How Setting Up an Offshore Company In the UAE is beneficial?


 

UAE has become one of the most attractive jurisdictions to set up an offshore company for large corporations as in 2003 the offshore companies were introduced in UAE. An offshore company is a business entity that does not carry out any business operations in its country of origin and it can be owned by individuals or a corporation. Offshore company formation in Dubai helped a large number of corporations to effectively manage their income and tax liabilities.

Mentioning below the key benefits that make UAE the best destination for setting up Offshore Companies:

1.   Tax Advantages :

In UAE, Most offshore companies are exempt from paying any taxes including personal income tax or corporate tax. 100% exemption from import and export taxes are enjoyed by Offshore companies. Value-added taxes (VAT) or taxes on capital gains or withholding tax are not applicable for offshore companies.

2.   The anonymity of the Business :

Any kind of financial information is not published by any offshore company. As it is not required to publish financial information or the details of its directors or shareholders. Unless criminal or terrorist activities are suspected such information about the company is not revealed to any third party. Thereby it increases the anonymity in the business operations of such a company.

3. Low Maintenance Cost & Ease of Formation :

Around 3-7 working days are required to Set up an offshore company in the UAE and no minimum capital requirements. For an offshore company, one director and one shareholder are mandatory with no restrictions on the citizenship of the director or shareholder. An offshore company is not required to have a physical office space in UAE, they may have a virtual office space.

4. Access to Bank Accounts :

In UAE, in any offshore company, multiple currency bank accounts can be set up with many local and international banks.

5. Asset Protection :

Assets such as real estate, intellectual property, securities can be held by offshore companies in the UAE, no matter where the asset is located. The information on the ownership of an offshore company in the UAE is completely unidentified which is beneficial for foreign investors to protect their assets from third parties or lawsuits.

Hence, it is proved that the formation of offshore companies in Dubai is beneficial. For setting up an Offshore company, the requirement of accounting and auditing services in Dubai is mandatory.

Comments

  1. Business Setup Consultants Dubai22 February 2022 at 21:17

    This is a great and valuable article. Thanks for sharing and looking forward for reading more... Offshore company setup in Dubai

    ReplyDelete

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