 5/22/2012
Austria 9/23/2004 India (Protocol) 10/3/2007 Republic of Congo (Brazzaville)
Austria (Protocol Amendment) India (Protocol) 3/12/2013 Romania (New) 12/11/2016
Azerbaijan 6/12/2007 Indonesia (New) 8/19/2021 Russia 6/23/2013
Bangladesh 6/13/2011 Iraq Rwanda 12/4/2019
Barbados 2/18/2016 Ireland 7/19/2011 Saint Kitts and Nevis
Belarus 2/1/2001 Israel 12/29/2021 Saint Vincent and the Grenadines
Belarus (Protocol Amendment) 5/1/2020 Italy 10/5/1997 San Marino
Belgium 12/22/2003 Jamaica Senegal 7/2/2017
Belize 10/24/2017 Japan 12/24/2014 Serbia 7/2/2013
Benin Jersey 9/25/2017 Seychelles 4/14/2007
Bermuda 7/5/2019 Jordan 1/10/2017 Sierra Leone
Bosnia and Herzegovina 5/19/2009 Kazakhstan 11/27/2013 Singapore 7/18/1996
Botswana 3/27/2020 Kenya 2/22/2017 Singapore Protocol Second Amendment 3/16/2016
Brazil 3/15/2021 Kingdom of Saudi Arabia 1/1/2020 Slovak 4/1/2017
Brunei Darussalam 11/21/2014 Korea 3/9/2005 Slovenia 9/29/2014
Bulgaria 11/16/2008 Korea 2/29/2020 South Africa 11/23/2016
Burkina Faso Kosovo 7/3/2017 South Sudan
Burundi Kyrgyzstan 12/16/2015 Spain 4/2/2007
Cameroon 7/8/2021 Latvia 6/11/2013 Sri Lanka 7/4/2004
Canada 5/25/2004 Lebanon 3/23/1999 Sudan 6/6/2004
Chad Liberia Suriname
Chile 7/28/2022 Switzerland 10/21/2012
China 7/22/1994 Libya Switzerland (Protocol)
Colombia Liechtenstein 2/24/2017 Syria 1/12/2002
Commonwealth of Dominica Lithuania 12/19/2014 Tajikistan 3/27/2000
Comoro Islands 1/2/2018 Luxembourg 6/19/2009 Tanzania
Costa Rica 6/9/2021 Luxembourg (Protocol Amendment( 1/1/2016 Thailand 1/4/2001
Cote D’ivoire Macedonia 2/7/2017 The Co-operative Republic of Guyana
Croatia 1/1/2019 Magnolia 2/24/2004 Tunisia 5/27/1997
Cyprus 3/17/2013 Malaysia 9/24/1996 Turkey 1/29/1995
Czech 1/1/2005 Maldives 8/9/2018 Turkmenistan 12/30/2011
Mali Turkmenistan (Protocol Amendment) 2/5/2019
Czech (new) Malta 9/13/2006 Uganda
Democratic Republic of the Congo 1/24/2023 Mauritania 7/18/2019 Ukraine 3/9/2004
Ecuador 8/1/2021 Mauritius 9/25/2007 Ukraine
Egypt (New) 4/19/2021 Moldova 7/26/2018 (Protocol Amendment)
Equatorial Guinea Monaco United Kingdom of Great Britain and Northern Ireland 12/25/2016
Estonia 3/29/2012 Montenegro 2/11/2013 United Mexican States 7/9/2014
Ethiopia 11/6/2018 Morocco 7/1/2000 Uruguay 6/14/2016
Fiji 12/20/2013 Mozambique 6/4/2004 Uzbekistan 2/25/2011
Finland 12/26/1997 Netherlands 6/2/2010 Venezuela 6/20/2011
France 11/8/1994 New Zealand 7/29/2004 Vietnam 4/12/2010
Gabon 2/16/2023 Niger 8/18/2021 Yemen 1/1/2004
Gambia Nigeria Zambia 1/13/2023
Georgia 4/28/2011 Pakistan 11/20/2000 Zimbabwe 2/7/2021
Ghana Palestine

Support to You

If your business is unsure and inexperienced with the MoF process, it is advisable to secure expert support.

As a Registered Tax Agency, we at SimplySolved Accounting are able to support you in obtaining your Tax Domicile Certificate.
The benefit of setting out with professional support will save time, and frustration and avoid negative consequences.

Contact us to speak to an experienced advisor.

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