In today’s global environment, businesses are not limited to domestic incorporations. Offshore incorporations are no longer just for large elite global corporations, but offer many advantages to medium and even small sized businesses and competition is high between the various jurisdictions. That said we take a look at why so many international traders are choosing the United Arab Emirates for their incorporations.
The United Arab Emirates is entirely independent. It is not a member of the EU or any other organisation which in recent years have been exerting pressure on their various members to introduce measures to eliminate competition between jurisdictions. The UAE have complete control over their policy and their decisions have reflected their position that the UAE is open for business especially when it comes to international trade.
Some of their advantages include, but are not limited to the following;
- No corporation tax
- No import or export taxes
- No capital gains or withholding tax
- No foreign exchange controls
Whilst many offshore jurisdictions with similar if not the same inviting tax rates are small dependent islands with limited economies, not the UAE. In fact the UAE has one of the most diverse and fastest growing economies in the world with one of the highest standards of living.
Many global powers have strong ties to the UAE and therefore in recognition of its vital international role it commands respect worldwide as an established jurisdiction.
The UAE has double taxation agreements with a number of other countries and are in the process of concluding a number of others including with the United Kingdom.
If you would like to know more about the various advantages that an incorporation in the UAE or perhaps one of the numerous other jurisdictions could offer to your business please do not hesitate to contact us.