- NEWSLETTER,U.A.E
- June 12, 2024
Dubai Industrial City, a leading industrial and logistics hub in the region and part of TECOM Group PJSC, has announced a significant expansion that can strengthen the manufacturing sector in the UAE. It has acquired a massive space of 13.9 million square feet of additional land as a part of this strategic move. The announcement was made on May 27-28 during the Make it in the Emirates Forum in Abu Dhabi program. This acquisition promises a boost to the country’s manufacturing sector, enhancing local supply chains and expanding the home-grown manufacturing sector in Dubai and the UAE. The significant acquisition by Dubai Industrial City is likely to encourage foreign players eyeing a business setup in Dubai to benefit from its growth trajectory.
Dubai Industrial City secured this expansion through a massive transaction of AED 410 million. It was announced in the presence of notable figures like the UAE Minister of State for Public Education and Advanced Technology, Sarah Al Amiri. Other key figures present during the announcement include Omar Al Suwaidi, the Undersecretary of the UAE Ministry of Industry and Advanced Technology, Malek Al Malek, Chairman of TECOM Group, Abdulla Belhoul, the Chief Executive Officer of TECOM Group, and Saud Abu Alshawareb, Executive Vice President of Industrial at TECOM Group.
The new operational capacity comes as a response to the remarkable performance and demand evident in recent months. The Dubai Industrial City recorded an occupancy rate of 97% in the first quarter of 2024 in its land lease portfolio. This marks an impressive Y-o-Y increment of 12%. This phase comes after a robust growth trajectory in 2023, with its customer base recording a 17% increment. This portfolio includes more than 1000 international, regional, and local companies.
One of the key attractions of the newly acquired plots is its strategic location. It is seamlessly connected to the rest of the country, enhancing the land bank of Dubai International City. This expansion is strategically aligned with other growth initiatives in the country like the Make it in the Emirates, Operation 300bn, and the Dubai Economic Agenda ‘D33’. All these initiatives collectively fuelled increased demand for high-quality industrial spaces in the region.
With this expansion, the role of Dubai Industrial City as a premier destination for manufacturing and industrial activities further solidifies. Dubai continues to make significant contributions to the vision of the UAE to establish itself as a global manufacturing hub. The city aims to attract more investment by providing high-quality industrial space and supporting local manufacturers. Thus, it supports the diversification and economic resilience of the UAE.
Professional support for company formation in Dubai
With its expanding land bank, Dubai Industrial City continues to attract global businesses in hundreds. Reputed teams of professionals like the IMC Group continue to be one of the most trusted partners, comprehensively assisting new businesses in company formation in Dubai. Enterprises willing to capitalize on the economic resilience and growth potential in Dubai must reach out to the experts for professional consultation and guidance. An experienced team of advisors can guide new businesses with crucial legal issues, and tax compliance besides helping form a company in Dubai.
- NEWSLETTER,U.A.E
- June 12, 2024
The FTA (Federal Tax Authority) of UAE has established deadlines for submitting Corporate Tax registration applications as a part of their efforts to strengthen strategic partnerships with Taxable Persons. Taking to various media channels, the authority disseminated this information to ensure smooth and accurate tax compliance.
In this edition, we have presented you with all the deadlines and requirements to ensure compliance with corporate tax.
New Extended Deadline 2024
The Federal Tax Authority (FTA) of the UAE has announced an extension for corporate tax filing and payment deadlines for certain businesses.
Entities with short tax periods ending on or before February 29, 2024, now have until December 31, 2024, to file their returns and complete tax payments. This applies to companies established, formed, or recognized on or after June 1, 2023, whose first corporate tax period is shorter than the standard 12-month cycle, according to the Federal Tax Authority.
Khaled Al Bustani, Director General of the FTA, explained that the extension is intended to provide businesses ample time to meet their tax obligations without incurring administrative penalties.
The UAE’s federal corporate tax system, introduced with a 9% rate for financial years starting on or after June 1, 2023, applies to companies with annual profits exceeding Dh375,000 ($102,100).
