Running a foreign company from Qatar: taxes?

[TomSapetnizky]

Hello everyone,

I am new to this forum and I have not found any answer to my question so here it is: what is the tax status of a company based in Bulgaria if I am a tax resident in Qatar/working there?

To give you a better understanding of my current situation, I am currently starting a new job in Qatar in January but I plan on continuing my consultancy business through a non-Qatari company. I am currently running this business from France (which is my current country of tax residency) but since I am moving out (and planning on cutting all ties with France to make sure I am not a tax resident of this country), I would like to start a company in a country where the cost of operation is as low as possible and run it from Qatar.

To keep it short and simple, here are the questions I still have not found an answer to yet:

1. Is it legal to be a Qatar tax resident and run a side business through a foreign company?
2. Is there any personal income taxes from money coming out of this foreign company?
3. Is a foreign company taxable in Qatar since I will be operating it from there?

Please feel free to let me know if there are other technicalities I am missing and forgive me if this topic has already been touched upon in previous threads.

Thanks!

 

[CaptK]

Hi from my understanding of the UAE law which is pretty similar to Qatar as you are running it from there it becomes tax resident in Qatar.

There are factors to consider like your contract of employment and what you are allowed to do.

1, Subject to your contract of employment. Otherwise it's legal.

2 most countries no but again check with the laws of the country you domicile your company.

3 yes as the effective place of management is in Qatar subject to local laws of the country you have registered in tax is applicable in Qatar.

To give an example of how to go about it you could set up a US LLC and by virtue of it being a pass through entity you can use it to pay all profits to you in Qatar tax free. Similarly you could use a UK LLP or even a UK LTD.

 

[TomSapetnizky]

Hi CaptK,

Thanks for your answer, I really appreciate it! I guess I will need to do some further research on Qatari tax law.

Also, I would love to set up a company in a European country where they accept Paypal Business, since most of my payments come through Paypal. Any suggestion for a country to keep the cost low?

Thanks again!

 

[CaptK]

Hi CaptK,

Thanks for your answer, I really appreciate it! I guess I will need to do some further research on Qatari tax law.

Also, I would love to set up a company in a European country where they accept Paypal Business, since most of my payments come through Paypal. Any suggestion for a country to keep the cost low?

Thanks again!

You could set up a UK limited purely for the payment processing to get stripe and paypal.

 

[TomSapetnizky]

Perfect, I will try to do that, thank you for the help and advice!