UAE is world’s fourth tax-free haven for expats

The UAE ranks fourth globally among the 12 tax-free countries for expats to relocate to in 2024, according to a ranking published by a leading expat insurance firm.

With a monthly cost averaging around Dh3,590 and an average monthly net salary of approximately Dh13,015, the UAE outshone other zero-tax countries, according to a research report published by expat insurance provider William Russell.

Ranking first in the list of most affordable tax-free havens for expats is Oman, boasting the lowest monthly living costs and ranking as the third cheapest country for monthly utility bills, which hover around Dhs386, followed by Kuwait and Bahrain in the second and third positions respectively.

“Investors and expats from around the globe are drawn to the magnetic appeal of the UAE cities, particularly Dubai and Abu Dhabi. It is not just the tax-free status but also a host of other factors including the superb infrastructure, architectural marvels, modern lifestyle, world-class residential neighbourhoods, resorts and beaches, cost of living, ease of doing business along with security and stability that contribute to the irresistible charm of the UAE cities,” said PNC Menon, chairman of Sobha Group, a leading property developer.

The UAE is followed by Brunei Darussalam, the Maldives, Qatar, Bahamas, Monaco, the Cayman Islands, Bermuda and Vanuatu.

The report considered various factors, including flight costs, rent, and utility bills. In the competitive race, the UAE surpassed renowned destinations such as Brunei, Maldives, Qatar, Bahamas, Monaco, the Cayman Islands, Bermuda, and Vanuatu to secure its fourth-place position.

The UAE, which received a relocation score of 5.84/10, has a population of approximately 10 million people. Expats can expect to pay around $154 for a one-way economy ticket from London to Abu Dhabi. Those flying from New York can expect to pay around $530 for the same ticket, said the report.

“It costs around $1,016 per month to rent an apartment in the UAE. On average, expats will pay around $169 for utilities per month and have monthly costs of approximately $959 in the country. The average monthly net salary in the UAE is around $3,474,” said the William Russell report.

Oman is the cheapest country to purchase or rent an apartment in, as well as being the most affordable country in terms of monthly costs (excluding rent). It is also the third cheapest country for monthly utility bills, costing around $103. The average monthly net salary in Oman is around $2,205.

In second place is Kuwait, which received a relocation score of 6.49/10. Kuwait is the fourth cheapest country to rent an apartment in, costing around $775) per month, on average. It is also the second most affordable country for both monthly costs and utility bills, joint with Brunei. The average monthly net salary in Kuwait is around $2,743.

Bahrain, earning a relocation score of 6.36/10 is the second cheapest country to purchase an apartment in, costing around $173 per square metre, on average. It is the fifth most affordable country for both monthly costs and utility bills. The average monthly net salary in Bahrain is $2,072.

• Business