Dubai DMCC Free Zone Company
United Arab Emirates
DMCC (Dubai Multi Commodities Centre) is the UAE's most prestigious free zone, located in Jumeirah Lakes Towers, Dubai. It hosts over 21,000 companies and is the world's #1 ranked free zone by the Financial Times. DMCC companies can trade internationally without restrictions, repatriate 100% of profits, and access UAE's extensive double tax treaty network (over 130 treaties). The setup cost includes license fees, establishment card, and share capital requirement (typically AED 50,000 minimum). The DMCC visa allows UAE residency for the owner and dependents. Banking with Emirates NBD, RAKBANK, or Mashreq is accessible for DMCC companies with proper documentation. The 9% corporate tax introduced in 2023 applies to profits over AED 375,000; qualifying free zone entities may claim 0% on qualifying income.
Formation Details
- Setup Time
- 7 days
- Setup Cost
- $8,500
- Annual Cost
- $5,500
- Corporate Tax
- 9% UAE Corporate Tax (effective June 2023) on taxable profits over AED 375,000; 0% for Qualifying Free Zone Persons meeting substance requirements
- VAT Threshold
- $100,000
- Nominee Directors
- Not allowed
- Public Register
- No
- Residency Required
- UAE residency visa is typically obtained as part of the setup process. The DMCC license includes eligibility for investor/employment visas. Physical substance (office space) is required — flexi-desk options are available from approximately USD 2,000/year.
- Banking Difficulty
- Moderate
Economic Substance Requirements
- Physical Office
- Required
- Local Director
- Not required
- Minimum Staff
- —
- Annual Local Spend
- $2,000
Physical presence in the form of a flexi-desk (shared workspace) or dedicated office is required to maintain the licence. Flexi-desk packages start ~AED 7,500/yr (~USD 2,000). For Qualifying Free Zone Person (QFZP) status under the 9% UAE Corporate Tax regime, additional substance tests must be met — adequate employees, operating expenditure, and assets within the free zone. Flexi-desk alone may not satisfy QFZP tests for all activity types.
Annual Maintenance Breakdown
Typical recurring costs after formation. Most jurisdictions have additional variable costs (accounting fees, professional tax prep, statutory audits) not shown here.
| Item | Annual Cost (USD) | Notes |
|---|---|---|
| DMCC Licence Renewal | $3,500 | Approx AED 12,000-15,000/yr depending on activity; includes establishment card renewal. |
| Flexi-desk / office space | $2,500 | AED 7,500-12,000/yr for flexi-desk; dedicated office significantly higher. |
| Visa renewal (investor/employment) | $800 | AED 2,500-3,500 per visa per renewal cycle (2-3 years); amortised annually. |
| Accounting + audit | $1,200 | Audit required for companies above certain size; accounting services ~AED 3,500-5,000/yr. |
Banking Pairing Recommendations
Providers commonly used with this entity type for business banking.
US Person Considerations
US persons owning a DMCC company must file Form 5471 (CFC reporting) and assess GILTI exposure. The UAE-US tax treaty is limited. The 0% free zone tax regime does not eliminate US tax obligations. UAE residency can affect US tax residency analysis. Professional US international tax advice is essential.
Other Jurisdictions
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