AdSense whitholding UAE company

[Franckg]

Hello, I'm a French citizen I have a company in France, 90% of income is from AdSense, I'm thinking about moving to Dubai, but I read here about the AdSense whitholding, so my question is will I lost 30% of my revenues even if I have no US audience at all ?? All my visitors come from Europe.

What is the best way people do when they move to another country, closing the original AdSense account and open new account with the new address/country ?? or there is another better way ?

What about the new 9% tax introduced by UAE government on june 2023, Will I be in this category? from which country payments are sent to UAE AdSense accounts? From Ireland as well ?

 

[Marzio]

Adsense will apply 30% withholding tax since there is no tax treaty between US and UAE

What is the best way people do when they move to another country, closing the original AdSense account and open new account with the new address/country ?? or there is another better way ?

I think it's best to continue to use your account updating the tax treaty part because if you create a new account you will lose all the reports and data.

What about the new 9% tax introduced by UAE government on june 2023, Will I be in this category? from which country payments are sent to UAE AdSense accounts? From Ireland as well ?

If you form a freezone company you'll pay 0% tax (beside the 30% WHT tax)

Contracting entity is Google Ireland

 

[I'mRobot]

What is going to happen with the withholding tax? how I get it back?

 

[Marzio]

What is going to happen with the withholding tax? how I get it back?

That's the problem: the 30% withholding tax will apply and you won't get it back.

 

[I'mRobot]

What.... you loose 30% of your income!!

 

[Franckg]

Adsense will apply 30% withholding tax since there is no tax treaty between US and UAE

Even if users from this forum claims that AdSense apply the 30% withholding only for US audience ?? No other way to avoid this ??

I think it's best to continue to use your account updating the tax treaty part because if you create a new account you will lose all the reports and data.

Are you sure? Because AdSense allow us to add bank account only from the same country where we live, So I can not add a bank account from UAE to an AdSense account from France.

Thank you for your answers.

 

[ferchina]

You need to make a new account if you move country, contact adsense support and make a statement that you are going to move the funds from an account from one country to another, then they close the old account.

The solution is that you make a company in Cyprus non-resident.

 

[Marzio]

What.... you loose 30% of your income!!

Not on ALL your income, US will impose a 30% WHT on payments that are considered "US source" income.

So I can not add a bank account from UAE to an AdSense account from France.

True but even if the account is French can't you change the tax info details?

You need to make a new account if you move country, contact adsense support and make a statement that you are going to move the funds from an account from one country to another, then they close the old account.

Have you tried this?

The solution is that you make a company in Cyprus non-resident.

As of 2023, a Cyprus incorporated company is by default considered a tax resident of Cyprus provided it is not tax resident in any other jurisdiction.

Cyprus - Corporate - Corporate residence

Detailed description of corporate residence rules in Cyprus

taxsummaries.pwc.com

 

[Franckg]

Not on ALL your income, US will impose a 30% WHT on payments that are considered "US source" income.

So I'm good to go then as I don't have any US source income

True but even if the account is French can't you change the tax info details?

Yes I can but still Google will not allow to add a bank account from another country than the one in the main profile.

But I found out that AdSense allow "some" accounts to change the country directly from the profile informations, this feature exist on My french account, but does not exist on my colleague's african account ! But still it's a good news from me, this way I can keep using my AdSense account anywhere I go.

 

[Marzio]

But I found out that AdSense allow "some" accounts to change the country directly from the profile informations, this feature exist on My french account, but does not exist on my colleague's african account ! But still it's a good news from me, this way I can keep using my AdSense account anywhere I go.

Can you post a screenshot showing where in the AdSense panel you could change the country?

 

[ferchina]

Not on ALL your income, US will impose a 30% WHT on payments that are considered "US source" income.



True but even if the account is French can't you change the tax info details?



Have you tried this?



As of 2023, a Cyprus incorporated company is by default considered a tax resident of Cyprus provided it is not tax resident in any other jurisdiction.

Cyprus - Corporate - Corporate residence

Detailed description of corporate residence rules in Cyprus

taxsummaries.pwc.com

But if the Cyprus company is controlled from UAE, it will be a tax resident there in UAE, right?

