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Long-Term Residency Visas in UAE for Expats Announced in Five New Job Categories
  • Newsletter, U.A.E

Long-Term Residency Visas in UAE for Expats Announced in Five New Job Categories

The long-term UAE residency visas for expats are now offered in five select categories, which will allow them to reside in the UAE for up to 10 years.

The General Identity Directorate in Khalifa City of Abu Dhabi, Major-General Saeed Rakan Al Rashedi, who is the Director-General for Foreigners Affairs and Ports, said, “Today we announce the launch of new services in the field of residency, implementing the UAE Cabinet Decision No. 56 for the year 2018. It grants long-term stay in the country to investors, real estate investors, entrepreneurs, talented people like doctors, researchers, innovators and outstanding students.”

He also mentioned that the UAE leadership has made huge effort for the expansion and growth of the country, offer peaceful living for its residents and help people from various walks of life and professional backgrounds to get residency visas easily. The applicants in these five categories that includes outstanding students would be given a renewable residency visa and would be allowed to sponsor and get their spouses and children.

The advantages of the visa for the spouse and children is to make sure that the expats get a cohesive family environment and social structure and they get an invigorating environment for their growth.

These classifications include real estate investors who will be granted a five-year visa, other investors who can get a 10-year visa, and entrepreneurs and other talented professionals like doctors, scientists, researchers and innovators would be given a visa for 10 years.

The fifth category, which is that of outstanding students, would be given residency visas for five years. All these categories of visas are allowed to be renewed on expiry.

After they become eligible during their stay, expatriates are supposed to apply under the investors’ category.

These new measures are expected to attract highly skilled professionals, expats and investors coming from around the globe, and this in turn, would make the UAE as a hub for knowledge and international investment. This move targets to help the UAE in maintaining its optimal business environment by encouraging more and more company formation in Dubai.

Categories in new long-term visa
Investors – 10-year visa

Pre-conditions:

  • Public investment has to be made through a deposit or a company (more than Dh10 million)

Non-real estate investments should be over 60 percent of total investments

  • Investor should be holding the full ownership and not be on loan. Otherwise he has to prove that he reserves the investment rights for a minimum of three years.
  • Assets should not be burdened by claims that damage the correctness of the financial value of Dh10 million

Advantages:

  • This 10-year visa is renewable
  • There is a possibility of having partners; however, there is a pre-condition that all the partners should be investing Dh10 million
  • A 10-year visa also for the spouse and children

10-year visa for is given also to one executive director and one advisor

  • A six-month entry visa along with permits for multiple travels
Real Estate Investors – Five-year Visa

Pre-conditions:

  • The total investment in the sector of real estate should be over Dh5 million
  • The investor should be holding the full ownership and not be on any Otherwise he needs to prove that he is reserving the rights of investments for at least three years.
  • Financial assets should not be burdened by claims that weaken the correctness of the financial value.

Advantages:

  • This five-year visa is renewable
  • A five-year visa also for the spouse and children
  • Five-year visa for is given also to one executive director and one advisor
  • A six-month entry visa along with permits for multiple travels
Entrepreneurs – Five-year Visa

Pre-conditions:

  • Possessing a project with a net value of over Dh500,000 along with accreditation certificates taken from the government

Advantages:

  • A five-year visa that could be upgraded to investors visa
  • A five-year visa for spouse and children
  • A six-month entry visa along with permits that allow multiple travels. This could be extended for additional six months.
  • A five-year visa is given to three executive directors.
Researchers, Scientists, Innovators and Doctors – 10-year Visa

Pre-conditions:

  • Should have a valid work contract and possess a specialisation in the fields that are given priority in the country

Advantages:

  • A 10-year visa, which can be renewed
  • 10-year visa also given to spouse and children
Outstanding Students – Five-year Visa

Pre-conditions:

  • The student should have scored at least 95 percent in his or her secondary school along with a distinction of 3.75 GPA when graduating from any university

Advantages:

  • A five year visa, which can be renewed
  • A five year visa for the family, which also can be renewed

So if you think you fit in any of these five categories and need professional advice on how to go forward or need PRO services in Dubai, do get in touch with us and we would be happy to assist you.

