THE UNITED ARAB EMIRATES Investor program

BENEFITS

The United Arab Emirates offers very attractive benefits to investors seeking temporary residency. No corporate tax or income tax, no property or capital gains tax, no foreign exchange controls. What’s more, the country boasts state-of-the-art health and education facilities, as well as a high standard of living.

While citizenship is currently not an option for immigrant investors, the UAE is considering making an interesting policy change that would allow immigrant investors to acquire a longer-term visa.

Currently, three-year renewable investor visas are granted to those investing in designated ‘free zone’ businesses or real estate.

INVESTMENT

The Investor Visa option establishes no minimum investments for temporary residency. Immigrant investors are required to show that their financial situation allows them to make a significant investment in a new or existing USE business, which must be located in a designated free zone. An investment made in a business located outside of such free zones requires a UAR partner holding 51% of the business.

The real estate option opens the door to tax-free profits and capital gains. The requirements are as follows: the value of the property must be of at least 1,000,000 AED and the investor must show proof of a monthly income of at least 10,000 AED.

FINANCIAL REQUIREMENTS

A deposit of 10,000 AED or 20,000 AED (depending on the type of investment) must be made in order to be eligible to obtain an investor visa.
However, the real estate option is more restrictive. First, you are not allowed to be employed. Second, your property must be mortgage-free. That said, the UAE recently granted some foreign investors mortgage-like loans.

Interesting fact: Complimentary passports sometimes accompany real estate purchases, thus giving UAE citizens access to a less restrictive visa-free travel passport.

COMMITMENT

When granted a visa, your spouse and dependant children are also included. You must provide proof of medical insurance and financial documentation showing you are able to support your family. When the time comes to renew your visa, you will have to exit the country and go through a process that can take up to two months. Besides logistics and financial considerations, foreign investors should not underestimate the cultural adjustments that such a choice may involve. Certain social restrictions based on the rule of strict Islamic law are to be considered closely.