Change Control

In the United Arab Emirates, there are no currency control restrictions that may affect international remittances.

Immigration and Visa Rules

To live or work in the United Arab Emirates, it is necessary to obtain a visa or residence permit. Long-term visas and residence permits can be applied for based on investments, company ownership or the existence of an employment contract with an employer in the UAE.

There are different regulations for business, tourist and other types of visas.

U.S. Foreign Account Tax Compliance Act

On June 17, 2015, the United Arab Emirates signed a Model 1B Intergovernmental Agreement (IGA) with the United States, which came into effect on February 19, 2016, regarding the exchange of information about U.S. individuals and certain types of US-owned entities. This agreement is based on the Foreign Account Tax Compliance Act (FATCA) and is effective as of July 1, 2014.

On July 6, 2015, the Ministry of Finance of the United Arab Emirates (MoF) released guidance notes detailing the requirements of the Model 1 IGA between the United States and the United Arab Emirates for the implementation of FATCA. These notes expand the scope of the EAU-US IGA Model 1, including definitions, due diligence procedures and reporting obligations. It is important to note that the UAE's FATCA Guidance Notes are not legal in nature.

The exchange of information takes place annually, in the month of September, between the competent authority of the United Arab Emirates and the United States Internal Revenue Service (IRS). Reporting financial institutions in the UAE must submit their FATCA statements to their relevant financial regulator (or to the UAE Ministry of Finance in the case of unregulated entities) by June 30 of each year, unless otherwise indicated. The FATCA regulations also require the submission of null reports when necessary.

Common Information Standard

On February 22, 2017, the United Arab Emirates signed the Multilateral Agreement of Competent Authorities for the Automatic Exchange of Financial Account Information. In addition, the Agreement on Mutual Administrative Assistance in Tax Matters was signed on April 21, 2017.

The exchange of information takes place annually, in September of each year, between the competent authority of the United Arab Emirates and the corresponding authorities of the jurisdictions with which the Emirates has agreed to the exchange of information.

On August 3, 2020, the Ministry of Finance of the United Arab Emirates published Guidance Notes on the implementation of the Common Information Standard. It should be noted that these Guidance Notes are not legally binding.

Reporting financial institutions in the United Arab Emirates, in order to comply with the common standard, must submit their statements to their relevant financial regulators or, in the case of unregulated entities, to the UAE Ministry of Finance before June 30 of each year, unless otherwise notified. The common reporting standard also requires the submission of null reports.