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UAE Free Zone (Dubai Internet City) · via Dubai Internet City·🌐Founder profile

Incorporating a Dubai Internet City Free Zone LLC for Korean E-commerce Sellers

VerifiedJul 2026
EligibilityEligible
Setup timeline21–45days
Year-1 total$25,000

Korean e-commerce sellers can establish a Free Zone LLC in Dubai Internet City to access the Middle Eastern digital market. This structure provides 100% foreign ownership and full capital repatriation.

Founders must comply with UAE Corporate Tax regulations and fulfill reporting obligations mandated by the Korean National Tax Service regarding foreign-source income.

§ 01Cost of ownership

Model the full outlay, not just the setup fee

Renewal costs sneak up on non-resident founders. Compare year-1 filing against a 3-year total to see the real bill.
Currency · USD (live FX)
2-year cost of ownership
$50,000
≈ $2,083/month amortized·USD @ live FX
Time horizon
Line items
Amount
  • SetupDubai Internet City setup
    $25,000
  • AnnualYear 2 renewal
    $25,000
Total$50,000
§ 02Tax residency · Korean E-commerce Sellers

What the tax authority sees

US federal / local status

UAE Federal Decree-Law 47/2022 imposes a 9% Corporate Tax on taxable income exceeding AED 375,000.

Home-country rule

National Tax Service; foreign-source income reporting per Income Tax Act Article 3; Korea has US tax treaty (10% treaty rate for royalties).

Editorial verdict

Utilize the TECOM Group ecosystem to access specialized tech infrastructure and ensure compliance with UAE Economic Substance Regulations.

Key compliance risks
  • 01UAE Economic Substance Regulations compliance
  • 02NTS foreign-source income reporting requirements
  • 03Potential double taxation if tax residency is not managed
§ 03Setup timeline

From filing to funded bank account

Setup timeline
21–45days total, 3 phases
Milestone check
Filing · Tax ID · Banking
d0
d11
d23
d34
d45
01FilingDubai Internet City submits formation docs
d0–d16
02Tax ID / EINLocal tax authority registration
d14–d34
03BankingBusiness account approved & funded
d27–d45
§ 04Head-to-head

UAE Free Zone (Dubai Internet City) vs US LLC (Wyoming)

Full comparison →
UAE Free Zone (Dubai Internet City)
Free Zone LLC
US LLC (Wyoming)
LLC
Entity
Free Zone LLC
LLC
Setup cost
$1,686
$102.00
Annual
$1,686
$60.00
Local director
Remote OK
Remote OK
Physical presence
Remote OK
Remote OK
Tax regime
9% CT above AED 375k; ICT and tech-focused; TECOM Group
0% state tax; federal only on US-source income
§ 05Questions founders actually ask

FAQ

The 9% tax applies only to net profits exceeding AED 375,000. Under the Korea-UAE Double Taxation Agreement, taxes paid in the UAE may be credited against your tax liability in Korea to prevent double taxation.
More profiles for UAE Free Zone (Dubai Internet City)
Korean E-commerce Sellers — other jurisdictions
Next step

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