Dubai’s 0% Tax Is Dead: What the Copycats Won’t Tell You

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Join us as we delve into the hot topic of corporate taxation in Dubai. We'll debunk common misconceptions, share personal insights on why Andrew chose not to move to Dubai, and provide clarity on the new 9% tax regime. We'll explore the UAE's pros and cons, address viewer comments, and discuss the implications of small business relief. Whether you're considering Dubai as your tax-friendly destination or just curious about the facts, this video offers valuable insights into the evolving tax landscape of the UAE.

00:00 Start
1:19 Why I Didn't Move to Dubai
4:21 The Truth about the New 9% Tax
7:27 Evaluating the UAE: Pros and Cons
9:40 Banking Issues in Dubai
10:47 Addressing Comments and Criticisms
14:04 What's the Reality
16:19 Small Business Relief Explained

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[zar-party]

A friend of mine recently told me, that his uncle from the U.S. plans to move to Dubai in order to cut his tax bill. I replied that depending on his sources of income, he might be in for a surprise and he should rather look more into countries like Georgia, or Ireland, depending on his situation. Might as well just send him this video now.
If I got 1 euro from every person I heard saying Dubai was tax-free, I would have gotten 9 euros in the past week.

[Michael-wzte]

If you're a small business owner or consultant making around $200k a year in profit, you can still qualify for 0% tax by taking half in salaries and having another $100k under tax relief. Then, you just pay for a business license, which costs about $2.5k a year. You don't even need to live there if you don't want to, as long as you visit every 180 days to keep the visa active. That's my current situation, and I'm happy about it. When the time comes that I start making $0.5m+ annually, I may start considering other places.

[MacSaxe]

I live in Dubai, mostly love it but 9% + scary-if-you-get-it-wrong paperwork + it's currently 38c at 78% humidity at 11pm, all combined has me starting to question my life decisions...

[craig]

9% Tax Today. Wouldn't surprise me if its 15% in 2-3 years time.

[MatineeManiacs-ucme]

Just to People abroad who doesn't know the dark side of UAE.

1. We have a value added tax of 5%

2. The companies are charged with corporate tax of 9% which is set to increase soon.

3. There is lots of Toll gates to travel within the Dubai which thousands of cars pass by daily.

4. There is not standard pay system and there is huge racism in pay scale based on your passport.

5. Employees rights are not strictly enforced and there is lots of discrimination.

6. Its so fast paced and there is not work life balance in UAE, you are pressurized to complete deadlines.

7. Bad news and mishappens never leave outside the country, they control the media to showcase their continuous growth and achievement.

8. Lot of black market and illegal money laundering activities are done in UAE.

Trust me on this, i was born in the UAE and have been here for 25 years

[xavbaisden]

You have to understand one thing some of us are coming from countries where it seems like all we do is pay taxes, empty homes tax capital gains tax well tax carbon tax, property tax taxes when you sell your house so paying 9% would be like heaven for some of us.

[kagi]

Finally you said what I've been wanting to say. I'll be leaving Dubai for SEA for multiple factors incl sudden changed in tax rules (freezones were supposed to be exempt from all activities done outside the UAE) and lifestyle. That ship has long sailed.

[Chuk]

I think the tax will be increased to 12% in 3 years by 2027

[Salvaba]

Andrew kicked off the episode like he’s asking for an investigation in New York 😂

[DerekGarner-kmfj]

Maybe your best intro ever!... I also have no interest in living there, even if they had kept it tax-free, but don't mind visiting once in a while. Appreciate your real-ness.

[Ommair]

So as a person holding an Indian passport, Dubai (UAE) was the go to option, majority of Indians share the same opinion even before The UAE gained in popularity as a tax haven. All I can say is that UAE wasn’t tax free at all.
You’ll ask me how? They will literally fine you for the smallest, most insignificant things, if you haven’t had your car cleaned, if you accidentally don’t park it exactly between the parking lines and many more.
And these fines were EXORBITANT almost the same amount you’d pay as taxes or maybe more.
Now they rolled out a 9% corporate tax and for a country which literally imports 99%, there’s gonna be a huge exodus of wealth, I live there and I’ve heard rumors that the government is gonna follow Oman’s lead and gradually introduce a personal income tax too.

[burnout]

Love this. Dubai has been off my list since a long time. Even when they where tax free. But its the perfect place for influencers and fake gurus trying to show off.

[Blckpaw]

Andrew, thank you for always being real on telling things, along with you keeping Nomad Capitalist transparency.

[livelovelaugh]

My God. I now and again listen to the knock-off channels. They literally copy Andrew word for word, or rather they would were they anywhere near as articulate.

[actionvj]

“I’m gonna go get in a relationship with someone that only beats me half as much.” 😂😂
I love how you handled this, point-for-point, made your case. Good vlog. 👍🏾

[jameswalker]

Oman now introducing Personal Tax.

Not sure I like the trend.

However, likely will remain territorial only, even if rolled out wider to UAE.

[jeremyleonbarlow]

If I were setting up a holding company even, I would not do it in Dubai, I would set it up in Labuan. Greater flexibility in terms of what assets you can hold. You can hold a brokerage account with stocks and bonds as opposed to just holding shares in a non-public company directly. You can hold cash in a bank account with a Labuan company at the zero percent rate, bank accounts for holding companies in Dubai or old school havens with substance rules like the BVI or the Caymans probably cause issues with substance which are more costly to comply with than Labuan.

[MattWebley]

I've just setup in Dubai, spoke to an accountant I found on Tik Tok that was UK based and is now UAE based and they flat out told me that it was tax free, that's the reason I chose NOT to use them, they were either lying, or they didn't know. Not good when I as a layman know more about tax than the specialist does.

[anthonyuzum]

I’ve watched the intro 5 times already 😂 can’t get enough

[Bstar]

I’ve lived in Dubai for 20+ years. Correct, employees do not pay tax however, if you have a business as of this year we must register for VAT and have to pay tax on yearly income over the 375, 000AED threshold. This is based on information from my tax consultant. If they implement tax on employees I expect another exodus of expats but this will be replaced by people who are happy to pay whatever tax % it is (if one is ever imposed). Tax aside Dubai is a great base or hub, it can get boring if you don’t like opening your wallet everyday and is like living on an island. You can drive to the edge of the country in less than a few hours before you hit a border. However it’s great location being less than 7 hr flight of many major countries. Nearing retirement we will definitely leave and go to somewhere like Greece, Montenegro or our native home country. This will all come down to long term costs relating to healthcare, taxes. I don’t know many people who are in Dubai for the long haul, they want to move onto the US, UK or another western country with free healthcare and retirement benefits. Healthcare in the UAE and school fees for families is expensive. That’s because their home country doesn’t offer those benefits.