The Importance of Economic Substance in Global Taxation
With the increase in globalization and increased cross-border operations, global tax regulations have turned to be a complex and scrutinized affair. One of the critical concepts that have garnered international taxation attention is the “economic substance.” Economic substance requires that business activities have a real economic purpose and not be structured merely to generate […]
How Economic Substance Regulations Support Transparency in the UAE?
In 2019, the United Arab Emirates introduced Economic Substance Regulations (ESR) to enhance transparency and accountability. Its aim is to strengthen the country’s commitment towards global tax standards and tackle fiscal evasion. ESR needs businesses in Dubai engaged in specific activities to show a considerable economic presence. It also requires businesses to demonstrate that their […]
The Importance of a Feasibility Study Before Starting a Business in Dubai
Dubai’s economy is booming at a high level, making it excellent for businesses to enter its market. Remember as favourable Dubai’s market is, it is also dynamic and ever changing. So, if you are an entrepreneur wanting to start a business in Dubai, UAE, you need to do a feasibility study before thinking of starting […]
What Are Economic Substance Regulations and How Do They Impact Your Business?
In the last few years, the UAE has taken several regulatory measures to conform with international standards and maintain transparency in its financial procedures. One of these regulations, namely Economic Substance Regulations in UAE, is of immense importance for operating enterprises in this region. It is essential to understand the Economic Substance Regulations in UAE […]
What should companies know about the implementation of ESR rules in the UAE?
Economic Substance Regulations (ESR) have become a crucial aspect of business operations in the UAE. Introduced to align with international tax standards and prevent harmful tax practices, these regulations require businesses to demonstrate substantial economic presence in the UAE. Ensuring compliance with ESR is essential to avoid penalties and maintain a positive reputation. Here’s what […]
Introduction to Economic Substance Regulation in UAE
With Globalization and the digitalization of the economy, multinational companies can avoid or reduce their taxes by utilizing low tax or non-tax jurisdictions. It was increasingly becoming necessary to governments worldwide to tax business profits where the economic activities generating the profit are performed. The Organization for Economic Co-operation and Development (OECD) & G20 Summit issued 15 action […]