Quick Look TRC
UAE Tax Residency Certificate
The TRC helps investors avoid double taxation in their home country, if the country has a DTAA with the UAE.
The United Arab Emirates has double taxation avoidance agreements with over 100 countries worldwide. The Ministry of Finance issues TRCs to qualifying individuals and companies. The certificate is valid for a period of 1 year.
How can we help you?
- Assist with your residency requirements
- Process the TRC Application
- Provide a holistic solution for all your business needs
We can help you setup your structure in the UAE, with a functional bank account, UAE residence visa and other related requirements.
UAE TAX RESIDENCY CERTIFICATE
The United Arab Emirates provides a vibrant environment for businesses to setup and operate from the region. It offers a world-class lifestyle for investors to live and work, along with their families.
Most countries have tax laws that can be applicable to individuals and companies from those countries that operate from the UAE. In this regard, the UAE has signed over 100 Double Tax Avoidance Agreements (DTAA) worldwide, which have different levels of application.
Click here to download a list of current UAE Double Taxation Agreements.
Double Taxation Agreements
Double taxation is defined when similar taxes are imposed in two countries on the same tax payer 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).
The purpose of avoidance of double taxation agreements
- Promote the development goals of the UAE and diversify its sources of national income
- Eliminating double taxation, additional taxes and indirect taxes and fiscal evasion
- Remove the difficulties relating to cross-border trade and investment flows
- Offer full protection to tax payers from double taxation, whether direct or indirect and avoid obstructing the free flow of trade and investment and promoting the development goals, in addition to diversify sources of national income and increase the size of investments inflows
- Take into consideration the taxation issues and the global changes in the economic, financial sectors, and the new financial instruments and the mechanisms of transfer pricing
- Encourage the exchange of goods, services and capital movements.
What is a Tax Residency Certificate?
A Tax Residence Certificate is a document issued by the Ministry of Finance in the UAE. This is the main document that serves as an evidence of the individual’s or company’s UAE tax residency to qualify for exemptions under the DTAA.
What is a Tax Residence Certificate used for?
A Tax Residence Certificate is the main document that is used for claiming tax relief in the home country of the individual or company that applies for it.
The requirements are as follows:
- Passport copy and valid visa copy issued at least 180 days earlier
- Emirates ID copy
- 6 months personal UAE bank statements, each page stamped by the bank
- Proof of income in UAE, e.g., Employment agreement, share certificate, salary certificate
- Immigration (GDRF) Report (report evidencing all entries into and exists out of the UAE)
- Certified tenancy contract copy or title deed; valid for at least three months prior to application
Application Fees: AED 2,000 + AED 3, paid through e-Dirham Card
The requirements are as follows:
- Valid trade license copy
- Certified tenancy contract copy or title deed; valid for at least three months prior to application; a physical office space is mandatory (Flexi-desk does not qualify)
- Passport, valid visa copy and Emirates ID of the company Director/ Manager
- Latest certified audited financial statement or last 6 months company UAE bank statements; stamped by the bank
Application Fees: AED 10,000 + AED 10, paid through e-Dirham Card
How can 10 Zone help with your Tax Residency requirements?
10 Zone has:
- been setting up businesses in Dubai since 2004
- experts in consultancy and company formation
- a team of highly qualified Lawyers, Chartered Accountants and Relationship Managers
- capabilities to assist you in English, Arabic, French, German, Turkish, Hindi, Afrikaans & Tagalog.
- Assistance in company formation
- Assistance in bank account opening
- Visa processing
- VAT registration
- HR & Payroll
- Contracts and Agreementsf
- Secretarial and Annual Compliances
- Marketing and branding
- 100% foreign ownership
- 0% corporate tax for 50 years
- 0% personal income tax
- 100% repatriation of capital and profits
- 0% import or re-export duties
- No currency restrictions
- No restrictions on foreign talent or employees
All entities in DMCC can register a free zone establishment as one of the following –
I. Limited Liability Company
The liability of its shareholders is limited to the value of the share capital they hold in the company.
II. Branch Company
A branch is a representative office of a legal entity which already exists outside of the DMCC Free Zone (local or international). A branch company -
- derives its power and authority from the parent entity thus does not have separate legal personality.
- will not have a board of directors or company secretary
- must retain the same name as the parent entity and end with the designation (Branch).
DMCC offers a wide range of business activities which are categorized into the following licenses:
- Trading LicenSes – allows the holder to carry out trading activities specified in the Licence.
- Service Licenses – allows the holder to carry out services specified in the Licence.
- Industrial Licenses – allows the holder to carry out light manufacturing activities as specified in the License
To see the full list of business activities, download here
Source: Dubai Multi Commodities Centre Authority Free Zone Rules and Regulations
DMCC have the following lease or office types to offer:
- Flexi-desks / Business Centre
- Office Spaces and Solutions
- Commercial Freehold property
Here are the initial documentation required for incorporation process:
- Know Your Client (KYC) form
- Business Plan
- Passport Copy of shareholder, director, manager, company secretary, and/or legal representative.
- Proof of residential address (valid tenancy contract, utility bill (not older than 6 months), bank confirmation letter (not older than 6 months)..etc.)
Parent Company Documents (for BRANCH COMPANIES)
- Certificate of Registration
- Memorandum & Articles of Association
- Certificate of Incumbency
Additional requirements will be advised during the incorporation stage.
License fee starts at $5,530
Visas fee starts at $1,450
Flexi-desk space starts at $5,000 (with an option for three visas)
Office space - from $20 per sq.ft. per annum