Explained: Does Corporate Tax Apply To Freelancers?

Author: Admin  |  Category: International Tax Specialists

The United Arab Emirates has now introduced, for the first time, federal corporate tax in the country. Announcing the new tax regime, the ministry of finance (MOF) has released a set of key pointers that serve as guidelines for the applicability of the corporate tax, which would be enforced from 1 June 2023 onwards (‘UAE Corporate Tax’). The corporate tax law in itself is awaited to be issued.

The UAE corporate tax will apply to all business and commercial activities in the UAE, except for the commercial activity of extraction of natural resources, which would still be taxed as per emirate specific taxation. The Federal Tax Authority (FTA) established in 2016, shall be the government entity responsible for the administration, collection and enforcement of the corporate tax regime in the UAE. Further, the Ministry of Finance will remain the competent authority for purposes of international tax agreements, treaties etc., including the exchange of information for tax purposes.

Taxable Threshold:

The UAE corporate tax will apply to a certain portion of the total income generated, which is referred to as the ‘taxable income’. The taxable income could be determined by taking into account the net profit of a given business entity after having adjusted certain deductibles. More information is awaited on the exact criteria applicable.

The corporate tax will be applicable on a taxable income above Aed 375,000.

Thus, for a taxable income up to Aed 375,000, applicable corporate tax will be 0%.

The corporate tax rates applicable for income above AED 375,000 include:

  • 9% for taxable income above Aed 375,000; and

  • a different tax rate for large multinational companies that meet certain specific criteria.

As discussed above, the UAE corporate tax shall be made applicable to all business and commercial activities conducted in the UAE. The only exemptions that have been clarified at present by the MOF concern the commercial activity of extraction of natural resources as there is a separate emirate level taxation applicable for the said activity. In short, all nature of business activities carried out in the UAE, under a trade license or permit, including income earned under freelancer permits (provided taxable income exceeds Aed 375,000), shall be included within the scope of applicability of the UAE corporate tax regime. Thus, if you are a freelancer, who is licensed in the UAE and earning a taxable income in excess of Aed 375,000, you are subject to the UAE corporate law and required to pay the applicable corporate tax.

Other exemptions to the UAE Corporate Law:

  • Individual salaries and employment income are exempted from being taxed for both public and private sector employees.

  • Investments made by individuals in real estate or capital gains received from the personal investment made through shares or debentures, in the form of dividends, investment returns will not be taxed as long as it is in their personal capacity.

  • Businesses registered in the free zones in the UAE will be included under the UAE corporate tax regime, however, only to the extent that they conduct their business within the UAE. For business activities outside the UAE, the corporate tax exemption granted to such business entities will continue to be honored under the new corporate tax regime as well.

The UAE corporate tax will apply from the financial year starting from 1 July 2023 and ending on 30 June 2024. However, for a business that as its financial year starting from 1 January 2023 and ending on 31 December 2023, will become subject to the UAE corporate tax starting from 1 January 2024. This requires businesses and individuals to start planning ahead, whether it concerns the implementation of the measures, imparting training for their staff or ensuring a compliance policy. Of course, the UAE corporate law is still awaited to be published, and a thorough review of the same to understand the threshold parameters and the applicable tax rate is a given mandatory step ahead.

Introduction of the new corporate law can have a multifold effect on foreign direct investment following into the UAE, wherein the investors are particular about the profits, for existing entities the concerns could be about the applicability of the pretax and post-tax returns and double tax treaties amongst others. Having introduced the new corporate tax regime for the first time in the country, the UAE now aims to implement international best practices in creating a leading global center for investment and businesses while accelerating the country’s strategic objectives for further advancement. The new changes also reaffirm the country’s commitment to meeting international standards for tax transparency and in curbing negative tax practices.

Hire A Lawyer In Topeka, Ks To Help With Bankruptcy

Author: Admin  |  Category: International Tax Specialists

byAlma Abell

If you’re in debt and you can’t see a way out, there is still hope. There is a way to clear your debts and not have to lose your home or your main form of transportation. While it is typically the last step a person will take to clear their debts, it is possible for you to file for bankruptcy. This is something you can do through the court system on your own, but it is always recommended that you hire a Lawyer in Topeka KS, to help you.

Your lawyer will help you navigate the often confusing field of bankruptcy law. They’re going to help you figure out which chapter of bankruptcy to file for, depending on a few different factors. These factors may include your income, whether you own a business, and how much debt you have. Once they help you figure out which chapter to apply for, you’re going to need to start figuring out how much debt you have and filing the necessary paperwork. There’s a lot of paperwork, so having a lawyer to help you can be a time saver and it can ensure there are no mistakes.

Your Lawyer in Topeka KS, is also going to handle all of the calls from debt collectors for you. If you’ve been receiving calls daily or multiple times a day, you’re not going to receive them any longer. They’ll have to call the lawyer who is representing you to discuss the bankruptcy and file to try to receive the money owed to them. Your house is going to be a lot quieter and more relaxing, as you don’t have to handle these calls on your own anymore.

