History of Dubai
Dubai is one of the Emirates which make up the United Arab Emirates. It has over two millions inhabitants and is the second largest territory in the UAE. Dubai is the best-known part of the UAE internationally and includes an urbanized area around the capital which is also called Dubai. Dubai’s far-reaching international reputation bears witness to the country’s impressive economic ambitions.
Economy of Dubai
To diversify its economy and to prepare for the depletion of its natural resources in oil and gas, Dubai is restructuring its economy. The Emirates wish to move towards high value activities in trade, new technologies and luxury tourism.
Oil export represents no more than 5% of the region’s GDP and Dubai hopes to become the world’s leading luxury tourism destination. To achieve this, the Emirates has begun improving its infrastructure (airports, marina, hotels, underground railway, shopping malls, amusement parks, etc.) and its existing reputation in the sector with, for example, the Burj-Al-Arab Hotel, classified as the most luxurious hotel in the world, the gigantic Palm Islands area created from scratch in the sea in the shape of a palm tree and the Burj Khalifa, the highest building in the world (at 828 meters).
Dubai’s Tax Rates and Benefits
Like the rest of the UAE, Dubai has a tax system that is among the most favourable in the world, especially that of its free trade zones: the Dubai International Financial Centre, the Jebel Alli Free Zone and the Dubaï Media City.
Dubai also has the notable advantage of carrying out its business in English.
In Dubai, companies pay no tax (except oil and gas companies and subsidiaries of foreign banks), of any sort. There is no corporate tax, no capital gains or income, no VAT, no social contributions on wages, etc.