Dubai is the seventh emirate of the United Arab Emirates (UAE). The population currently stands at 1.5 million however 82% of the population are expatriates. Arabic is the office language however English is the business language. Dubai is the undisputed business hub of the Middle East.
The Jebel Ali Free Trade Zone is a Dubai based, state owned Economic Zone and is one of the biggest, most service driven, customer centric Free Zones in the world. Regulations were passed in 2003 establishing the basis for Jebel Ali Free Zone Offshore Companies which operate under the Jebel Ali Free Zone Authority (JAFZA). Such companies enjoy all the advantages of other international offshore companies but have the added benefit of Dubai’s reputation for business transparency. It is worth noting however that the a Dubai Offshore Company is not allowed to carry out business within the UAE or the Free Trade Zones.
Key benefits of UAE:
- A Dubai Offshore Company is not a tax haven company; it is not on any black list. The UAE is considered a Schedule 3 FATP jurisdiction and complies with relevant anti-money laundering regulations.
- No Corporate or Personal Taxes payable. Only banks and companies active in the oil sector are subject to corporate taxes.
- Offers a high degree of anonymity. Directors and Shareholders information is not kept on public record.
- Dubai is not a signatory to any international exchange of information agreements. This status is not expected to change as Dubai has no taxation gain from the participation of such treaties.
- The UAE has entered into some mutual assistance / double tax treaties with relevant jurisdictions such as Malayisa, Hong Kong and the UK. More will follow.
Bank Account Opening:
Bank Accounts can be opened in a number of international banks located in Dubai however a personal visit is required and the process can take a number of weeks to complete.
Have the Many Benefits of Offshore Banking Left the Industry Open to Abuse?
The overseas banking industry is a billion-dollar business. Its no surprise that during the last decade, criminals have discovered ways to circumvent and exploit the system, ultimately giving the offshore world a bad reputation. This article looks at the many benefits associated with overseas banking; and how this has left the industry open to abuse.