UAE - Taxes to be introduced in the near future
 

hello all,

today I listened on the radio a quote from Ministry of Finances talking about taxes. He literally said that taxes for Dubai residents will be a reality in the near future. He didn't specify at which rates or if they would be direct or indirect.

Anyone has got more information?

Could the fact that he said "Dubai residents' possibly mean that he is talking about what in England is called 'Rates' and in other parts of the world has a different name but is an annual tax on the value of the property? It would be payable by the owner but probably passed on as a rent increase to tenants.


When Saudi mentioned income tax many years ago so many expats said they were leaving the idea was scrapped, particularly the US citizens who were already paying USA tax on a portion of their salary.


Just a thought.

The five percent municipality fee included in DEWA is the rates. This would be a very slippy slope indeed if they tried it. EK salaries are hardly generous for the vast majority of staff.

1200 AED per month in housing fee is a tax

Read an article recently in one of the local papers (maybe The National?) which suggested it would be like VAT (a sales tax) and a couple of others - but NOT income tax.

So hit the poorest (and there are awful lot of them in Dubai) worst. :=


Instead how about a luxury tax on black-out window film and Land Cruisers?

I read in the paper that the Ministry of Finance is considering a tax on remittances (in English: sending money abroad).
However I highly doubt that this or a sales tax would prove anything other than harmful to the Dubai economy as people would simply drive to Sharjah to buy stuff/send money home.

Could the title of this thread be changed. It does not relate to taxes on EK (Emirates Airline). It refers to taxes for residents of the emirate, something entirely different.

(It would have been nice to think that EK might have to compete on a level playing field with other carriers by the way.)

Why? Do businesses in other countries compete on a level playing field? Does Starbucks compete on a level playing field against a locally owned coffee shop in the UK? No. International business isn't fair in any sector I'm afraid.

If they were to set up an 'income tax' system then it would require to be legislated and built from scratch, not an easy proposition.

Thanks for the change.

It wasn't just pedantry. I am interested in airline pricing policies and competitive strategy, and with the previous title it looked as if it would have been relevant. It wasn't.

Sounds about right - then it wouldn't affect the locals..:(

Can't disagree there. But even locals have to send money abroad to finance the purchase of houses in civilisation, in order to put housing out of the reach of the natives.

Stick it in your C Fund Al........

I'll stick it somewhere.

Take cash out of the ATM, drive to AD, send money via someone like Al Ansari exchange. Job done.

I already use the exchanges because they are quicker and cheaper than my bank

Yes, I think I already said that.

I didn't think anyone used banks for money exchange/transfer outside Europe! :)


The money changers in Bahrain had a small tax on foreign remittances, I think. The money changer we used in Singapore had the money at destination within twenty four hours, excellent RofA.

It's the new fad in the ME .
 

This from Kuwait and many more initiatives to increase revenue for providing a service to the "expats" :}

No subsidized fuel for expats in four months? - Removal of electricity subsidies may follow - Kuwait Times | Kuwait Times

hmmmm fuel for thought , masalama.