How long do I need to reside in the UAE to be considered a tax resident?

Jun 08, 2024

Many entrepreneurs who choose to embark on an adventure in the United Arab Emirates (UAE) wonder if they can become UAE residents to benefit from all the fiscal and legal advantages. Regular travel raises the question of whether they can still be considered UAE tax residents despite frequent relocations.

  1. Criteria for becoming a resident in the UAE

Each country has specific criteria to qualify someone as a resident. In the UAE, residency is obtained through a sponsor and is formalized with an Emirates ID. The sponsor who enables you to obtain your fiscal residency can be:

  • Your employer if you have signed an employment contract in the UAE.
  • A family member who is already a resident of the UAE.
  • Your own company that you wish to establish in the UAE.

Residency is granted for two years. To maintain it, you must enter the UAE every 6 or 12 months. There is no minimum duration you need to stay in the UAE to keep your residency.

  1. Criteria for becoming a tax resident in the UAE

Being a resident of a country does not necessarily grant you tax residency. Tax residency criteria vary by country. In France, for example, they are defined by Articles 4A and 4B of the General Tax Code.

In the UAE, you are considered a tax resident and can obtain a Tax Residency Certificate (TRC) if you stay in the UAE for at least 6 months. However, if you have family or professional ties in another country, be sure to also consider the conditions set by international tax treaties, which take precedence over local laws.

  1. Specifics for golden visa holders

The UAE Golden Visa is a visa granted for 10 years. The issuance conditions are specific and apply to well-defined categories of people. The Golden Visa also offers the advantage of obtaining a tax residency certificate after only 3 months of staying in the UAE.

For more information, do not hesitate to contact our team, who will guide you towards your professional success in the UAE.

 



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