- Residency by investment – solutions, its comparison and why to choose Dubai, the UAE

Residency by investment – solutions, its comparison and why to choose Dubai, the UAE

Residency by investment – solutions, its comparison and why to choose Dubai, the UAE

Investor visa or the visa by investment scheme is the type of visa which is provided based on some certain investments made into the country. Some of such investments require keeping a certain amount in the government bonds; some require the purchase of a property of the certain value, some provide the possibility to get investor visa via registering a company in the country. This type of the investor visa/residency visa also regularly provides the possibility to obtain the residency status for the family members of the investor. In our article, we give a short overview of the main types of such residency by investment schemes and look in details on the solution Dubai, UAE provides for investors.

The requirements and regulations for obtaining investor visa may greatly vary from country to country. For example, the minimum investment required to obtain the residency in Portugal is at least EUR 1.000.000,- a direct investment which shall be invested into Portugal company to qualify for the so-called “Portugal golden visa Permit” whereby such investment must be kept in the country for at least 5 years.

When talking about residency by investment in the UK, the required capital which is to be invested in the UK bonds or share capital is GBP 2.000.000,- whereby such investment cannot be done into property investment companies. Practically the same amount (EUR 2.000.000.-) is required to qualify for Investor visa in Cyprus.

Regularly most of the countries provide one main option for residency by investment and such investment, as you can see on the examples above, are quite substantial.

When talking about UAE, it provides TWO options for residency by investment which is highly practical. These options include the investor visa/residency by setting up a company in the UAE or second type – by purchasing a property in the United Arab Emirates. Thus, each investor can choose the option which fits his particular requirements. The costs of both options are much less when compared to the alternative. If you chose the solution of the visa by investment scheme with the investment into the UAE property, the value of such property should be equivalent to USD 273.000,- only. And if you opt for the solution of residency by registering you own company in Dubai, the UAE – the costs of the company which gives you the possibility to qualify for residency are around USD 10.000,- only.

When considering the options of the residency by investment, there are a number of factors to be taken into account, such as safety, infrastructure, etc. And, once these are given, the next priority is the taxation of your income once you become a resident of a certain country.

In the case of Dubai, the UAE – it provides very advantageous tax treatment of income for its residents whereby all the income is taxed at zero rate. It applies to all your income received in the country and from abroad. Talking about income in the UAE it is also vital to mention that, if you chose the residency visa via investment into the UAE property, the rental income of properties in Dubai is much higher when compared to other countries.

And there is new legislation in the UAE which shall bring soon into force the regulations on the possibility of obtaining a residency by investment for the period of 10 years with the further renewal which is the great option.