We have 10 Years of Experience
Tax Residency (Domicile) Certificate
What is a Tax Residency Certificate (TRC)?
A tax residency certificate, also known as Domicile certificate, is a certificate issued by the International Financial Relations and Organizations Department so that the eligible government entities, companies and individuals can take advantage of agreements of double taxation avoidance agreements (“DTAA”) entered into signed by the UAE.
What is Double Taxation Avoidance Agreement (“DTAA”)?
Businesses in today’s era have been spread across the world. The tax regime of all the Countries is either residence based or source- based. Due to such regime, many a times, business end up paying double taxation on the income earned by them, firstly in the country where is the income is earned i.e. source based taxation and secondly in the country in which the company is resident i.e. residence-based taxation. To ensure that these businesses do not face such hardship and end up paying double the tax that they should pay, countries all around the world have entered into Double Tax Avoidance Agreement (DTAA) with each other. When two countries have a signed DTAA between them, their residents and investors can claim the benefits of the agreement after obtaining the tax residency certificate.
Who can obtain Tax Residency Certificate?
Individuals
A person who has stayed in the UAE for a minimum of 180 days, can apply for tax residency certificate. Non-residents cannot apply.
Documents required
Companies
Companies that have operated in the UAE for at least a year can apply for tax residency certificate.
Documents required
FAQs?
Generally, it takes 2 -5 working days for Pre-approval processing and further 5-7 working days for the issuance of TAX Residency Certificate once it is approved.
All individuals and onshore and free zone companies are allowed to claim the Tax Residency Certificate subject to the fulfillment of above specified conditions. However, the Offshore Companies are not eligible to obtain the Tax residency certificate as they are not considered to be residents of the country.
UAE Tax Residency Certificate TRC is valid for a period of one year from the date of its issue. Once the validity of a certificate expires a new certificate can be requested.
UAE TRC can be issued either in English or in Arabic.
No, for Tax Certificate to be accepted by authorities in your home country, you will need to legalize the document in the Ministry of Foreign Affairs of UAE. Cost of legalization is AED 150 (USD 41) for individual documents and AED 2,000 (USD 548) for documents associated with corporate entities.
No, till date UAE has entered into DTAA with specific countries only.
For any other queries, you can contact us on the undermentioned details and will be delighted to assist you in obtaining the Tax Domicile Certificate as well as to advise you on the process.
What We Can Do