Can I legally receive fuel deal commission in my personal UAE bank account?

If the commission is large (for example, more than 50,000 dirhams or riyals), the bank may request proof of the source of funds.

If these transactions are frequent, it is advisable to obtain a sole proprietorship or small business license to avoid suspicious classifications (such as money laundering or unauthorized commissions).

Banks in the Gulf are now tightening controls on fuel and energy-related transfers, so transparency in documentation is crucial.

Whether commission can be received into a personal bank account depends on several factors, including the nature of the service, the existence of a written agreement, and regulatory and banking compliance requirements.

Before confirming the appropriate structure, could you please clarify:

• whether the commission is paid for a personal service or a business activity,
• whether there is a written commission or brokerage agreement, and
• the jurisdiction and nature of the paying entity.

Once clarified, we can advise on the most compliant and risk-mitigated approach.

Please keep my contact details with you for easier communication.

Emirati banks handle fuel/oil and its derivatives transactions with extreme sensitivity due to their high risk (high-risk transactions). To ensure that the transfer is not reported (SAR - Suspicious Activity Report) or your account is not frozen, follow these procedures:

1. The essential documents required before the transfer:

• Official Commission Agreement: It must be a written and signed agreement between you and the company that pays you the commission, clearly outlining the commission percentage, amount, and basic transaction details (fuel quantity, price, and parties involved).
• Tax Invoice: An official invoice from you (as a consultant or intermediary) addressed to the creditor company, specifying the commercial registration number (if available) and the tax number (VAT TRN).
• Basic transaction documents: It is preferable to have a copy of the "Sale and Purchase Agreement" (SPA) or the "Bill of Lading" for the actual fuel transaction to prove that the funds are derived from legitimate and genuine trade (KYT - Know Your Transaction).
• Proof of Funds (POF): The bank may request documents proving that the company paying you is a legitimate, licensed company operating in the fuel sector.

2. Preventive banking measures:

• Notify the bank in advance: Before receiving the amount, contact the relationship manager at your personal bank and inform them in writing (via email) that a transfer of a specific amount and value will arrive soon, and attach the aforementioned documents. This shows transparency and prevents the transfer from being automatically flagged.
• Avoid personal accounts (professional advice): It is legally and financially better to have a commercial account for receiving business commissions, even if your company is a "sole proprietorship" or you have a commercial broker license. Using a personal account for major business transactions may expose you to tax or banking accountability.

How can our international office assist you?

As an international law firm, in collaboration with our esteemed Emirati partner, Dr. Ismail, the senior attorney:

• Drafting the commission agreement: We can draft a solid and legal commission agreement (in accordance with the 2026 regulations) that protects you from any future disputes and is acceptable to the bank.
• Compliance procedures: Assisting you in preparing the required document package and submitting it to the bank in advance to ensure a smooth transfer and prevent account freezing.
• Tax consulting: Ensuring your compliance with VAT laws in the UAE related to commissions and commercial brokerage.
• Additional advice: Absolute transparency is the key to dealing with banks in the UAE currently. Any large amount not justified by documents will be immediately frozen to verify its source (Source of Funds).

Would you like us to draft the commission agreement and review the core fuel deal documents to present them to the bank?

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We are honored to provide you with specialized legal support in your case. If you have any additional inquiries regarding your matter, we would be pleased to communicate with you

At the London Legal Consultancy Centre, we adhere to the highest standards of professionalism in providing legal advice, and we look forward to offering you the best solutions.

Dear Questioner,

Receiving a significant commission from a fuel deal into a personal bank account is a high-risk activity in the UAE. It is not a crime to receive a commission, but it is a regulatory violation to use a personal account for business activities.

If you proceed, you must have a "paper trail" ready before the money arrives. If the bank calls you, you must be able to provide the following within 24-48 hours:

• A signed NCNDA & Fee Protection Agreement (FPA).
• Copies of the SPA (Sales and Purchase Agreement) or the Commercial Invoice of the fuel load to prove the transaction actually happened.
• A letter from the remitting bank or the paying company confirming the nature of the payment.
• Saved emails or official correspondence showing your involvement in the brokerage/deal.

