Okay, I was wrong guys, I'm sorry. Please follow blindly whatever Fred says, he has no conflict of interest. Only spend 2 days a year in Dubai and flash your crypto gains as much as possible. I'm sure it will work out perfectly. I'm sure Dubai taking dirty money from Afghan president, being gray listed, opening accounts for Russians (couple of you guys said that you are opening an account in 1-2 days for Russians) is going to be allowed forever. Don't worry, just relax and enjoy. Dubai has robust rule of law and courts are extremely fair. Don't worry if you end up there
Also don't listen to
@Martin Everson , you don't have to worry about fake residency and breaking the UAE law.
Which law are your breaking ? It is open secret that Dubai allowed Russian. Which law Russian are breaking by coming to Dubai ??? By faking residency You are not breaking any law in Dubai or anywhere else as of today. Only shady element is that "Telling your home country of being in Dubai for 182+ days". Just do not do that. Better to cut all your tied to your country. and live in Thailand or bali or Live Digital nomad life. If you do not like to live in Dubai Full time. If you do not like Dubai bank . there are many better offshore bank account you can open and Live your life comfortably. IN this situation. You are good. If you see in reality so many people use this type of structure.
Having said that, Yes Dubai's Laws are changing everyday. Yes as of today there is not audit requirement in IFZA. May be from tomorrow You have to do audit. It is not service provider decision. It is Dubai government rules that keep changing. What is your problem in Doing audit ???? It is not as harsh as it is Sound. When you register the company, every free zone tell you and guide you about New rules and regulation not one time but so many times. there will be educational seminar for new rules and regulation. So do not be so paranoid about this things.
Every county sees their benefit first. Dubai allowing Russian for their benefit. I do not think Russian coming to Dubai face any problem in future. Today's world is different, USA can not dictate their term as there are many power center emerges. Not every country will dance on their tune.
Even India and china keep doing business with Russia even with sanction. Even India's enemy states is praising India's move.
While speaking at a rally in
Lahore, Imran Khan said "India, which is a strategic partner to the United States, is importing oil from Russia, saying that its decisions are based on the betterment of their people. But our foreign policy is for the betterment of other people," "Indians are khuddar quam (very self-respecting people). No superpower can dictate terms to India,"
Even Why faking residency ? October, November, December, January, February ,March are the best time to live in Dubai. It will fulfill your requirement. Rest month you can live anywhere you want.
Every structure have pro and cons. You can not have setup with all your requirement full filled. You have to choose your poison.
Give you a example , Dubai bank have very bad reputation for their working style. Yes It is true that Biggest bank Emirate NBD online app and website is not good as It has to be. But when you compare Emirate NBD bank with some Caribbean bank. Emirate NBD standout. Emirate NBD is better choice than some non sense Caribbean bank . Let's say some online fraud happen with Dubai bank, you can report to the police and police is very good dealing with this type of things and have infrastructure to fight cyber crime. Compare to Caribbean bank , when some fraud happen with Caribbean bank ,
Do you really think that Caribbean police take your complain ??? Or Even Do they have some sort of infrastructure for this type of things??
People coming to Dubai from all around the world. Some people are maniac , mentally ill people as there is no Mental health check up when you applying for visa. First hand experience some people are crazy even they know about strict rule in Dubai. they do stupid things and get caught then become cry baby. Some cases of beating Policeman also reported.
You see in reality , For Dubai type of city you have to maintain "Fear of law" to keep running the city. So many people does not agree with me (Most who never live in Dubai), In reality laws are not as strict as you read online, unless and until It is not related to drugs or something very shady. Like prostitution is illegal , but you find one person on every floor on Dubai skyscraper who come to dubai for this type of fun. It is tolerated until you are not "posing on balcony ". People caught red handed with kilos of drug, caught with financial misdeed claiming their innocence , by giving interview on "Daily mail". People sees one sided story , they do not see what they really do in reality.
In reality, People does not have problem with "Sharia law".
