Can Indian freelancers and tech founders avoid paying the income tax by shifting base to Dubai?
Published in Mint | July 2025
“Merely relocating or setting up entities in the UAE, without genuinely shifting control and residential status outside India, may still trigger Indian tax liabilities under provisions like Place of Effective Management (POEM) and others. To truly optimise tax exposure, individuals must ensure actual relocation, robust documentation, and full compliance with both Indian and UAE tax regulations. When backed by real substance and strategic planning, such a move can lawfully reduce taxes and open doors to global business opportunities,” says Avnish Arora, Executive Director, Direct Tax, Forvis Mazars in India.