For more details, kindly share your WhatsApp number.

Dear Questioner,

Yes, it is legally possible under UAE law to receive commission income from a fuel or commodity deal into a personal bank account, provided that the transaction is fully compliant with banking, tax, and anti-money laundering regulations.

However, this type of transaction is considered high-risk by UAE banks, especially in the fuel and commodities sector, and strict compliance documentation is required to avoid the account being flagged, restricted, or frozen.

Key Compliance Requirements

To minimize risk, banks typically require the following:

• Clear Legal Basis for the Commission
• A signed commission agreement, brokerage agreement, or consultancy contract.

The agreement must clearly state:

• Nature of services rendered
• Commission percentage or fixed amount
• Parties involved
• Deal structure

Proof of Source of Funds

• Copies of the underlying fuel sale contract (redacted if necessary).
• Invoices or settlement statements showing how the commission was calculated.
• Evidence that the payer is a legitimate and operating entity.

Transaction Description & Purpose

• Transfers must include a clear payment reference.
• Vague descriptions such as “commission” or “payment” alone often trigger compliance reviews.

Tax & Regulatory Position

If commissions are regular or substantial, banks may require:

• A trade license or freelance permit
• VAT registration, if applicable

Repeated commission income into a personal account without licensing is a common reason for account freezes.

KYC & Due Diligence

• Updated personal KYC documents.
• Declaration of business activity and expected transaction volumes.

Practical Risk Consideration

In practice, many personal accounts are frozen not because the transaction is illegal, but because:

• Documentation is incomplete
• The activity appears commercial in nature
• The bank’s compliance team is not satisfied with the explanation

For fuel and energy-related transactions, scrutiny is significantly higher.

Our Recommendation

• If the commission is one-off and well-documented, it may be processed successfully.
• If the commission is ongoing or high-value, receiving it through a properly structured licensed entity is strongly advised.

If you anticipate difficulty or would like to avoid compliance risk entirely, our firm can:

• Structure the transaction correctly
• Prepare all required compliance documents
• Liaise with the bank in advance
• Set up the appropriate legal and licensing framework if needed

This approach significantly reduces the risk of delays, flags, or account restrictions.

Please feel free to proceed with us should you wish to handle the matter professionally.

Best regards,

Mohammad Salah

Greetings from Dr. Khalifa Bin Huwaiden Advocates & Legal Consultants.

Yes, you can receive commission into your personal bank account, but it carries AML/compliance risk and may be flagged or frozen unless properly documented.

To minimize risk, you should have:

• A written commission/agency agreement clearly naming you personally
• Invoice or commission statement matching the payment
• Proof of source of funds (fuel deal contract, delivery/transaction records)
• Clear payment narration (“commission as per agreement dated …”)
• Evidence that this is personal income, not business trading

If commissions are regular, high-value, or commercial in nature, banks may require a company license and corporate account. Receiving such income personally can trigger freezes. For ongoing fuel deals, use a licensed company and corporate bank account.

For more information, please contact us.

Greetings,

Receiving commission from a fuel deal into a personal bank account can raise serious compliance and anti-money laundering (AML) concerns in the UAE, especially if the activity is commercial in nature.

In general, occasional or non-commercial commissions may be acceptable if clearly justified and supported. Ongoing or business-related commissions should be received through a licensed entity and a corporate bank account.

To avoid the account being flagged or frozen, banks typically require:

• A clear commission agreement or contract
• Proof of source of funds and transaction trail
• Invoices or deal documentation
• Tax residency and compliance declarations
• In some cases, a valid trade license covering the activity

Each case is assessed individually by banks and regulators, and incorrect structuring can lead to account restrictions or investigations.

To assess your specific situation and structure the transaction safely, we recommend booking a legal consultation or appointing Future Vision Advocates & Legal Consultancy to advise you on the compliant and risk-free approach. We will be pleased to assist you.