In May last year, the Ministry of Finance confirmed that businesses with turnover exceeding Dh1 million in a calendar year will be subject to corporate tax. The tax system is designed to apply only to income derived from business activities.
Earlier Deadlines in 2024
The Director General of FTA, AL Bustani stressed the importance of meeting deadlines in FTA decision No. 3 of 2024, which is likely to be effective from 1st March 2024. Taxable Persons holding licenses issued in January and February, not considering the year of issuance, and juridical persons without holding a license as of 1st March 2024 need to submit their Corporate Tax registration application by the deadline of 31st May 2024. Besides, resident juridical persons holding licenses that were issued in March and April have a deadline of 30th June 2024 to submit their applications, regardless of the year of issuance.
Businesses operating in the UAE can have a look at this corporate tax compliance guide and ensure adherence to the new regime.
Campaigns to Spread Awareness
The FTA carried out this campaign during the launch of a new awareness workshop in Dubai. This is a part of the second phase of the comprehensive campaign by the FTA to educate business sectors and stakeholders on Corporate Tax Compliance. The campaign was initiated last year and aims to enhance knowledge on taxation, besides encouraging Taxable Persons to voluntarily comply with tax regulations.
With an impressive attendance of 842 stakeholders, including 52 senior officials from public and private sectors, the workshop witnessed record participation. Currently, the FTA is intensifying its efforts to enhance direct communications with tax stakeholders and business sectors throughout the country through virtual and physical workshops. The authority is also engaging with business assemblies and economic councils in industrial and commercial areas to achieve this goal.
Importance of Free Zones
Highlights of the Workshop
Registration Process
Professional Assistance to Ensure Tax Compliance
While FTA strives to ensure tax compliance through its comprehensive approach, businesses operating in the UAE must be well-informed and prepared to fulfil the new set of obligations. Trusted corporate tax consultants in Dubai like the IMC Group continue to play a vital role in this evolving ecosystem, offering expert guidance and support to businesses navigating the changing tax regime. Successful companies operating in the country habitually partner with these professionals for assistance in ensuring tax compliance. This approach proves effective in fostering a robust and compliant economic environment in the UAE.
- NEWSLETTER,SINGAPORE
- June 12, 2024
With the climate change crisis intensifying all around the globe, different countries are committing to ambitious sustainable targets. Singapore, one of the global business hubs, stands out with its initiative to achieve net zero emissions by 2050. This is a formidable goal for a small island nation with limited land and natural resources.
The government has developed its Singapore Green Plan 2030, which defines the blueprint of concrete sustainability targets for the next decade. According to this plan, by 2026, the country aims to reduce the amount of waste sent to landfill per capita each day by 20%. The plan also seeks to increase the output of solar energy, while Singapore is likely to turn 80% of its buildings by 2030. Enterprises bracing up for Singapore company formation, therefore, need to align their strategies to these sustainability goals. Over the years, Singapore has turned into an attractive destination for eco-friendly businesses. For enterprises incorporated in Singapore, it’s essential to seek professional support from experts to ensure compliance.
Creating a Sustainable Ecosystem in Singapore
Green Tech Industry in Singapore
Singapore’s Talent Pool Driving its Green Economy
Green Projects Incentives from the Government
Tax Benefits
Financing Schemes and Cash Grants
Different government agencies in Singapore are committed to supporting sustainable businesses in the country. These enterprises are eligible for cash grants that cover various business expenses. For instance, the Resource Efficiency Grant for Emissions (REG(E)) co-funds expenditures for industrial facility projects for verifiable and measurable mitigation of carbon. The government has set a benchmark of at least 500 tonnes of carbon footprint reduction per annum for businesses to qualify for this grant, which would cover around 50% of the qualifying costs. This Grant helps businesses cover a part of their expenses incurred to adhere to mandates related to climate.
The REG(E) was first introduced in 2022 for local companies in the retail, food manufacturing, and food services sectors. During the 2024 Budget, it was extended to other sectors like data centres, maritime, and construction.
The Sustainability Reporting Grant helps businesses with at least S$100 million annual revenue prepare their first sustainability report. It will cover up to 30% of the qualifying cost, while the government capped the amount at S$150,000 per company. For SMEs, a new program will be launched to streamline the path to preparing their first sustainability reports. It will cover as much as 70% of the eligible costs for the first year and 50% for the two subsequent years.