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Is 2020 Going to Enhance the Economic Effect of SME Firms in Dubai
  • Article, U.A.E

Is 2020 Going to Enhance the Economic Effect of SME Firms in Dubai

SME companies in Dubai or small and mid-size businesses have played a key role in encouraging the private sector and expanded the economic system. But now the question is if the year 2020 would enhance the financial impact of SME businesses located in Dubai and create new business opportunities for SMEs operating in Dubai?

The UAE economy is nurtured by SME firms in Dubai in a big way. As per current data, small and mid-size enterprises represent almost 96 percent of the total number of registered companies in Arab.

Next year, or 2020, is expected to bring a huge transition in the country. Some studies say that in 2020, there will be huge foreign investments by multinationals and many big corporate giants would enter the region. Due to this, the SME firms are anxious that their commercial characteristics would be sidelined. They also think their business opportunities would be restricted.

But UAE has done its ground work. After 2009’s economic downturn, UAE has prepared itself to deal with any global financial crisis such as fluctuations in economy, reduction of oil prices, etc. This is because of segregated business communities, business modules being based on knowledge, and investments in innovation-focused sectors which are majorly controlled by SME firms in Dubai and UAE.

There are over 4 lakh SMEs in Dubai which contribute around 60 percent of the GDP of UAE, and this figure has been rising with each passing year. In only Dubai, there are over 95 percent SME firms which add to the robustness of the economy.

UAE believes that the SME businesses in Dubai and in other parts of the region are its backbone. Thus, with the upcoming commercial plans for 2020, UAE has made it compulsory to integrate the SME firms through several programs. It is planning to adapt an approach where SME firms in Dubai and UAE get more flexibility and get equal opportunities to participate.

According to the latest reports, no advanced payment guarantees, no tender bonds and other similar leverages have been appointed for SME firms who are looking for collaborating on various government platforms. The SME sector is all set to almost 245,000 new jobs in the coming years particularly in tourism, event and hospitality sectors, which are set to grow by Dh143 billion. Besides, even IT start-up firms and consultancies will benefit hugely in 2020.

Do you want to take an approximation of how your company would fare in the year 2020? Or are you thinking if this is the right time for company formation in Dubai? Do get in touch with us and our professionals would guide you for business setup in Dubai free zone.

We at IMC, have the best experts of the industry who can help you with any assistance you require regarding company formation in Dubai or UAE. Just get in touch with us and we would offer you comprehensive solutions for business setup in Dubai free zone.

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Setting up an Energy company in Dubai
  • Article, U.A.E

Setting up an Energy company in Dubai

The UAE has come out with a new approach to construct a sustainable infrastructure to generate power using renewable energy. Traditionally, oil and gas have been the main source of fuels driving the UAE. But the UAE is changing the manner in which they use the energy mix, as per the ‘Energy Strategy 2050’, the key objective is to provide the nation with clean energy, to be specific, 7 percent of Dubai’s total power productivity by the year 2020, which is progressively rising to 75 percent by the year 2050. All the GCC nations have realised that they can’t just rely on the oil sources in the long term. They are now investing heavily in the renewable energy sector to attain the targets they have set by 2030-2040.

