Frequently asked questions

Yes, you can. General immigration requirements would apply: you need to rent an apartment and have legalized marriage/birth certificates to apply for visas of your dependants.

If your turnover reaches 375,000 AED, you need to add 5% VAT to all your invoices, register with Federal tax authority and pay VAT quarterly.

Generally, a freelance permit allows you to operate as an individual and have a personal account only. However, some freelance setups look like a traditional commercial free zone licenses. For example, having a freelance license in Ajman Free Zone you are eligible for a business bank account instead of a personal one.

The timeframe depends on the type of business and background of the shareholders. Mainland companies get their accounts opened faster, offshore companies normally wait longer. The approval period can vary from 2 weeks to 2 months.

For any type of bank account in Dubai, the following will be required:

• Personal presence
• Original passport
• Financial documents (proof of funds)
• Proof of residency (utility bill)
• Business description for corporate accounts
• CVs of the owners

There is no best bank as such. Every business has different capabilities and requirements, so there is no one bank for all.

The most recognized UAE banks are the following: Emirates NBD, First Abu Dhabi Bank, Emirates Islamic Bank, Mashreq, RAK BANK, and Dubai Islamic Bank.

It can, but the approval process will be very long and the account can easily be rejected. It is advisable to open a local UAE company and apply for a bank account using that company for quicker results.

In UAE VAT registration number is not assigned to the business at the time formation.

Every company liable for VAT must apply for registration through Federal Tax Authority portal. Registration is usually approved within a couple of weeks. Once its approved, your unique VAT registration number will be generated and assigned to your business. 

VAT de-registration should be done in 2 cases:

• You closed the business
• Your sales are no longer VAT liable

If you closed the company, you should apply for VAT de-registration right away to avoid penalties for late de-registration. 

In case your business model has changed and you are not supposed to pay VAT in UAE, it is better to take a qualified advice and then apply for de-registration. The process may take a few months since Federal Tax Authority will need to check if your business is really no longer VAT liable.

The mandatory registration threshold is 375,000 AED. It means that when your local UAE turnover reaches this number or you expect it to be reached in the nearest month, you should register for VAT. 

Voluntary registration threshold is 187,500 AED. Voluntary registration is done by the businesses who are planning to claim back VAT which they paid for their corporate expenses, for example office fitout and furnishings.