Often, establishing a start-up company in Singapore comes with obligations to meet sustainability goals. Startups and businesses can seek loans up to S$50 million from the Enterprise Financing Scheme – Green to support green projects.
What Should Businesses Expanding to Singapore Do?
Businesses expanding to Singapore often need to invest in new materials, technologies, and processes to comply with the stringent sustainability goals in the country. In the short run, no significant cost savings may be visible. However, enterprises benefit from increased profitability over the long run, along with enhanced brand reputation.
Here’s what businesses expanding to Singapore must do:
- Seek funding: Acquire support from the Enterprise Financing Scheme to support upcoming green projects.
- Cost-effective approach: Take advantage of tax credits and grants on expenses incurred on adopting sustainable practices.
- Position the brand as a leader: Establish the company as a frontrunner in the green economy to attract eco-conscious investors and customers.
During Singapore company formation, forward-thinking businesses seek comprehensive professional support from the IMC Group. With experts guiding them through the complex regulatory norms and helping in maximizing government funding, tax benefits, and credits, businesses can confidently achieve their sustainability goals.
- NEWSLETTER,U.A.E
- June 11, 2024
With the evolving nature of modern risks, family offices strive to adopt a proactive stance to secure finances. Traditionally, these organizations faced risks limited to investment and financial stability. However, wealth owners today face a multiplicity of risks, such as reputational risks, financial risks, issues with physical security, and even online vulnerabilities. While thwarting all these risks completely is almost impossible, a competent single family office in Dubai needs to understand the evolving nature of risks and protect the future generations.
In this edition, we present four essential guidelines for family offices to manage modern risks.
How can Family offices manage new threats to protect future generations?
1. Explore new types of risks
Risks keep evolving when it comes to financial management. For family offices, it’s essential to adapt a rapidly evolving risk management strategy to address technological advancements, geopolitical shifts, and increased mobility. The secret to success lies in introducing innovative risk management strategies and staying abreast with global and regional security trends.
A report published in 2024 found that the biggest risk lies in reputation management, with 27% off respondents citing this threat. Other risks include wealth transfer and succession, and investment returns, each accounting for 22% of the threats.
Understanding new types of risks can help Single Family Office in Singapore address emerging threats.
2. Establishing a comprehensive strategy to manage risks
Family offices should work on a comprehensive strategy to manage risks, addressing threats like digital, physical, reputational, and emotional security. Thus, a multi-layered approach is essential, including the implementation of robust cybersecurity strategies, securing physical premises, and protecting the reputation of a family. At the same time, the strategy should ensure the emotional well-being of the staff and family members.
This is why it’s essential to partner with the right service provider like the IMC Group. Professionals with a proven track record and expertise can significantly enhance the risk management capabilities of a family office.
3. Establishing a Robust Cybersecurity Posture
When it comes to risk management, top professionals prioritize cybersecurity. Single family offices should deploy measures like 2FA (two-factor authentication) and educate their clients against social engineering. These simple steps can ward of as much as 90% of cyber threats. Experts also recommend using password managers and securing all remote access points to draw a reliable line of defence.
A report reveals that 53% of family offices engage external service providers to strengthen cybersecurity.
4. Nurturing a Culture of Security Awareness
Family offices must educate their staff and family members about potential security risks and best practices. Only 33% of family offices carry out routine security risks, so it’s crucial to engage a professional specializing in these aspects. These training sessions go a long way in cultivating a proactive mindset towards security. This ensures that every member within the organization is aware of their role in maintaining security.
Proper security management is essential to secure sensitive information and assets. Forward-thinking single family offices deploy a comprehensive insider threat program that includes ongoing training, clear policies, and a culture of security awareness. All these measures mitigate threats posed by all sorts of insider actions- both intentional and unintentional.