The UAE is the first nation that has adopted a new energy approach and is targeting a blend of renewable, nuclear and clean and is now known as one of the world’s foremost countries to come out with an effective and dependable renewable energy approach. The breakdown of this approach is as follows:

  • 44 percent clean energy
  • 38 percent gas
  • 12 percent clean coal
  • 6 percent nuclear


The ‘Energy Strategy 2050’ is in agreement with the ‘UAE Vision 2021’ when it comes to certainly constructing a sustainable environment by lessening carbon footprint, enhancing air quality and also adopting clean energy. The overall objective of this approach is to enhance the usage of clean energy from the current 25 percent to 50 percent by the year 2050, so as to lessen the carbon footprint by almost 70 percent and to enhance the energy consumption by entrepreneurs and enterprises by 40 percent. The UAE government is also investing an amount of over AED 600 billion by the year 2050 to make sure that this approach is put into practise and the established goals are met. Presently, the world’s biggest concentrated solar plant is under construction in Dubai amongst an array of other projects in the pipeline. This is going to put the UAE at the third rank in the world when it comes to creation of concentrated solar power.

The process of setting up an energy company in the UAE

There are many opportunities available in the UAE and within the GCC for innovative and ground-breaking companies to expand their business within the region. With progressive and avant-garde energy projects that are already running in the UAE, the Energy and Power industry provides beneficial investment prospects across the board; particularly for those who have interest in company formation in Dubai or setting up a business in the renewable energy space and service companies that support the industries like technology, engineering, and professional services. There is also an ever-increasing demand and ample of new opportunities in the energy production field. Here are some points to consider when you begin setting up a business within the UAE in this industry:

  1. Decide and set up the legal form of the new business
  2. Register your company or trading name
  3. Find out the best office lease options and get a contract done
  4. Fill the application for a trade licence and get requisite approvals from the concerned departments
  5. Get a Department of Economic Development (DED) Trade Licence
  6. Get registration of your new business with the Labour and Immigration Departments
  7. Open your company’s bank account
  8. Recruit and apply for your employees’ visas

Note:

People interested in working within the renewable energy industry as a Solar or PhotoVoltaic Consultant or Contractor have to register with Dubai Electric and Water Authority (DEWA). Then, they need to attend a five-day training course, which covers competence building and safety awareness. For more information on this, please visit: www.dewa.gov.ae

Locations to set up your company in the Energy Sector in the UAE

If you are planning for business setup in Dubai free zone, you can consider one of the following free zones:


Masdar City Abu Dhabi:

Masdar City is located very close to Abu Dhabi International Airport and is a thriving clean-technology business hub. If you set up your business in this free zone, you would get an array of advantages such as 100 percent foreign ownership along with exemption from corporate taxes.


Dubai Multi Commodities Centre (DMCC):

This is a government entity, which was founded in the year 2002 to augment commodity trade flows within Dubai. It is a dedicated global hub for over 14,100 enterprises ranging from various industries and sectors. There are many benefits that DMCC extends to companies who are setting up their businesses in the UAE or are thinking of DMCC company formation.


Dubai Silicon Oasis (DSO):

Dubai Silicon Oasis (DSO) was established in 2005 and is a technology park with an integrated community. It’s a 100 percent government-owned free zone facilitating and promoting new technology-based industries. Various incentives and advantages are offered to companies that function within this free zone.


Mainland:

Mainland licenses get varied benefits to companies such as the flexibility to do business and be located anywhere in the UAE, an unlimited number of visas along with an exemption from business and/or personal taxes, besides many more plus points.

A company planning to establish a mainland licence in the UAE would have various options for formation such as: Limited Liability Company (LLC), Branch Office and Commercial Agency. You have to consider some factors affecting the cost of a mainland license such as the nature of the activity and which licence is required – industrial, commercial or service-oriented and what would be the legal form of the company.

The procedure to set up a renewable energy company within the UAE is no doubt quite complex, and hence, it is recommended to seek professional advice for the same. We at IMC, have experienced professionals who can guide you with all the procedure so that you are all set to function legally within a short span of time.

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Benefits of Financial Audit for SMEs
  • Article, U.A.E

Benefits of Financial Audit for SMEs

Audit of financial statements reflects the accuracy of the financial position of the company. While it is mandatory for public and large companies to get their financial statements audited, the same does not apply to smaller or mid-sized companies. Although, small and medium-sized enterprises can willingly get their accounts audited for their own benefit.