If you’re considering bankruptcy, a lawyer like Joe Wittman can be an invaluable asset. There’s a lot they can do to help you, including determining the correct chapter to file for, the amount you’re filing for, helping with paperwork, and preventing debt collectors from calling you. This can stop a foreclosure or repossession, so you want to call your attorney as quickly as possible to see how they can help you. Then, you can get started getting your finances back on track again.

Guidance On How To Develop A Rich Mindset And Tips On How To Get Rich}

Author: Admin  |  Category: International Tax Specialists

Submitted by: Penny Sterling

The secret to becoming financially wealthy is to have a rich mindset. You have to work for it, work on yourself and also learn the secrets of those who have achieved success. Success will come to those who make it happen and it doesn’t necessarily mean that you have to work harder, you just need to work smarter. You have to take charge of your time, be in charge of your spiritual growth and take responsibility for your own actions.

People with a Rich Mindset:

– Are willing to delay gratification and have the patience to wait for the fruits of their labour to materialise.

– Are willing to take calculated risks and are prepared to win or lose. They take advantage of new opportunities before the masses realise the potential.

– Are quick thinkers, have a sense of urgency to produce results, they make it happen, understand the principles of ‘Cause and Effect,’

– Are decisive and make plans. They will be able to tell you where they are going and how they are going to get there.

– Persist until they succeed.

– Understand the importance of leverage and teamwork.

– Focus on having a good quality of life. They will retire comfortably whilst having a high standard of living and enjoy more free time and the good things in life. They will also have good health and a sound sense of well-being.

– Always have more money at the end of the month so that they can use it for investing or spending as they wish.

The rest of this article will provide you with tips on how to develop a rich mindset. People who already have this rich mindset, are able to make money easily using limited resources and little time.

Tips to develop a Rich Mindset:

1. You have to believe that you deserve wealth.

2. You have to develop a mind that says that you have ample opportunities to create wealth.

3. You have to organize your life and time.

4. You have to network more with high achievers.

5. You have to start thinking about developing passive income.

6. You have to visulise wealth. Imagine yourself having financial abundance.

7. You have to think positively.

8. You have to think about money as energy by being happy to give and receive.

Tips on How to Become Rich

Wouldnt it be brilliant if you could get rich. Here are tips on how to get rich.

1. Invest – Start saving early preferably when you are young.

2. Marry a Billionnaire.

3. Win The Lottery

4. Inherit from rich Parents

5. Get Financial Education. Read Robert Kiyosaki’s brilliant book Rich Dad, Poor Dad. Attend wealth seminars.

6. Become A Star – if you have got the talent.

7. Invest In Real Estate.

8. Invest in stocks and shares.

9. Set up an Internet Business.

10.Get Good Tax Advice.

11.Save 10% of Everything you Earn.

12.Get a Well-Paid Job.

13. Re-invest income from assets to buy more assets e.g shares, mutual funds and property funds pay dividends

About the Author: Penny Sterling is not only an investor, but is also a personal finance enthusiast with a passion for helping people to develop a rich mindset. For more information about rich thinking, please visit:

richmindsetsecrets.com

Source:

isnare.com

Permanent Link:

isnare.com/?aid=592467&ca=Advice}

Maximize Tax Benefits With Income Tax Preparation In New York City

Author: Admin  |  Category: International Tax Specialists

May, 2017 byadmin

Every April many people dread the tax deadline day. Some people may ignore their taxes and hope they go away. This will lead to penalties and fines. Other people work on their taxes, but also develop more gray hairs as they struggle through the complex tax codes. Feelings of dread and gloom do not have to be a part of every April. Hiring a CPA to take care of taxes will relieve you of the tax preparation burden and bring confidence that your taxes are done right. Additional benefits of hiring a professional include getting expert tax advise, saving money, and saving time.

A CPA is an expert in the tax codes. This professional will know how to get most out of each situation. A CPA will also be able to provide advise on how to save more money on taxes in the future. This advise may include how much to contribute to a health savings account, how to claim expenses such as child care, and how to qualify for other deductions.

Investing in Income Tax preparation in New York City will save you money in the long run. A CPA will make sure you are getting all of the deductions that you are entitled to in the tax code. The advice you receive can also save you money in years to come. Although circumstances and situations vary, you may be able to save thousands of dollars by hiring a tax professional.

If you have a single job, have no dependents, and do not have any deductions you probably do not need to hire a tax professional. The 1040EZ is fast and simple to complete. Dependents, deductions, multiple income sources, an investment income, or self-employment all add complexity to a tax return. Complex taxes take time to work through and file. An experienced professional will be able to complete the task efficiently, saving you time.

A tax professional can relieve you from the burden of tax paperwork and hours of searching through tax codes. Also, a CPA will save you money by maximizing your tax benefits and time by completing the tax paperwork efficiently. For more information on Income Tax preparation in New York City visit Rawcpa.com.