With Corporate Tax, overseas property investors in UAE have clear choice

With Corporate Tax, overseas property investors in UAE have clear choice

Dubai: Overseas buyers of property in the UAE have one serious decision to make – should they apply for resident status? Because when non-resident property owners in the UAE acquire resident status, it would immediately mean the rental income or transaction gains they make on their real estate assets will not be subject to corporate tax. As the Ministry of Finance unveiled the latest provisions under the corporate tax regime, this was the question being debated by the legions of non-resident investors in the UAE real estate space. Because the laws related to the tax are quite clear. Explaining these guidelines, Younis Haji Al Khoori, Under-Secretary in the Ministry of Finance, said: “The UAE's Corporate Tax Law incorporates features that honour international taxation principles - and ensures neutrality between domestic and foreign companies earning income from immovable property in the UAE.” But when it comes to non-resident individuals, there is an options they could try out. Apply for resident status. According to Sameer Lakhani, Managing Director of Global Capital Partners, “Property visas are available on a 2-year basis for an investment of Dh750,000 and Dh2 million for 10 years. “Also, domestic companies not licensed as real estate developers can invest