Audited statements demonstrate consistency and objectivity in the financial reporting and at the same time establishes a clearer view for planning future business activities. Moreover, it saves a company from possible frauds by identifying the issues beforehand that may damage a company’s reputation. Therefore, audit services are of great importance for small as well as big companies.

Reasons why SMEs should consider audit services

  • Identifies Issues

The primary purpose of the audit is to identify issues and problem areas right at the inception. When you hire audit firms in UAE, they help you identify the issues in your financial statements, if any and also help you correct them in a timely manner. This, in turn, helps the company get a competitive advantage over its competitors in the market.

  • Identifies Weaknesses

Audit conducts a SWOT (Strengths, Weaknesses, Opportunities, and Threats) analysis of your business. It helps you identify a particular business process which is weak and prone to threat or damage. This, in turn, helps you improve your business processes and functions.

  • Improved Accounting

When you hire audit firms in UAE, you indirectly eliminate the risk of poor accounting. They help you improvise your accounting function and assure the owners of the company that everything is in place especially when they themselves are not involved in the day-to-day functioning of the business.

  • Prevents Fraud and Misappropriation

Fraud can not only harm the finances of the company but also damage its reputation. Audit helps SMEs prevent the chances of fraud and misappropriation in the company. It also builds brand value and good image of the company in front of its customers, suppliers, stakeholders, etc.

  • Improves Internal Control

Audit services help SMEs improve their internal control system. By emphasising on controls like segregation of duties, increased oversight, restricted access to financial systems, third party review of financial statements and much more, the efficiency of internal controls drastically improves.

  • Improves Credibility

When you hire external auditors, it demonstrates your real commitment to compliance. In other words, it is an indication of how reliable your company is towards the investors. It brings a lot of credibility in the eyes of potential investors and stakeholders.

  • Business Improvements

SMEs should strongly consider hiring audit services in order to improve their business processes. Auditors possess expert knowledge and experience which helps them advise you on how to streamline your process and improve them. It also helps you make cost-savings within your supply chain.

  • Business Legalities

Auditors are well qualified and aware of all the business legalities and compliances that need to be followed while running business operations. They can bring to your notice any non-compliance or breach of law and advise you on how to rectify it in a timely manner.

The above mentioned are a few benefits of conducting a financial audit for SMEs. It is advisable to get the audit done from expert professionals such as IMC Group who can help you present the correct picture of your financial statements. Moreover, IMC Group is a leading audit firm in Dubai with over 20 years of experience, dealing with different industries. Get in touch with IMC Group to transform your business entity’s future to a great extent.

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UAE’s Focus on Artificial Intelligence to Spur Further Growth
  • Newsletter, U.A.E

UAE’s Focus on Artificial Intelligence to Spur Further Growth

A new research shows that the UAE is steadfast in adopting all the latest technologies and that is why it remains far ahead of the global average in terms of artificial intelligence (AI) maturity.

Microsoft’s AI Pulse report has shown that the companies in the UAE were a lot more proactive in implementing AI solutions, as compared to global peers. Around 70 percent of the double-digit expansion companies in the UAE plan to use AI in this year for improving their decision-making, as against 46 percent globally. Also, 45 percent of the UAE’s single-digit expansion companies plan on AI adoption for better decision-making in 2019, again going far ahead of the global average of 31 percent.

AI Pulse is a global initiative by Microsoft that is especially designed to enable in forming the desire and intentions of senior executives globally towards AI. Respondents’ firms were divided into the following categories: high-growth firms, which have double-digit growth and lower-growth firms, which have single-digit growth. The AI maturity of all the companies was then categorised as either: waiting, exploring, experimenting, formalising, or integrating. It was established that about 38 percent of high-growth firms globally are either at the ‘formalising’ or ‘integrating’ levels; however, only 17 percent of lower-growth firms were seen at those levels.

