Middle East – Tax free Jewel in the ’NRI’ crown

How all expats are enjoying Tax free salary in the middle east cities

32 Millions Indian are living outside India as NRI , out of which 25% are working in the Middle East countries ( Dubai , Abu Dhabi , Sharjah , Oman , Saudi ,Kuwait ,  Qatar , Bahrain ). These 25% Indian working in Middle East repatriate 50% of total money sent by Indians back home every year to India ie Money sent by Indian living in Middle east is double than sent by Indian from other countries ie USA , Canada , Australia , UK & Europe.

Getting jobs in middle east is cheaper

 Indian living in countries like USA/Canada/Europe/Australia send aprox Rs 2.0 Lakh / year to India , whereas the NRI working in Middle East countries save and send Rs 5.0 lakh/year to their families . This figure can be a surprise to anybody but it is true. Working in middle east countries can be consider as blessing to Indian as compared to working in any western countries. No IELTS , no high cost of Visa , no high travel cost , no interview by the Embassies  to go and get a job in middle east countries. There is no tax on salary in Middle East countries.   

Working in western country is expensive

Indian working in USA , UK , Canada , Australia and other European countries may be earning very high wages , but they end up re-investing it back in their adopted country for buying House , car , trucks ,  business  and paying heavy income tax to get permanent residency . After paying various mortgage instalments they are left with a little cash as a saving, which they are able to send to India.  Due to this reason the frequency of Indian  NRI from western countries visiting India is average 5-7 years , with many have their parents living back home.

Employers provide basic facilities to Blue collar workers

Where as Indian working in Middle East earn a Tax free income . They may be not earning too high salary as compared to the west.  Majority of them are blue collar workers who work in construction and development projects. As per middle east system of employment most of them are paid tax free salary , free accommodation in company camps, food allowance,  free transportation to work place , basic health care  and air ticket every two year with two month paid leave to India by the employing company.

The astonishing development happened in the middle east countries in a span of 15-20 years is the result of hard work done by blue collar workers including NRI. This has resulted in to city like Dubai becoming a world class tourism destination. Other cities like Abu Dhabi , Sharjah , Qatar ,Bahrain,  Kuwait , Jeddah , Muscat are fully developed with all world class facilities , are also not far behind.  

Tough rules to get citizenship

The blue collar NRI working in middle east are not entitled for local citizenship , but have to work and stay on two year of employment visa which is extendable multiple times. Once someone is without a job, he has to return back to India. Whatever they save, they can send any amount monies to India to their families without any restriction. They remain Indian national with Indian passport irrespective of how many year they spend in Middle east countries.

Most of Indian working in middle east visit India on annual leave which is paid by the employer. I am #ESKmehta of the opinion that NRI living and working in middle east may be better off than those who are living in other countries, as they earn tax free salary, live very close to India , can travel and see their families frequently.  The only drawback the NRI working in the Middle east country is that they are not given citizenship , hence no life long stability.

Perfect for white collar jobs

Regarding my experience of working in middle east, I #ESKmehta worked in Dubai for over 25 years and have spent major portion of my professional life here .  Indian qualifications are accepted in middle east , one need not to do further study to apply for a job. Working in middle east is very much suitable for those who do not want to get disconnected from their land of birth and intend to settle in India in the end. In all major cities of middle east, world class education, healthcare and direct air connectivity to Indian Airport are there. Those who are living with families in Middle East , major chunk of their earning is spent on House rent and children education.  Imagine if I have migrated  to Canada/USA/UK , I do not think I would have been better off there as compared to my life in middle east , except not getting an old-age pension.