Doing Business in India VS UAE – A Comparison
Entrepreneurs and investors often face tough decisions when choosing between India and the United Arab Emirates (UAE) as their preferred business destination. Both countries offer unique advantages, making the choice a strategic one for businesses looking to expand in Asia. India is known for its competitive landscape, high quality of life, and lower costs for setting up smaller businesses. On the other hand, the UAE boasts a robust infrastructure, tax benefits, and global connectivity.
Key Comparison Points
Business Environment
- India: India’s political stability, legal framework, and initiatives like Make in India make it a favorable destination for businesses.
- UAE: The UAE offers a highly stable political environment with strong government support for foreign investments.
Taxation
- India: India has a corporate tax rate of 22% (15% for new manufacturing companies), along with various tax incentives for startups.
- UAE: The UAE has introduced a corporate tax rate of 9% but remains attractive due to its tax-free zones and minimal capital gains tax.
Ease of Company Incorporation
- India: India’s incorporation process is improving with digital infrastructure and streamlined regulatory procedures.
- UAE: The UAE offers a fast and straightforward company incorporation process, especially in its free zones.
Cost of Living and Business Operations
- India: India offers lower operational costs, affordable office spaces, and relatively low living expenses.
- UAE: While living and operational costs are higher in the UAE, businesses benefit from world-class infrastructure.
Access to Markets
- India: India’s strategic location and trade agreements provide access to a vast domestic and international market.
- UAE: The UAE’s global connectivity and position as a trade hub make it ideal for businesses targeting the Middle East and Africa.
Quick Comparison Overview
Here’s a quick overview of the key differences for easy reference.
Factor |
India |
UAE |
Business Environment |
Stable with government initiatives like Make in India |
Highly stable with strong government support |
Corporate Tax Rate |
22% (15% for new manufacturing companies) |
9% |
Capital Gains Tax |
Applicable |
Minimal |
Ease of Incorporation |
Improving with digital infrastructure |
Fast and streamlined, especially in free zones |
Business Costs |
Lower operational and living costs |
Higher costs but better infrastructure |
Market Access |
Strong domestic and international market access |
Global connectivity and access to Middle East and Africa |

Benefits of Choosing 3E Accounting
When navigating the complexities of doing business in India or the UAE, partnering with a reliable corporate service provider like 3E Accounting can make all the difference. With expertise in starting a business in India, a step-by-step guide to India company registration, and India company incorporation, 3E Accounting ensures a seamless setup process tailored to your needs. For company setup or any other assistance, feel free to contact us. Choose 3E Accounting for a hassle-free experience and focus on growing your business with confidence.
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Frequently Asked Questions
India offers lower operational costs, a vast domestic market, and government initiatives like Make in India. For a detailed overview, refer to our starting a business in India guide.
India is improving its digital infrastructure and regulatory procedures, making registration smoother. Learn more about the step-by-step process in our India company registration guide.
India has a corporate tax rate of 22% (15% for new manufacturing firms), while the UAE has a 9% corporate tax, making both attractive based on business type and structure.
We offer full support from pre-incorporation advice to post-registration compliance. Our setting up businesses in India guide is an excellent place to start.
You can contact 3E Accounting directly to speak with our business consultants for personalized advice and support.
Abigail Yu oversees executive leadership at 3E Accounting Group, leading operations, IT solutions, public relations, and digital marketing to drive business success. She holds an honors degree in Communication and New Media from the National University of Singapore and is highly skilled in crisis management, financial communication, and corporate communications.