UAE leaders were surveyed in February this year and it was found that almost 47 percent of higher-growth organizations and 15 percent of lower-growth companies in the country has reached the ‘formalising’ or ‘integrating’ stages. With higher-growth firms, this proves a considerably higher AI maturity as compared to the global average.

Experts feel that UAE businesses are currently on the right path in terms of the adoption of AI solutions and the government sector is leading the momentum.

Regarding leadership issues, the report proved that the respondents were typically split over business priorities, as no clear preferences emerged out of the poll. Having said that, the UAE leaders continued to show a greater degree of conviction, with 38 percent choosing the evaluation of success as their top priority for time investment. The prioritisation of business goals and initiatives was tied between the UAE leaders for second place with the handling of facts and information, each getting validation from 30 percent of UAE respondents.

Besides, most firms in the UAE think that AI will have intense effects on various aspects of future leadership, like in overall control, solving challenges, and offering a direction for the workforce. Almost 78 percent of double-digit growth organizations globally and 70 percent of other firms encourage the re-skilling measures to make sure that they are ready for the AI future, almost 97 percent of the UAE leaders said that they supported these measures.

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The Ties Between UAE and India in the Best-ever Phase
  • Newsletter, U.A.E

The Ties Between UAE and India in the Best-ever Phase

The UAE-India ties have been fortifying over the past few years as UAE’s investment pouring into India crossed the $10bln mark.

The financial, political and cultural ties between UAE and India are in their golden phase as the bilateral trade and investments have been growing each year.

Sheikh Nahyan bin Mubarak Al Nahyan, who is the UAE Minister of State for Tolerance, acclaimed the bilateral ties of friendship and trust between these two countries. He also pointed towards the important role of sustainable knowledge-driven economy, new innovations and also dialogue in accomplishing peace and constant progress.

Navdeep Suri, who is India’s ambassador to the UAE, felt that the growing ties between these two countries are mirrored in many incidents like awarding of Sheikh Zayed Award to the Indian Prime Minister Narendra Modi and then UAE inviting the India’s foreign minister Sushma Swaraj for addressing the Organisation of Islamic Countries conference held at Abu Dhabi recently. The ambassador also appreciated Abu Dhabi’s role in establishing the Hindu temple in the UAE.

Vipul, the consul general of India in Dubai, said that the bilateral financial, political and cultural ties between these two nations have been consolidating further over the past few years as UAE has been investing in India and the mark has now crossed $10 billion.

Vipul was addressing the 37th annual conference of The Institute of Chartered Accountants of India (ICAI) in the Dubai Chapter. He also said that the two countries have been collaborating together and making millennium strides in various industries like food processing, defence, space, etc. industries and foreign company registration in India has been on an all-time high.

This annual conference was organised under the title of “Accelerating Millennium Strides – transforming by power of knowledge.” About 2,000 members of the ICAI – Dubai Chapter – were present in the annual conference. Vipul also mentioned that India has been at vanguard of global expansion as it is now touted as the most-rapidly growing economy in the world.

He stressed how India was working to remove poverty and making millennium strides in all the areas, be it science, technology, culture, and many other sectors. And the same is true for the UAE. UAE’s focus also been on spreading tolerance, happiness, making new collaborations and fostering technology. The UAE also is a great example of how people can work and dwell in coherence in a multicultural society.

So if you are thinking of setting up your business in UAE or looking for business setup consultants in Dubai, do get in touch with us and we would be glad to assist you.

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China Announced Key Investments in Dubai During Sheikh Mohammed’s Visit
  • Newsletter, U.A.E

China Announced Key Investments in Dubai During Sheikh Mohammed’s Visit

Thinking of company formation in Dubai? It’s the right time to go for it as China will be doing some major investments in Dubai now.

His Highness Sheikh Mohammed bin Rashid Al Maktoum, who is the Vice-President and Prime Minister of the United Arab Emirates and the Ruler of Dubai recently visited Beijing for the second phase of the Belt and Road initiative.

