An offshore Company is a process of establishing a lawful business in an offshore financial center or under a specific legislation that make sure to provide special consideration and status to the offshore companies formed under its jurisdiction. It generally enjoys tax exemption and a high level of privacy and security.
An offshore Company owned by a single person can be selected to treat as a not liable entity for income tax purposes, which makes it absolutely free from income-tax.
Offshore investment refers to investing one’s money in a country other than one’s own country of residence. Offshore investments are a commonly accepted solution for reducing excessive tax burdens. The advantages are, it is legally recognized, considerably less expensive and simple formation norms. Besides, tax benefit is the driving force behind offshore activity.
OFFSHORE AUTHORITIES IN UAE.
Presently there are four offshore authorities through which offshore entities can be incorporated in UAE. The Emirate of Dubai offers offshore company registration in the Jebel Ali Free Zone Authority (JAFZA) domicile.
The Emirate of Ras Al Khaimah (RAK) has two offshore domiciles. The Ras Al Khaimah Free Trade Zone (RAK FTZ) and the Ras Al Khaimah Investment Authority (RAKIA).
Ajman offers offshore company registration in the Ajman Free Zone Authority (AFZA)
JEBEL ALI FREE ZONE OFFSHORE
The selection of relevant offshore authority is done by keeping ones business target in the mind. Decision based merely on cost of incorporation may be short sighted. A more prudent approach will be, to discuss the advantages and disadvantages of different domiciles with an offshore company registration agent who will be able to provide appropriate advice.
RAS AL KHAIMAH FREE TRADE ZONE OFFSHORE
RAS AL KHAIMAH INVESTMENT OFFSHORE
Why people are going for Offshore Company?
Though offshore companies are very useful to save tax burden, those have also the following limitations.