Our experts at Dubai-auswandern, known from Founders Magazine and ProSieben, will create an exit strategy for you so that you legally pay no more taxes in the future! We support you and accompany you every step of the way: from the Company formation via the visa to the Bank account. Set up a company quickly & relaxed and thus pay no more taxes - without stress and paperwork!
We organise on 01 October 2023 at 11:00 CET an expert zoom call on the topics "Emigrating to Dubai" and "Company formation in Dubai". Our two founders, Nina Noel and Tony Canty, will personally lead the call and share their expertise on the topics mentioned. After the main part, there will also be a Q&A session where you will have the opportunity to ask your individual questions.
We look forward to welcoming you on 01 October and hope to offer you valuable insights and information.
In Dubai there are No income tax or trade tax. An exception is the Corporate income tax Dubai's introduced in 2023, which is only 9%.
In order to benefit fully from the Tax exemption in Dubai To be able to benefit, you must deregister your place of residence in Germany and apply to the so-called 183 days rule This means that you may not stay in Germany for more than 183 days per year (6 months).
In particular, online entrepreneurs, network marketers, traders, classic companies, coaches, digital nomads & influencers can benefit enormously from setting up a company in the UAE.
We cooperate with the German tax advisor Patric Böhle and his BaBo Tax Steuerberatungs GmbH. Patric will conduct a zoom call with you and your tax advisor and also point out potential risks. We want you not only to have a good feeling, but above all to start your new business without worries. Life in Dubai and not have a rude (expensive) awakening later. This initial consultation is included in our price - if it is not concluded, we charge a one-time fee of 250 EUR.
How to set up a company in Dubai and is it possible to do this without emigrating? Do I need a partner "on the spot", what requirements do I have to bring with me, and how to open a bank account? Is there negative interest in the UAE for high bank balances and the most important question: Can I save tax by setting up a company in Dubai?
More and more people are asking themselves these questions. Be it because increasing digitalisation often makes the actual place of work less and less important and one appreciates the good weather and the country - or because as an entrepreneur or existing company one simply wants to save taxes.
We specialise in assisting start-ups in Dubai and would like to provide answers to a few of the most important questions below. Please note, however, that this information is no substitute for personal (and individual) advice and that we are happy to provide further information.
"Those who have the duty to pay taxes also have the right to save taxes."
Tax consultant Patric Böhle
In general, the cost of living is comparable to that in Germany. There are many things (such as fruit, vegetables, herbs, petrol, car insurance, PKV, services, cars) that are much cheaper in the UAE, but also things (such as rent, mobile phone rates, clothing, internet connection) that are more expensive in the UAE. In the current Cost of Living Index, in which 1st place is the most expensive city, Dubai is ranked 284th out of 568. In comparison, Munich is ranked 92nd.
Dubai is a metropolis. The proportion of locals is less than 10%, resulting in a proportion of foreigners of over 90 %. This internationality is reflected in every corner in Dubai. The national language is Arabic, but English is spoken everywhere. Both street signs and all contracts must by law be drawn up bilingually in English and Arabic.
What are the disadvantages of being a woman in Dubai? In general, women and children are treated very courteously in Dubai and have no restrictions compared to men. Women can dress as they wish and do not have to cover up. Only when going to the authorities do they have to wear long trousers - but the same applies to men. In addition, women are of course allowed to drive.
The United Arab Emirates is a very expat-friendly country. Anyone who has a visa can emigrate to Dubai. You can get the visa either by setting up a company or by being hired by a company.
Rental prices in Dubai vary from neighbourhood to neighbourhood, but they can be compared with those in major German cities. However, the living space in Dubai is usually much larger. Rent is usually paid for a year in advance. Since the Corona Pandemic, however, some landlords also accept payments per quarter or even per month. Due to the constant construction of housing, there is a lot of vacancy in Dubai, which means that the supply is greater than the demand. The apartments/houses are always listed according to the number of bedrooms. In addition, there is the living room and often even an extra room for the domestic help, the so-called maids room. If the advertisements say "Chiller Free", this means that there are no additional costs, as these are already included in the rent. Otherwise, you pay the utilities (electricity, water, gas) in Dubai to DEWA. The DEWA costs are due monthly and consist of the exact consumption and 5% of the monthly rent. You can find accommodation via Dubizzle and Propertyfinder, for example.