Some key deals have been signed and investments were also announced on his China visit. Making this announcement public on Twitter, Sheikh Mohammed mentioned that a 60 million square feet station will be launched at the new Silk Road in Dubai for Expo 2020.

The Chinese company Yiwu plans to pump in an investment of about $2.4 billion to use this station for storage and transporting the Chinese goods from Jebel Ali to the rest of the world via New Silk Road.

The Chinese President Xi Jinping was seen shaking hands with UAE Vice President and Prime Minister Sheik Mohammed bin Rashid al Maktoum when they met on a bilateral meeting of the Second edition of Belt and Road Forum at the Great Hall of the People on April 25, this year in Beijing, China.

He proclaimed another project that would be launched in Dubai for $1 billion. It is named as ‘vegetable basket’, which is funded by the China-Arab investment fund. It would be importing, processing and then packing various agricultural products, and animal products and marine products and then export them to the whole world via the new Silk Road.

He joined 40 other state leaders and delegations who came from 150 countries and global organisations, like the International Monetary Fund, the United Nations, and other such entities covered by the initiative which was launched by President Xi Jinping.

Sheikh Mohammed mentioned that the UAE would have a key role to play in improving global cooperation and reinforcing regional ties with the world. He said that the UAE is looking forward to strengthening its international ties in various fields; thus hinting towards this year being an ideal time for best company formation in UAE.

He emphasized on UAE’s continuous efforts to foster positive communication and plan combined action for forming the foundations of sustainable development.

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Expo 2020 Dubai is likely to Add AED122.6b to UAE Economy Between 2013-2031
  • Newsletter, U.A.E

Expo 2020 Dubai is likely to Add AED122.6b to UAE Economy Between 2013-2031

Expo 2020 Dubai is slated to contribute a whopping AED122.6 billion of gross value added (GVA) to the UAE’s economy between the time period of 2013–31. It is also expected to aid up to 905,200 full-time equivalent (FTE) job-years in the United Aran Emirates in 2013–31, which is equivalent to almost 49,700 FTE jobs every year in the UAE over this period.

Najeeb Mohammed Al-Ali, who is the Executive Director of the Dubai Expo 2020 Bureau, said that Expo 2020 Dubai is a very important long-term investment for the future of the Kingdom, which is going to contribute over 120 billion dirhams into the economy between the period of 2013 and 2031.

This is going to hearten millions around the globe to visit the UAE in the year 2020, while encouraging travel and tourism and aid economic diversification for times to come after the Expo. It will also leave behind a sustainable financial legacy that would help in ensuring that the UAE continues to be a leading hub for business, investment and also leisure.

This expo is projected to draw almost 25 million visitors and participants from over 190 countries from the time-period of October 2020 to April 2021. In this duration, it is estimated that the World Expo would contribute about 1.5% of the UAE’s yearly forecasted gross domestic product (GDP).

Besides that, the small and medium-sized enterprises (SMEs) are predicted to get almost AED 4.7 billion as investments in the pre-Expo phase, aiding about 12,600 job-years, and also helping to fulfil the Expo 2020’s goal to promote innovation and encourage small businesses.

During the Legacy period, that is between the month of May 2021 to December 2031, the Expo site would be redeveloped to District 2020, which is going to comprise tenant firms and an expanded Dubai Exhibition Centre (DEC).

District 2020 is strategically planned to promote the UAE’s future vision by aiding sustainable financial development, thus, going a step closer to an innovation-driven economy and nurturing a business environment to assist major growth industries like logistics and transport, construction and real estate, travel and tourism, and education.

More than 80 percent of the Expo built environment is intended to be preserved for District 2020, and ultimately expanded into a city that covers over four million square meters. District 2020 businesses would be focused on innovation and new technology, comprising a blend of corporations and SMEs. The DEC is also going to be a major facility in the site.

The financial effect of the Legacy period is majorly anticipated to be driven by the expansion activity and operations of District 2020 along with the incremental outcomes of DEC’s expansion.

