Tax Implications of UAE Company with Indian Resident Directors
1️⃣ For UAE Company
- Risk of being taxed in India under POEM rules if management/control is from India.
- Payments to Indian contractors require TDS deduction.
2️⃣ For Indian Resident Directors
- Salary from UAE is fully taxable in India as global income.
3️⃣ If One Director Moves to UAE (After April 1, 2026)
- If Non-Resident (NR) in India, UAE salary not taxable in India.
- Helps reduce POEM risk for the company.
✅ Key Advice: Ensure UAE business decisions are truly made from UAE, maintain records, and limit India-based control.
For detailed, personalized advice, consider a phone consultancy. Hope you find the information helpful. You are free to contact me for further discussion. If you could spare two minutes of your time to write a review, it would be greatly appreciated and bring immense happiness to read it. Thank you. Shubham Goyal.