There are no taxes in Dubai, neither corporate tax nor income tax or business tax. One exception is VAT, which is only 5%. In order to fully benefit from the tax exemption in Dubai, one must deregister one's residence in Germany and adhere to the so-called 183-day rule, i.e. one may not stay in Germany for more than 183 days per year (6 months). However, individual tax saving models are also possible, which do not necessarily require emigration.
There is almost no crime in Dubai. Dubai is one of the safest cities in the world. And this is not necessarily due to the almost universal video surveillance and the relatively high fines, but because there is no poverty in Dubai. The locals are very wealthy and expats are only allowed into the country if they are either employed or have founded their own company. So there is virtually no unemployment here. Whoever lives in Dubai has or earns money!
Dubai is an Islamic country, but you don't notice much of that as an expat, as the expat population in Dubai is over 90%.
Until recently, unmarried people in Dubai were only allowed to live together. However, since the end of 2020, it is now officially allowed and legal! It is also possible for the founder of a company to issue a visa to his or her partner through the company. In addition, marriage is no longer a prerequisite if there is a desire to have children. Since November 2021, unmarried expats are officially allowed to give birth in Dubai!
The mere establishment of a company in a free zone takes approx. 10 working days, provided that all the documents from the checklist provided by us have been submitted to us in full. The subsequent issuing of the Establishment Card takes a further 3 working days. Thanks to our good contacts to the various freezones, we can set up the company without you having to be on site!
Residency in the United Arab Emirates (UAE) is not required to incorporate a company in Dubai, but may be useful depending on the form of the company.
This is possible. The company formation can take place from Germany if you do it through a professional agency. Only the visa and the Emirates ID, if desired, require entry into the country. You can either enter the country with the tourist visa and make a so-called status change on the spot or you can enter directly with the e-visa, the so-called entry visa, applied for by us and save the costs for the status change. We recommend the cheaper version of the e-visa. As soon as we have applied for the e-visa for you, you must enter Dubai within the next 60 days, otherwise it will expire and you will incur additional costs.
After the company formation is completed, the visa process starts. This requires entry into Dubai. The medical check consisting of a blood test and an X-ray is carried out directly on the first day of the stay, and the biometrics consisting of an iris scan and fingerprinting are carried out approx. 14 working days later (only 5 days for Express). The subsequent visa stamping takes another 2-3 working days. After this, you can leave the country again. The Emirates ID will be issued after another 2 working days. However, we can receive this for you and send it to you!
The easiest option is the Tourist Visa, which is limited to 90 days. As an employee, you get a work visa from your employer, which entitles you to live in the UAE while performing your job. If you lose your job, you have 30 days to find a new one. Otherwise, you have to leave the country. Platforms for online job search include Linkedin, Dubizzle, Gulftalent, and Bayut. Another option is the investor visa, where you have to buy a property for at least €250,000 in the UAE. When setting up a company in Dubai, one receives a work visa for 2 years, and the employees also receive a visa for 2 years. The visa can be extended during the period of employment.
When setting up an FZE/FZC of a so-called Freezone Entity/Company, the owner receives a visa for 3 years, the employees a visa for 2 years. The visa can be extended as often as desired if the company continues to operate. You actually pay 0% tax. However, the company licence must be renewed annually. Depending on the free zone and the licence, costs of about €5,000 per year are incurred.
One concludes a International private health insurance from. The costs amount to approx. 150-350€ depending on various factors, such as age, scope of benefits, pre-existing conditions, etc. Experience shows that international private health insurance is significantly cheaper than private health insurance in Germany and also offers a higher range of benefits. All our customers receive an additional discount for international health insurance!
To drive in Dubai, you need a local driving licence. However, you don't have to take another test, you just have to have your existing driving licence translated and then rewritten. Driving a car in Dubai is much cheaper than in Germany. A fully comprehensive car insurance for an SUV, for example, costs about €350 for an entire year. There are no car taxes. And petrol costs about €0.90 per litre. Parking is also much cheaper compared to Germany!
