Tax Residency Certificate

Tax Residency Certificate (TRC) in UAE

Tax Residency Certificate in UAE (TRC) also called as the Tax Domicile Certificate is issued to individuals and companies to exempt the applicants from double taxation. Tax domicile certificates in UAE are issued after thorough review of the documents. TRC UAE benefits individuals and companies by taking them off the hook from paying tax in their home country with the advantage of the double taxation avoidance agreement. The TRC is issued for a time period of one year.

Tax Residency Certificate

Tax Residency (Domicile) Certificate UAE

Double taxation avoidance agreement (DTT)

The double taxation avoidance agreement is a treaty between two countries to alleviate tax during the process of import and export and also for other taxes like the income tax, inheritance tax, VAT and many more. Double taxation is the principle by which an individual or an organization pays tax to two countries on the same income; one from where it is earned (UAE) and the other to the resident country.

UAE has signed the taxation treaty with 117 countries by which it has the authority to issue a tax residency certificate for permanent residents and companies and relieves them from paying taxes in both countries. In 2018, UAE signed the double taxation avoidance agreement with its first GCC country, Saudi Arabia.

Change of Authority

Tax residency Certificate UAE was issued via the Ministry of Finance until recently; in November 2020, the regulatory authority to issue ta residency certificate was changed to Federal Tax Authority. The initiative is in coordination with the Ministry of Finance, and it is as per with Cabinet Decision No. 65 of 2020.

Individuals who have been residing in UAE for a minimum of 180 days or with a UAE residence visa can apply for the TRC.

Tax Residency Certificate in UAE for Individuals

Documents to be submitted by individuals:

Copy of the passport

Copy of the UAE residency visa

Copy of the Emirates ID

Copy of the certified residential lease agreement or tenancy contract

Latest salary certificate

Validated bank statement of the past 6 months

Report from the General Directorate of Residency and Foreign Affairs confirming and specifying the number of days the applicant has resided in UAE

Tax forms (if any) from the country to where the certificate must be submitted

Companies functioning within UAE for at least a year is eligible to apply for the TRC.

Tax Residency Certificate in UAE for Companies

Documents to be submitted by companies:

Copy of the company trade license

Establishment contract certified by official authorities (not applicable for sole proprietorship)

A copy of the company’s owners/partners/directors’ passports, IDs and permits of residence

Shareholders and manager’s copy of the passport

Shareholders and manager’s copy of the residence visa

Shareholders and manager’s copy of the Emirates ID

Certified audit report/ financial statements

Validated company bank statement of the past 6 months

Copy of the company lease agreement or tenancy contract

Tax forms (if any) from the country to where the certificate must be submitted

Aon Management Consultants is all up for any services related to the Tax Residency Certificate or the Tax Domicile Certificate. Our experienced professionals will ease up the tasks for you with their prowess in obtaining documents and certifications to complete the process of TRC.

Free Consultation

Sojen Manjila, Partner

    Get Free Consultation

    Your Name *

    Email *

    Mobile Number *

    Message