To conclude, there is going to be a ‘direct’ rise in economic activity, while there would be ‘indirect’ advantages of enhanced supply chain demand and ‘induced’ profits from amplified spending by employees of companies involved in Expo 2020.

Expo 2020 Dubai will be the first World Expo that will take place in the Middle East, Africa and South Asia (MEASA) region in the 168 years of history of the event. Close to over 200 participants, which will include of nations, corporations, firms, educational institutions and multinational organizations, would gather in Dubai between the month of October 2020 to April 2021 to discover the Expo 2020’s theme of ‘Connecting Minds, Creating the Future’.

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Know Everything about Audits and the Quarterly VAT Return in UAE
  • Article, U.A.E

Know Everything about Audits and the Quarterly VAT Return in UAE

It is almost a year since the business communities in the UAE are familiarised with the word ‘VAT Audit’. It is essentially a compliance check conducted by the Federal Tax Authority (FTA) to verify that the VAT liability is correctly assessed and the tax return is accurately filled by the taxpayers. It could be carried out at the business premises of the company or in the offices of the FTA.

In the UAE, the standard VAT return filing period is on a quarterly basis. However, FTA may request certain types of businesses to file the VAT return on a monthly basis. This is majorly done to eliminate the risk of tax evasion and at the same time to improve the monitoring of compliance adherence by the businesses. The VAT return filing period applicable to each taxpayer is available on the FTA portal.

  • The VAT Return Filing Process

Taxpayers need to fill the form – ‘VAT 201’ for the completion of VAT return filing process. In order to fill the form, you have to log in to the E-services portal of FTA and select the option of ‘VAT’ followed by ‘VAT 201’ and ‘VAT Return’.

  • Taxable Person Details

You have to enter your name, address and Tax Registration Number in this section.

  • VAT Return Period

You have to enter your VAT return period here. Further details like tax year end, due date, etc. will be generated automatically.

  • VAT on Sales and All Other Outputs

Here you have to compile the details of taxable supplies at Emirates level, supplies subject to reverse charge mechanism, zero rate supplies, exempt supplies, etc.

  • VAT on Expenses and All Other Inputs

Here you have to compile the details of expenses or purchases on which you paid 5% VAT. Also, include the input tax that has to be recovered.

  • Net VAT Due

This is the VAT payable for the return period.

  • Additional Reporting Requirements

If you have used any profit margin scheme or have applied for the same, you need to fill in this section or else you can leave it by clicking on the ‘No’ option.

  • Declaration and Authorised Signatory

Here you have to provide the details of authorised signatories and then click on the submit form tab.


Things to Take Care of While Filing VAT Return
  • All the amounts mentioned in the return should be in United Arab Emirates Dirhams (AED) currency.
  • All the amounts mentioned in the return should be rounded off to the nearest figures of the fills.
  • The sections marked mandatory should be compulsorily filled.
  • If there is no amount to be declared, use ‘0’.

The Bottom Line

Submitting incorrect VAT return or furnishing wrong details can attract huge penalties. Therefore, it is vital to seek professional help for filing your VAT returns. IMC Group is one of the leading VAT consultants in UAE. With our help, you can comply with the VAT laws as we keep you informed of all the latest updates and guidance issued by FTA from time to time.

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How can a foreign company benefit from hiring payroll services in UAE
  • Article, U.A.E

How can a foreign company benefit from hiring payroll services in UAE?

The UAE’s tax-free and business-friendly environment has encouraged many foreign companies to set up their regional base in the country. When these foreign companies operate across borders and employ an international workforce, they need complete knowledge of the local regulatory requirements. They must be compliant with global HR policies to avoid the risk of facing legal sanctions.

Managing a multinational company in the UAE is a complex task, especially when it involves handling a workforce from diverse cultures. Although an attractive salary is a key factor for employees, managing salary transfers and payslips can be challenging for companies. Therefore, it is important for large businesses to understand the international payroll solutions available in Dubai. This will help them maintain a skilled, talented, and loyal workforce while ensuring compliance with various UAE payroll tax and employment regulations.

