Working for an Indian Employer from Dubai: Legalities, Requirements, and Considerations

Many individuals seeking to relocate for personal or professional reasons often face questions about the legalities and logistics of working remotely from their new location. This article will explore the specifics regarding working for an Indian employer from Dubai, especially given your situation with a spouse working there.

Legal Aspects and Requirements

According to the laws and regulations of Dubai, it is indeed permissible to work for an Indian employer from Dubai. Specifically, Dubai has introduced several measures to facilitate remote work for expatriate employees. For instance, on February 1st, 2022, new legislation introduced the freedom to work after official working hours. These changes are part of Dubai’s ongoing efforts to make the city more attractive to international talent.

Virtual Working Programme and Remote Work Visa Scheme

The United Arab Emirates (UAE) introduced a Remote Work Visa scheme in 2021, initially for a one-year period. This scheme simplifies the process for expatriates like you to work remotely from Dubai. Under this scheme, you need to adhere to a few specific requirements:

Virtual Working Permit: There is a fee of 287 AED per person for the Virtual Working Permit. Additionally, you will need to enroll in a valid medical insurance that is acceptable in Dubai. Earning Threshold: To qualify for this scheme, you must earn an average monthly income of at least USD 5000. This earnings requirement ensures that the scheme targets high-value contributions to the economy.

Part-Time Work Permit Option

Given the specifics of your situation, where you are moving to Dubai to be with your spouse who works there, you might also consider obtaining a part-time work permit. This option provides you with the flexibility to manage your work duties while also balancing your personal life. Your husband’s HR/PR department can provide you with the necessary details and guidance regarding this part-time arrangement.

Tax Implications

Another important aspect to consider is the tax implications of this arrangement. Dubai has recently introduced an income tax for expatriates earning more than 350,000 AED annually. As you are working for an Indian employer and being based in Dubai, it's crucial to ensure you comply with both the Indian and Dubai tax laws. Currently, there is no Dual Tax Avoidance Agreement between India and the UAE, so you will need to file taxes in both jurisdictions.

Conclusion

Working for an Indian employer from Dubai is fully legal and requires adherence to specific permits and requirements. The introduction of the Remote Work Visa scheme and part-time work permit options make it easier for expatriates to manage their work and personal lives while residing in Dubai. However, it is important to understand the tax implications and ensure compliance with both Indian and Dubai tax laws to avoid any legal issues.

Keywords: remote work visa, Dubai, Indian employer, work permit, tax implications