The UAE is a very progressive and stable country. It has a very functional governing system and is a very safe country to visit and reside. It has strong financial institutions, and is easy to get into it. This has led to its acceptance as a regional hub in pursuit of innovation and excellence.
As an independent country, UAE is not subject to the rules found in Europe or in the US. To this turn, it allows for more latitude in the structuring and disclosing of, one’s assets.
An International Business Company (IBC) may be an ideal solution for foreign investors and business owners. An IBC can be owned by a physical person (individuals) or a corporate body (another company). An “offshore” company in any of the UAE jurisdictions, cannot operate within the UAE or hold office.
In addition, the UAE is clear of the FATF blacklist or OECD 'blacklist' of tax heavens.
Taking a snapshot of the existing users of UAE “Offshore” entities, anyone can find group holding companies with assets in other jurisdictions, holding companies which hold licenses of franchises and copyrights as well as companies that trade across borders.
UAE Offshore advantages:
Business can be structured in order to optimize their overall tax liability
An offshore company provides a certain degree of confidentiality to the beneficial owner’s identity.
An Offshore company provides a good platform for international trade, especially when the owners trade in countries other than their country of residence.
An Offshore company holding real estate assets can more easily and efficiently change ownership than the straight sale of the real estate asset from person to person.
Most of the international and local banks operating in UAE avail their full services (including corporate and private banking bank accounts).
An Offshore company allows several investors (as shareholders of the company) to partner together and make investments as a single body/investment unit. This allows for more efficiency, faster speed of operation and maintaining the partnership arrangements only within the partnership and without having to disclose them at the time of investment.
The UAE has an advanced banking system, latest telecommunication facilities, flexible legislative framework and simple incorporation and filing requirements
Other advantages of Setting up an "Offshore" Company in UAE:
- 100% foreign ownership without requirement of the involvement of any UAE national as a shareholder or sponsor
- 100% import and export tax exemption
- 100% income tax, personal tax, and corporate tax exemption
- 100% repatriation on capital and profit
- Asset protection and investment diversification, protection of Legal Asset and Investments
- Confidentiality and privacy in operations
- Ease of opening corporate bank account in UAE
- Ease of international operations
- Easy procedures for shares transfer
- Income from taxable jurisdiction of an offshore or holding company is not taxable
- Low operational costs, with world class banking and investment management services
- Minimum requirement of one Director or Shareholder
- Multi-currency bank accounts with placement of funds in bank accounts other than the home country
- No foreign currency restrictions
- No minimum capital requirement
- No office space requirements and lesser infrastructural costs
- No value-added taxes or taxes on capital gains or withholding
- Great air access with some of the World’s best airlines
- Proximity to Gulf and global markets
- Quick incorporation
