Tax residency certificate, also known as Tax domicile certificate, is issued by Federal Tax Authority as per the provisions of avoidance of double taxation agreements. The certificate is valid for a year and is issued to individuals as well as companies.
Companies or individuals must have a Tax Residency Certificate (TRC), in order to take advantage of the UAE’s double taxation avoidance agreements.
People who live in the UAE and own mainland or free zone businesses are eligible to apply for a Tax Residency Certificate or Tax Domicile Certificate. Since offshore businesses may not have a physical presence in the UAE, they could be ineligible to request a tax residency certificate
- To prove that the applicant is a resident of UAE
- To avoid paying taxes in two countries
- Ease the process of cross-border trade and investment flows
- Encourage the development goals of UAE
- Economic diversification
Documents required for Tax residency certificate For individuals
- A copy of the passport and valid permit of residence
- A copy of the ID card
- A certified copy of the (residential) lease agreement
- Validated 6-month bank statement from a local bank
- Salary certificate
- A report from the General Directorate of Residency and Foreigners Affairs specifying the duration of stay
- Tax forms (if any) from the country where the certificate needs to be submitted
- A copy of the trade license and partners’ attachment
- Establishment contract certified by official authorities (if it is not a sole company)
- A copy of the company’s owners/partners/directors’ passports, IDs and permits of residence
- A certified copy of the audited financial accounts
- A validated 6-month bank statement
- A certified copy of the lease agreement
- The organizational structure of the company (if it is not a sole Company)
Note: The price mentioned not included the government fee.
