Tax Residency Certificate (TRC)
If you live, work, or do business in the United Arab Emirates (UAE), you may require a document called a Tax Residency Certificate (TRC). This official document can help individuals and companies prove their tax residency in the UAE. Whether you're an individual looking to confirm your tax residency status or a business seeking to streamline your cross-border operations, the TRC certificate is your passport to financial efficiency and global business growth. It is important to understand TRC, eligibility criteria, importance and the application process to navigate the formalities easily. Filings.ae experts help you to obtain your Tax residency certificate effortlessly with all-around knowledge and professional guidance.
Reach out to our Filings.ae experts today to easily secure your Tax Residency Certificate and validate your tax residency status in the UAE!
What is a Tax Residency Certificate (TRC)?
A Tax Residency Certificate is an official paper issued by the UAE’s Federal Tax Authority (FTA). It states that the individual or company named on the certificate is considered a tax resident of the UAE for a certain period—usually one year. Having this certificate can help people and businesses take advantage of tax agreements between the UAE and other countries, often resulting in lower tax rates or exemptions on certain types of income.
Who Can Apply for a TRC?
Both individuals and businesses can apply for a Tax Residency Certificate in the UAE, as long as they meet certain requirements.
1. Individuals:
- Must be a resident in the UAE for at least 180 days within a calendar year.
- Typically need to have a valid residence visa and proof of staying in the UAE.
2. Companies:
- Must be registered and licensed in the UAE.
- Often need to have been operating in the UAE for at least one year.
- The company should have a physical presence and not just be a “shell” entity.
Who is Eligible to Obtain a TRC?
Eligibility often comes down to proving that the UAE is your main place of living or doing business. If you’re an individual, you should show that the UAE is where you spend most of your time. For companies, it’s about showing that the business is genuinely managed and controlled from within the UAE.
Why is a TRC Required?
The main reason for getting a TRC is to benefit from tax treaties. The UAE has agreements with many countries worldwide that are designed to prevent double taxation—where you would pay tax twice on the same income. With a TRC, you can often:
- Pay lower taxes or even no taxes on certain types of income (like dividends or interest) in the other country.
- Avoid double taxation that could occur if both the UAE and another country tried to tax you on the same income.
- Show foreign tax authorities proof of your UAE tax residence to claim tax benefits as per the treaty.
Documents Required to Obtain a TRC
The exact documents may vary slightly depending on the type of applicant (individual or company) and the FTA’s current requirements. Typically, you will need:
1. For Individuals:
- A copy of your valid UAE residence visa.
- A copy of your Emirates ID.
- A copy of your passport.
- Proof of staying in the UAE for at least 180 days (such as entry-exit stamps or residency reports).
- A copy of a tenancy contract or proof of home ownership in the UAE.
- A bank statement or salary certificate that shows economic ties to the UAE.
2. For Companies:
- A copy of the company’s valid trade license.
- A copy of the company’s establishment contract or memorandum of association.
- A copy of the company’s audited financial statements or bank statements for the required period.
- A copy of the manager’s passport, visa, and Emirates ID.
- Proof of business operations within the UAE (e.g., lease agreements, utility bills).
How to Obtain a TRC using Filings.AE ?
You can apply for and obtain UAE Tax Residency Certificate using Filings.AE platform.
- Start Service: Start the Tax Residency Certificate service on Filings.AE by making the necessary payment and by selecting if the TRC is for an individual or company.
- Complete the Online Application: Once the payment is completed, a Filings.AE Tax Advisor will assist you in logging into Filings.AE platform and update the required details.
- Documentation & FTA: Our Tax Advisors will review all information and obtain the TRC from the Government.
- Receive Your TRC: Once approved, you can download your Tax Residency Certificate from the Filings.AE app or Online Platform under the completed services. The certificate is generally valid for one year from the date of issuance.
Why Choose Filings.ae for TRC Certificate?
Filings.ae offers a streamlined and efficient process for obtaining your Tax Residency Certificate (TRC) in the UAE. Our team of experts ensures that all the necessary documentation is accurately prepared and submitted, saving you time and effort. We guide you through every application process step, from gathering the required documents to completing the online submission. With a deep understanding of the UAE's tax laws and regulations, Filings.ae provides reliable, professional service to help individuals and businesses navigate the complexities of obtaining a TRC Certificate. Whether you need it for tax treaty purposes or domestic use, we ensure a smooth, hassle-free experience, allowing you to take full advantage of the UAE's tax benefits.
Contact Filings.ae today to start your TRC certificate application. Our team is ready to assist you every step of the way, ensuring a seamless process!