People fear fine/penlty more than sharia law. Fine/penalty are crazy high. Traffic fine or any misdeed have very high penalty , People who actually live or experience Dubai, fear the fine most than another things like for VAT
Violations related to tax procedure
| Description of violation | Administrative penalty (in AED) |
|---|
| Failure to keep the required records specified by the tax procedures law and the tax law. | 10,000 for the first time. 50,000 for each repeat violation. |
| Failure to submit the required records in Arabic when requested by the Authority. | 20,000 |
| Failure to submit a registration application within the timeframe specified by the tax law. | 20,000 |
| Failure to submit a deregistration application within the timeframe specified by the tax law. | 10,000 |
| Failure to inform the Authority of an amendment to tax records that needs to be submitted. | 5,000 for the first time. 15,000 in case of repetition. |
| Failure to notify the authority that a legal representative has been appointed for the business within the specified timeframe. The penalties will be charged to the legal representative. | 20,000 |
| Failure of the legal representative to file a tax return within the specified timeframe. The penalties will be charged to the legal representative. | 1,000 for the first time. 2,000 in case of repetition within 24 months. |
| Failure of the Registrant to submit a tax return within the timeframe specified by the tax law. | 1,000 for the first time. 2,000 in case of repetition within 24 months. |
| Failure to pay the tax stated in the tax return/tax assessment form within the timeframe specified by the tax law. | The taxable person will incur a late payment penalty as follows:
- 2% of the unpaid tax is due immediately.
- 4% is due on the seventh day following the deadline for payment.
- 1% daily penalty will be charged on any amount that is still unpaid one calendar month after the deadline for payment, up to a maximum of 300%.
|
| Submission of incorrect tax returns. | Two penalties are applied:
- Fixed penalty of:
- (3,000) for the first time.
- (5,000) in case of repetition.
- Percentage-based penalty shall be applied on the amount unpaid to the Authority due to the error as follows:
- (50%) if the Registrant does not make a voluntary disclosure or he made the voluntary disclosure after being notified of the tax audit and the Authority has started the tax audit process, or after being asked for information relating to the tax audit, whichever takes place first.
- (30%) if the Registrant makes a voluntary disclosure after being notified of the tax audit and before the Authority starts the tax audit.
- (5%) if the Registrant makes a voluntary disclosure before being notified of the tax audit by the Authority.
|
| Voluntary disclosure by a business of errors in a tax return, tax assessment, or refund application. | Two penalties are applied:
- Fixed penalty of:
- (3,000) for the first time.
- (5,000) in case of repetition.
- Percentage-based penalty shall be applied on the amount unpaid to the Authority due to the error as follows:
- (50%) if the Person/Taxpayer makes the disclosure after either of the following conditions applies: a) they have been notified of the tax audit and the Authority has started the audit process, or b) they have been asked for information relating to the tax audit.
- (30%) if the Person/Taxpayer makes a voluntary disclosure after being notified of the tax audit but before the start of the tax audit.
- (5%) if the Person/Taxpayer makes a voluntary disclosure before being notified of the tax audit by the Authority.
|
| Failure of a business to voluntarily disclose errors in a tax return, tax assessment, or refund application before a tax audit. | Two penalties are applied:
- Fixed penalty of:
- (3,000) for the first time.
- (5,000) in case of repetition.
- 50% of the amount unpaid to the Authority due to the error.
|
| Failure of a person or business to facilitate the work of the tax auditor. | 20,000 |
| Failure of the Registrant to calculate tax on behalf of another person as required under the tax law. | The Registrant shall incur a late payment penalty as follows:
- 2% of the unpaid tax is due immediately once the payment is late.
- 4% of the amount of tax which is still unpaid is due on the seventh day following the deadline for payment.
- 1% daily penalty will be charged on any amount that is still unpaid one calendar month after the deadline for payment, up to a maximum of 300%.
|
| Failure to account for tax due on import of goods as required under the tax law. | 50% of unpaid or undeclared tax. |
If It is not the case People take law for granted and It become very hard to run desert city.
Dubai is not perfect . But It is better than other tax free setup or for crypto people. I would tell Living in Thailand is more dangerous than living in Dubai.