Dubai is very diverse and offers a very high quality of life. Whether it's the beach, the desert, the tallest building in the world, a boat tour, countless restaurants, bars and cafés, playgrounds, malls or much more. In Dubai, really EVERYTHING is possible and the range of activities is huge. Dubai invites you to dream bigger and think bigger, because the vibe of this vibrant city is absolutely contagious. The internationality broadens one's horizons. The service in Dubai should also be emphasised, as it is generally absolutely exemplary. You can really have everything delivered to your home within a few minutes, even things like hairdressing, massage, manicure, car refuelling, car washing and much more. Also, Dubai is a very clean city and you have blue skies all year round. If you continue to work with business partners/customers in Germany, Dubai is perfect: only 2-3 hours time difference and 6.5 hours flight time. In addition, the extremely good health care system should be emphasised.
The payment system in Dubai is very modern and simple. You can pay all your bills online, but also at the petrol station, for example. Whether it's electricity, water, gas, car or mobile phone bills - you can pay as much as you want and when you want. There are no reminders in Dubai. However, if you want to extend something, you have to pay your full bill. Parking tickets are paid by SMS. And for parking tickets, which are quite high in Dubai, you also get a text message with the amount due and you can then choose where you want to donate that amount!
We work with a very reliable and fast shipping company. The transfer by ship takes about 4 weeks. Your removal goods are then delivered to your home on site and, if desired, also assembled.
Dubai offers a tremendous quality of life not only for adults - the same is especially true for children. Dubai is an incredibly child-friendly country. There are countless (indoor) playgrounds. There is a play paradise in almost every mall. And the range of activities and courses is very diverse. In public places / malls there are breastfeeding rooms and often both the men's and women's toilets have a baby changing room. In restaurants there is usually a Kids Menu for about 5€ consisting of a main course, fruit, a dessert and a freshly squeezed juice. The private, international kindergartens in Dubai are relatively expensive. For 5 hours of care per day, you pay about 700€ per month. The international public schools are also relatively expensive. Depending on the school and the age of the child, you can expect to pay around 1000€ - 1900€ per month. It is customary to wear school uniforms and children must take Arabic as a minor subject. There is a 0% tolerance limit for bullying in schools. Health plays an important role in Dubai, so the Ministry of Education has introduced 7 forbidden foods that children are not allowed to bring to school (cola, chips, sweets...). The health system is extremely advanced and characterised by many international doctors. In addition, Dubai is a very safe country, which makes parents sleep better. Drugs and alcohol are difficult to access. It is also common to employ a nanny in Dubai. This makes everyday life with the children much easier.
There are two main providers in Dubai that do not differ in price: Du and Etisalat. We recommend the New Freedom tariff from Etisalat. Here you have 40GB data volume, 700 free minutes worldwide and unlimited telephony to Germany. This package costs about 90€ per month. The contracts can usually be cancelled monthly. If you are only in Dubai as a tourist, the Tourist Package from Etisalat is recommended. Data volume and free minutes can be adjusted individually at low cost with this tariff. An internet connection in Dubai is relatively expensive at €90 per month. Here, too, there are the providers Du and Etisalat.
The average annual temperature is 28 degrees and there are only 7 rainy days per year. In summer (June-September), temperatures can reach over 40 degrees, but keep in mind that temperatures drop in the evenings and you should schedule your outdoor activities for the afternoon/evening hours. In winter, Dubai is pleasantly warm, with absolute lows around 15 degrees. During the day, even in the coldest month, temperatures reach a pleasant 24 degrees. Otherwise, it is very pleasant all year round. The water temperature fluctuates between 23-34 degrees throughout the year. At these temperatures, you can swim pleasantly 365 days a year. The weather in Dubai is very bright and sunny all year round. In the summer months, the sun shines for an average of 10 to 11 hours per day, and in winter it is still 8 hours.
3000€ per month nursery or school fees (depending on school class 1200-2000€ per child)
1000€ PKV whole family
100€ further insurances
4000€ Rent (3BR Villa in Arabian Ranches)
500€ Dewa (incidental expenses)
Car insurance 30€
Extracurricular activities 400€ (200€ per child)
Mobile phone 140€ (70€ per phone)
Company licence pro rata per month 400€
Visa costs pro rata per month 200€
Corporate account maintenance fee 50€
If applicable, account maintenance fee private account, gardener, cleaner, pocket money, leasing rate, leisure activities, holidays, costs for the pet, restaurant visits, memberships