The diverse expatriate nationalities and the dynamic local regulations make payroll a critical business process. Moreover, after implementing the Wage Protection System (WPS) in the UAE, all the companies operating in the region are required to document a proper payroll process. Owing to this rule, many companies now need expert assistance for payroll services. This has given rise to outsourced payroll services in the UAE.

Need for Payroll Services in Dubai, UAE

Outsourcing payroll services in Dubai is a need rather than a choice for many foreign companies. It not only reduces their operational cost but also helps in keeping their payroll related information confidential from the internal employees. Moreover, outsourcing payroll services can save a company from involving itself in numerous administrative and legal requirements that come with hiring an internal employee.

Managing employee payroll can be time-consuming, as it involves issuing payslips, making salary transfers, tracking leave, and handling other administrative duties. Outsourcing this task to a local payroll service provider in the UAE can save time and effort. Ensure that your employees are registered in the WPS system and that final settlements and end-of-service benefits are paid out to them promptly when they leave.

Outsourcing payroll administration can relieve multinational companies of the stress of managing payroll and allow them to focus on their core operations. In UAE, payroll processing must comply with strict labor laws, and any errors can lead to penalties. Partnering with a local payroll service provider can help businesses comply with regulations, such as filing payroll tax, providing end-of-service benefits, and WPS registration.

Benefits of Outsourcing Payroll Services in UAE for Foreign Companies

Cost-Effective Payroll Solutions

Hiring an in-house accountant in the UAE comes with various obligations and costs that are to be fulfilled by the company. These include monthly salary, gratuity provisions, mandatory medical insurance, training costs, overtime costs, annual leaves, annual air tickets, visa, Emirates ID contract fees of labour and much more. On the other hand, if the company outsources payroll services, it can save a lot in terms of the above costs and get the work done at an affordable price.

Access to Expert Knowledge

When companies hire professionals for their payroll function, they get the advice of experts on extensive issues related to UAE labour law. In addition, these experts are well-updated with the latest laws and ensure compliance with the latest rules and regulations. Moreover, outsourcing non-core activities increases the operational efficiency of companies.

Enhanced Confidentiality

While hiring an in-house person for payroll function, there is always a risk of leakage of sensitive information and misuse of company funds. By outsourcing the payroll services, companies eliminate these risks.

Focus on Core Business Activities

Foreign companies often struggle to set up their business in a new country. Moreover, they find it challenging to spend their time on non-core business activities. By outsourcing the payroll services, the companies get enough time to concentrate on their core activities, which are more important to their business. The outsourcing companies manage end to end payroll functions from payroll processing to managing taxes, arranging payments and fulfilling legal and regulatory requirements. Everything is taken care of by them.

Conclusion

Foreign companies looking to establish a foothold in Dubai can significantly benefit from hiring payroll services in the city. Dubai’s economic prosperity, combined with the expertise and efficiency of payroll services providers, can transform how foreign companies operate in this thriving metropolis.

Outsourcing payroll services ensures legal compliance and saves time and resources, allowing foreign companies to focus on their core business activities. It’s a strategic move that enhances efficiency and contributes to the long-term success of foreign businesses in Dubai.

Since payroll is a critical business function, it should be given to trustworthy people. IMC Group provides a complete range of payroll services in the UAE, including payroll management and processing services. Regardless of the number of employees, size of the organisation, and complexities involved in the payroll process, we offer tailor-made solutions to suit your specific needs.

Some of our services include:

  • Issuance of monthly pay slips, bank transfer letters and salary certificates
  • Managing paid leaves, holidays, and absentees
  • Issuance of No Objection Certificates for employees
  • Support for setting up the Wages Protection System
  • Calculation of statutory gratuity payments as per the UAE labour law
  • Assisting employees in choosing and applying for suitable health and medical insurance

We also offer accounting services in Dubai.

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