Dubai is justly known as the city of gold. According to the Dubai Commodity and Raw Materials Centre data, more than 20% of the world’s gold trading activity is concluded over Dubai.
In a relatively short period of time Dubai has taken a significant number of steps to create a comfortable and safe environment for companies in the area of gold trading and other precious metals trading. And the outcome wasn’t long in coming. Today, the words “Dubai” and “gold” are practically joined together.
Dubai, UAE, is the largest center of gold trading in the Middle East. There is no taxation imposed on the purchase and sale of gold in Dubai. This is why it is one of the most favorable places in the world if you make up your mind to buy gold.
Is it cheaper to buy gold in Dubai, UAE?
Due to the large volumes of trading and absence of taxes gold in Dubai turns out to be better priced. The costs of manufactured articles made of gold are among the lowest in the world – with difference of up to 40%.
Dubai is very beneficial as a place to buy manufactured goods – both for end consumers and export. Dubai is a place where there are several large shopping centers specializing exclusively in the sale of gold and items made of precious metals and stones. At the same time due to the absence of taxation and availability of low-cost labor force in the UAE, the cost of manufactured products is slightly different from the value of gold itself, i.e. the retail margin for the manufacture of jewelry is minimal. This being said, you can be astonished by the abundance of available choice. And if you would like to order something specifically tailored for you- no problem. You are offered a full range of designs, out of which you can select the one meeting your requirements and get the item ready in just a couple of days.
Dubai – gold – taxes
There is no taxation in Dubai on the purchase or sale of gold. At the same time even if you buy gold bullion, there is no VAT on it in Dubai comparing to other countries in the world. There is no income tax on the sale of gold either.
Buy gold bullion in Dubai.
The most popular gold bullions in Dubai are bars weighing 1 kilogram, 500 grams, 250 grams and 10 tola (116.6 grams). As previously mentioned, there is no VAT tax on the bullion purchase and no income tax on its sale either. Therefore, the retail markup on the purchase of gold bars on top of the official gold price is one of the lowest in the world. In this respect, buying gold bars in the UAE is profitable and convenient. Especially considering the fact that the purchased gold can be stored in a bank safety deposit box in Dubai.
Buy gold coins in Dubai.
As an alternative to gold bars you can also purchase gold coins. The markup to the actual price on gold upon purchase of gold coins in the UAE is higher than on bullions (like everywhere else), but the overall markup is still lower than in most of the other countries. Gold in coins is also an attractive option for investment.
The world’s major centers of gold trading
• Hong Kong
• New York
Gold in the UAE can but seen almost everywhere – in big stores, jewelry shops, specialized gold and precious stones shopping centers. There are even slot machines that sell small gold bars in some places in the UAE – as if you were buying a candy bar or a bottle of water.