Ensure Long-Term Security with Professional Support
- NEWSLETTER,U.A.E
- June 11, 2024
Over the years, Dubai has emerged as the global hotspot for businesses with a robust commercial ecosystem. Forward-thinking entrepreneurs are keen to expand their footprints in this Middle Eastern Country, known for its opulent lifestyle and luxurious appeal. Ambitious business leaders around the globe seek professional guidance from consultants, streamlining the process of company formation in Dubai. From its business-friendly environment to demographic advantage, Dubai appeals to successful brands with a plethora of benefits.
Let’s take a look at the top reasons justifying the popularity of Dubai as a global business hub.
Why is Dubai Ideal for Setting up a Business?
If you are wondering why Dubai is best for business, here are ten reasons that demonstrate the tremendous potential of this city.
1. Business-friendly environment
2. Demographic advantage
3. Favourable Visa scheme
4. Sophisticated infrastructure
5. Diverse Financial Sector
6. Business-friendly tax policies
The tax environment in Dubai is one of the best in the world for investors. After setting up a business in Dubai, entrepreneurs can take advantage of tax benefits and exemptions in free zones. With a business setup in Dubai UAE free zone, entities can benefit from minimal corporate tax, while personal income tax isn’t levied in the country.
7. Dynamic business environment
8. Diverse cultural scenario
9. Economic free zones
10. Silk Road initiative
Professional Assistance to Set Up a Business in Dubai
Global entrepreneurs thinking of setting up their operations in Dubai often look out for a strategic partner for consultation and advice. The IMC Group continues to be one of the leading partners, facilitating company formation in Dubai. This group of professionals, with its tailored solutions, network, and expertise, empowers entrepreneurs to capitalize on the tremendous opportunities in Dubai and understand its complex regulatory norms to ensure compliance. From establishing a presence in free zones to accessing investment avenues and fostering collaborations, the IMC Group lends its comprehensive assistance in driving entrepreneurial success in the thriving business ecosystem in Dubai.
- NEWSLETTER,SINGAPORE
- June 11, 2024
As advancements in artificial intelligence (AI) continue to drive innovation globally, investors in Asia are particularly focussing on data centres. Data centres are essential to support ongoing advancements in AI and data science. This interest has fuelled a competitive effort to build data centres in building data centres among investors in Singapore. Particularly, global businesses are interested in company formation in Singapore to acquire and manage data centres.
In the Asia-Pacific region, data centres have emerged as the preferred alternative asset for REITs (real estate investment trusts). Between the first quarters of 2023 and 2024, there has been a spike in the share of investors prioritizing data centre investments, with the figure surging from 29% to 33%.
Booming Data Centre Economy and Acquisitions by Singaporean Investors
A report evaluates the activities of Singaporean REITs in the data centre sector. Due to a moratorium on data centre construction within Singapore, restrictions have been imposed on domestic investment opportunities. Naturally, investors in Singapore are exploring international prospects.
Last March, Keppel Corporation acquired a partially constructed data centre from Mitsui Fudosan in Tokyo. The company put their trust in the robust growth of the public cloud market in Japan, which is projected to hit the $34 billion (£27.2 billion) milestone by 2028.
In another significant move, less than a year ago, MapleTree Industrial Trust purchased a data centre facility in Osaka for $378 million (£302.6 million). The CEO of MapleTree explained the strategic value of this acquisition, focusing on the prospects of diversifying their presence of data centres in Japan. The CEO also stated that this expansion falls in line with their goals to enhance their footprint in the resilient data centre sector which looks promising for growth.
With AI and eCommerce booming, the acquisition was a strategic move by MapleTree as the company made an inroad into the Japanese market.
Wondering why set up business in Singapore? The surge in data centre investments and the robust support from the government explain why forming a company in Singapore can be advantageous.
According to an expert, data centres accounted for just 1.4% of the REIT universe in Asia in 2022. This segment consisted of two dedicated REITs in Singapore. The expert pointed out that real estate investors in Asia are increasingly turning their attention to data centres. However, no new data centre REIT was listed in 2022 due to challenges in the equity market segment. Currently, several existing REITs are investing in data centres.
