Do You Pay Tax If You Own a Free Zone Company in Dubai? Q&A | Ep 16

[@ywueeee]

yeah make more videos, your dubai video was one of the best i've seen on youtube

[@AaronHenray]

Thanks for the feedback. There may be one or two more to come!

[@HFdkr]

Upload more entrepreneur content 😊

[@AaronHenray]

More than happy to. What are the main things you want to know about? What type of businesses are you interested in? If it’s something I have experience in I may be able to get a video together.

[@ywueeee]

their rules actually mention the salary bit, so if it's like a real large skew compared to what you would pay if you were to hire someone else for the same role, then you might get into trouble

[@AaronHenray]

That makes sense. I think it’s important to pay yourself pretty consistently as a salary rather than random huge lumps to reduce the tax burden. Personally I’m more than happy if I need to pay only 9% on my profits and the rest being mine to keep at 0% tax currently.

[@jesselivermore9285]

Legend!

[@AaronHenray]

You beat me to it, I was going to send you a link!

[@ywueeee]

you can live in hungary (center of europe) for the same 9% corp tax

[@AaronHenray]

I recently read about this elsewhere and remembered that you commented on it. Yes it sounds like a good deal for a European country!

[@longness8276]

Hey Aaron, i appreciate your effort. Can you please tell us what kind of business have you opened over there? Cheers 🍻

[@AaronHenray]

I responded on the other video but for anyone seeing this it’s SEO, virtual assistants and general business consulting.

[@outifaout]

Hi Aaron, thanks for you valuable content as always. I’ll be one of your happiest followers to watch your next video about bank accounts setup in Dubai. My question is that I plan to spend only two weeks in Dubai in May to do all the process steps that need my physical presence. Do you think it’ll be enough? knowing that I already started the company setup remotely. Thanks in advance 🙏🏼

[@AaronHenray]

Hi mate thanks for the comments and suggestion. I think two weeks in Dubai would be cutting it short. Watch the visa video again (Ep15) as there are issues if you leave before the visa is issued and you may have to start again from scratch.

[@nickh1973]

Hi Aaron, thanks for the vid! Regarding a new bank video, I am keen to know how long it actually took to open. I am intending to form a business during the summer, but have no need or aim to want to live and be in UAE so really am just trying to get most of the formation done before I arrive, and then be in and out to sort visa and banking, so am really just keen to know how long your process took and what you would suggest to estimate aiming to be present for inside UAE for that step? Thanks

[@AaronHenray]

Hey Nick! Thanks for your suggestions for the banking video. As for visiting Dubai and getting everything sorted, I did the visa video which covers this Revealing Dubai's Residency Visa Process for Entrepreneurs & Investors | Ep15 kzbin.info/www/bejne/q5_VZ6Z_nbmgeLM I’d say 2 weeks might be a bit tight though! Watch that video carefully as you can’t leave the UAE until it’s done or you may have to start the process again from scratch.

[@raelkaz7828]

Thank you 🙏

[@AaronHenray]

You’re welcome 😊

[@riadhniati178]

The 9% isn’t when you earn above 3 millions aed per year? When you have less income does it still apply?

[@AaronHenray]

Hi there apologies I didn’t notice this. Currently that’s correct it’s on profits over 3m AED a year for the first 3 years at the time of writing. Otherwise it’s on profits above 375k. The threshold for mandatory VAT registration is 375k revenue (not profit).

[@riadhniati178]

@@AaronHenray thanks! If I understood correctly the 3M AED a year isn't for everyone, let see how this will roll out this year.

[@Leon-lt5gv]

I think people should pay a fixed rate tax ' they ' governments put tax up for their own mistakes ' then spin a webb of BS ' but i blame the stupid ones who believe them 🤔

[@AaronHenray]

I agree people should pay a fixed tax rate and I think that fixed rate should apply regardless of how much you make. Instead governments like the UK decide to increase the percentage the more you make. In percentage terms people who “earn too much” pay more than double the percentage (45%) that the apparent ‘everyday’ person pays (20%). That’s if you only consider standard salaries. The picture can be a lot worse if you own a business or investments and that’s where your income comes from.