So far, UAE has signed the Double Taxation Avoidance Agreement with 100+ countries including Europe, Asia, Africa, the Middle East, South America, Central America, Oceania, North America, and the Caribbean. The UAE is planning to enlarge the list so that more nations can relish the benefits of the agreement and get motivated to prosper their business. When two nations sign the Avoidance of Double Taxation Agreement, the residents and investors of these countries can avail the benefits of the agreement via a Tax Residency Certificate. Public companies, private organizations, and various other firms, including investment firms and air transport firms operating in the UAE and residents of the country, can take advantage of the agreement. Except for offshore establishments, every onshore, as well as free zone company, can claim tax domicile/tax residence certificate in the UAE.
The tax residency certificate process is slightly different for individuals and corporates. Whether it’s a person applying for the Tax Domicile Certificate or a company, both entities have to meet certain criteria to be eligible for the TRC.