Foreign Tax Credit Advisory Services

The foreign tax credit allows businesses and individuals with foreign-sourced income to claim credits for taxes paid to foreign jurisdictions. FTC reduces your payable tax in the UAE and helps you avoid double taxation.

FTC Eligibility and Compliance

To become eligible for foreign tax credit, you must provide:

• Your total income from the foreign source 
• Total amount of taxes paid 
• The country where you paid the taxes

The maximum amount of FTC available to you depends on two factors –

1. The amount of tax paid in the foreign country
2. The amount of corporate tax required to pay on your foreign income

You receive tax credits for any one of the two, depending on which is lower. The FTC in UAE is for one-time use only and does not get transferred for future tax deduction purposes.

How Avyanco Can Help?

Avyanco provides FTC advisory to help you take maximum advantage of foreign tax credits by the UAE government. Our tax experts help you claim the maximum possible tax credits to minimise your overall tax liability.

We assist you with –

• Understanding your FTC eligibility and the documents you need, as well as compliance obligations
• Claiming the maximum foreign tax credits as per the respective country’s law and double tax avoidance agreements

We ensure you get the maximum profitability from your foreign income without worrying about taxes. Our foreign tax credit advisory services enable you to operate and scale globally without worrying about taxes.