Send a mail to: [email protected] they will ask you for this and for screenshots of both adsense accounts

But if you don't have US income, it's not worth doing the company in Cyprus.

 

[Marzio]

But if you don't have US income, it's not worth doing the company in Cyprus.

A non resident CY LTD wll not do you any good if you have US income because it will be tax resident somewhere else hence you wouldn't be able to apply the CY reduced withhoding tax rate.

 

[Don]

Check out Estonia (EE)

• dividend tax is 20%
• For recurring dividends, the tax can be reduced to 14% depending on how you set up the structure
• US WHT is 15%, but the income tax paid abroad can be credited against the tax liability in EE
• in EE income tax is only paid when you withdraw dividends
• easy to visit FR as it's in Schengen, with no minimum stay requirements to maintain tax residency in EE
• you'll save a lot on costs in EE compared to UAE.
• in any case, if you don't establish your tax residency in the same country where you create the company you need to spend a lot of money on substance
• Best tax optimization and asset protection is achieved by combining multiple jurisdictions. If you don't make millions, think about establishing tax residency and a company in the same place. It could mean needing to stay in that country for 183+ days/year.
  Legal setup can be further optimized by properly structuring IP, and setting up holding companies or subsidiaries, depending on your activities and goals for the next few years

 

[Franckg]

Can you post a screenshot showing where in the AdSense panel you could change the country?

This is what I see (while connected to my french adsense account) in this page Change the payment address in your AdSense account - Google AdSense Help

Browsing the same page with africain adsense account

 

[Franckg]

Check out Estonia (EE)

• dividend tax is 20%
• For recurring dividends, the tax can be reduced to 14% depending on how you set up the structure
• US WHT is 15%, but the income tax paid abroad can be credited against the tax liability in EE
• in EE income tax is only paid when you withdraw dividends
• easy to visit FR as it's in Schengen, with no minimum stay requirements to maintain tax residency in EE
• you'll save a lot on costs in EE compared to UAE.
• in any case, if you don't establish your tax residency in the same country where you create the company you need to spend a lot of money on substance
• Best tax optimization and asset protection is achieved by combining multiple jurisdictions. If you don't make millions, think about establishing tax residency and a company in the same place. It could mean needing to stay in that country for 183+ days/year.
  Legal setup can be further optimized by properly structuring IP, and setting up holding companies or subsidiaries, depending on your activities and goals for the next few years

I make millions per year, I would like to establish tax residency and a company in the same place (UAE I think)
As I said I have almost 0 income from US.

 

[OffshorePhantom]

I make millions per year, I would like to establish tax residency and a company in the same place (UAE I think)
As I said I have almost 0 income from US.

You can just change the country of your Adsense account, you can contact the support to do that, no need to create a new account.

In theory about the WTH tax it applies only to US audience, so if you do not have any you should be good, but I have never tried that so if you go down this route please let me know if this is the case.

 

[ferchina]

You can just change the country of your Adsense account, you can contact the support to do that, no need to create a new account.

In theory about the WTH tax it applies only to US audience, so if you do not have any you should be good, but I have never tried that so if you go down this route please let me know if this is the case.

Change your payments profile name and address - Google AdSense Help

Though the AdSense Terms and Conditions or AdSense for YouTube Terms of Service, as applicable, don't permit transf

support.google.com

 

[OffshorePhantom]

Change your payments profile name and address - Google AdSense Help

Though the AdSense Terms and Conditions or AdSense for YouTube Terms of Service, as applicable, don't permit transf

support.google.com

View attachment 4386

If you have an account which produces enough revenue you can change it by contacting the support, I have done it myself for my own account

 

[I'mRobot]

That's the problem: the 30% withholding tax will apply and you won't get it back.

It only apply to US audience or if you live in the USA as I read it?

 

[Marzio]

It only apply to US audience or if you live in the USA as I read it?

Yes, a foreign person generally is subject to 30% US tax on the gross amount of certain US-source income.

I have done it myself for my own account

Did you change the payment country without closing the account?