Professional Support for Company Formation in Singapore
For companies looking to establish their presence in Singapore, the IMC Group continues to be a trusted partner. This group of professionals streamlines the process of Singapore company Incorporation through its strategic insights, extensive networks, and expertise. The experts also provide invaluable support to businesses as they navigate the stringent regulatory frameworks in Singapore and access investment opportunities.
- Publications
- June 10, 2024
Singapore is a prime destination for business incorporation due to its robust legal framework, strategic location, and business-friendly policies. As a global financial hub, it offers political stability, a skilled workforce, and low corporate tax rates. Singapore’s free trade agreements and efficient infrastructure attract entrepreneurs and multinational corporations alike. In 2023, the Accounting and Corporate Regulatory Authority (ACRA) reported over 547,000 registered business entities, highlighting the country’s dynamic and thriving business ecosystem and solidifying its reputation as a top choice for business setup and growth in Asia.
Explore our detailed checklist, which outlines everything you need to know about incorporating a company in Singapore, from name approval to ongoing compliance requirements. This comprehensive guide will help ensure a smooth and efficient registration process.
Ready to start your business journey in Singapore? Scroll down to access our comprehensive checklist and receive expert guidance on the entire incorporation process.
Learn the essential steps to streamline your registration, meet all legal requirements, and establish a strong foundation for your business.
Don’t miss this chance to make your business dreams a reality – download our checklist now and set your company up for success!
Please complete your details below to download:
- Publications
- June 9, 2024
Ready to elevate your compliance management? Fill out the form below to gain immediate access to expert insights on mastering compliance strategies.
Discover methods to streamline your processes, enhance compliance accuracy, and confidently address regulatory challenges.
Please complete your details below to download:
- Publications
- June 6, 2024
Ready to level up your financial management? Fill out the form below to gain immediate access to expert guidance on mastering bookkeeping.
Discover strategies to optimize your processes, enhance accuracy, and confidently tackle financial challenges.
Don’t let this opportunity pass by – download now to drive your business success!
Please complete your details below to download:
- Article, Global
- June 3, 2024
The Netherlands appeals to businesses and entrepreneurs looking to establish a foothold in Europe, with its robust commercial infrastructure. Its business-friendly environment and strategic location offer a wealth of opportunities to forward-thinking businesses. The ease of doing business in the Netherlands makes it a preferred hub for global entities. Most importantly, it takes just around 3 weeks to incorporate a company in the Netherlands.
Whether you are a startup or an MNC, forming a company in this country brings in several advantages. The country has a skilled workforce, a stable economic environment, and favorable tax norms.
In this comprehensive guide, we have discussed how to register company in Netherlands. Read on to understand different business structures, tax incentives, and the process of setting up your company in this country.
Why Do Global Brands Choose the Netherlands for Expansion?
The strategic location of the Netherlands gives you access to more than 500 million customers. Located centrally in Europe, the country boasts one of the most advanced logistics and infrastructure systems in the world. The quick access to the Port of Rotterdam and Schiphol Airport significantly bolsters international connectivity and trade.
Global brands benefit from doing business in the Netherlands as the country has a highly skilled and multilingual workforce. The government strongly emphasizes innovation and education, as the country ranks high in terms of competitiveness and innovation globally. Thus, the Netherlands has emerged as the ideal hub for technology, research, and development.
The Dutch government also lends active support to foreign businesses through favorable tax regimes and a transparent regulatory framework. With competitive corporate tax rates, several tax treaties, and incentives for research and development, the Netherlands has emerged as an attractive destination for businesses.
Setting up a Business in the Netherlands: Different Types of Business Structures
Private Limited Liability Company (Besloten Vennootschap or BV)
The most common business structure for small and medium-sized enterprises in the Netherlands, a Private Limited Liability Company (BV) is the most common type of business structure. Businesses benefit from liability protection, which implies that their shareholders are liable only for their respective investments in the company.
The company incorporation process requires a notarial deed, which must be executed in Dutch. Most importantly, there’s no minimal capital requirement, making it suitable for small businesses. The BV structure offers adequate flexibility, ensuring the easy transfer of shares. It is also adaptable to different decisions made by the government.
Public Limited Liability Company (Naamloze Vennootschap or NV)
A Public Limited Liability Company (NV) is suitable for larger companies in the Netherlands. These companies may raise capital through public offerings. An NV is different from a BV since the former can issue shares to the public and be listed on a stock exchange.
The process to register company in Netherlands under the public limited liability structure is more complex. Businesses following this model require a minimum share capital of €45,000 for the notarial deed. The regulatory and reporting requirements of NVs are more stringent.
Other types of business entities in the Netherlands
Cooperative
Foundation
Sole Proprietorship
Partnerships
Partnership businesses in the Netherlands can be of three types:
- General Partnership: Two or more partners in a general partnership business share their profits, losses, and liabilities. Although the structure is flexible, it comes with joint and several liabilities for partners
- Limited Partnership: Such a partnership includes both general and limited partners. General partners manage the business and bear unlimited liability, while limited partners contribute capital and have liability limited to their investment.
- Professional Partnership: Professionals like doctors and lawyers often register their businesses as a professional partnership. Such a business structure allows them to jointly share their profits and losses based on mutual agreement.
Step-by-Step Guide to Registering a Company in the Netherlands
Business Plan and Legal Advice
Choose the Right Business Structure
Registration with the Chamber of Commerce (KvK)
1. Choose a name for the business
2. Check the availability of the business name
3. Drafting the Deed of Incorporation
4. Submitting the Registration Application
5. Obtain the Company Registration Number
6. Register for Taxes
7. Open a Business Bank Account
Legal requirements for doing business in the Netherlands
Physical Address
Share Capital
Registration with Dutch Authorities
Besides registering with the Chamber of Commerce (KvK), all entities doing business in the Netherlands should comply with other regulations. These include:
- Tax registration
- Data protection and privacy with adherence to the GDPR
- Social security and employment regulations regarding minimum wages and benefits
Taxation in the Netherlands
Overview of Taxes
| Type of Tax | Rate | Notes |
|---|---|---|
| Corporate Income Tax | 15% up to €395,000 | 25.8% above €395,000 |
| Value Added Tax (VAT) | 21% standard, 9% reduced, 0% specific | Applies to goods and services; reduced rates for essentials and specific services |
| Dividend Withholding Tax | 15% | Rate can be reduced or eliminated under tax treaties |
| Environmental Taxes | Variable | Includes energy tax, waste tax, and water pollution tax |
| Real Estate Transfer Tax | 6% | 2% for residential properties |
| Payroll Taxes | Variable | Includes wage tax and social security contributions |
Tax Incentives and Benefits
When you set up a company in Netherlands, you can take advantage of several tax incentives and benefits, as presented below:
- Innovation Box: Businesses engaging in innovative activities enjoy a reduced tax rate of 9% on profits
- WBSO (R&D Tax Credit): This involves deductions of wage tax and direct tax credits for R&D investments
- Energy Investment Allowance (EIA): EIA involves the deduction of a percentage of investment costs in energy-efficient technologies from taxable profits
Tax Filing Requirements and Deadlines
After you set up a company in Netherlands, it’s imperative to file your taxes on time to avoid additional interest charges and penalties. It’s advisable to reach out to a professional tax advisor like the IMC Group to meet your obligations with professionalism.
- Corporate income tax returns in the Netherlands have to be filed within five months after the end of a fiscal year, although extensions may be granted upon request.
- VAT has to be filed every quarter, and businesses need to pay the amount within a month after the reporting period
- Payroll tax returns are to be filed monthly, and the payment would be due within one month after the end of the reporting period
Professional Support for Company Incorporation and Tax Filing in The Netherlands
While setting up a business in the Netherlands takes little time, the stringent legal norms in the country looks demanding. Considering the challenges like evolving regulatory requirements, opening a bank account, or registering your company, having a professional team of advisors on your side can significantly help.
The IMC Group continues to be your trusted partner during company incorporation in the Netherlands, offering a holistic range of advisory and tax services. The professionals also enable businesses capitalize on the tax incentives with proper knowledge. Forward-thinking companies doing business in the Netherlands habitually seek professional consultation from seasoned experts to speed up the incorporation process and ensure tax compliance.
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