A Case Study: Relocating to Dubai as a UK Non-Dom

Relocating to Dubai is becoming an increasingly popular choice, especially for those seeking a higher quality of life and greater asset protection. We have seen a sharp rise in enquiries from destinations like the UK where the new rules around resident non-domiciles is impacting people’s financial future. For those considering relocating to Dubai, it is important to gather as much information as possible so you are aware of your options and how best to proceed in a way that will protect you, your family, your business and your assets.

We teamed up with PCD to cover an example case study that will take you step-by-step through the process and what are the most important things to note as a UK Non-Dom. Joining David Bell from PCD is our own Daniel Dronsfield and Alasdair Wilson from Harbottle & Lewis. In this discussion they will cover key tax, legal and relocation issues including residency pathways, dependent sponsorship, inheritance tax, UAE business administration, UAE compliance and finding a home.

Relocating to Dubai Case Study Profile: A French technology entrepreneur moving to Dubai with his wife

Pierre and Sarah – both UK resident non-domiciled (RND) – want to know more about relocating to Dubai. Here are some key details on their situation:

• Two adult children (23 and 25) who will remain in the UK
• Pierre owns a successful technology company that is registered in Ireland
  • Dividends paid to Geneva account
  • Invested into stocks and bonds
  • Portfolio value is £10 million
• £7 million family home to be let out
• €3 million villa in Provence

Here are some of the key takeaways:

Loss of value relief

• Pierre can no longer benefit from the remittance basis
• Worldwide estate subject to inheritance tax
• UK income subject to UK income tax
• Visits and ties to the UK could impact residency status for first two years

Tax exposure after UAE move

• 3 year tail on non-UK assets
• UAE offers inheritance tax advantages

UAE relocation pathways

• Business set up – comes with residency visa options
• Golden Visa – Fixed Deposit Route, Property Investment Route – both come with 10 year Golden Visa which would allow for family sponsorship including adult children

Business Administration

• EER Middle East can help those relocating to the UAE with setting up a business, managing corporate governance and administrative elements and selling a business

UAE tax rates

• 9% corporate tax – one of the lowest in the world
• 5% VAT
• Overall – UAE is a low tax jurisdiction

Relocation services

• Orientation services
• Neighbourhood tours
• Home search
• Rental contracts and utility set up
• Personal licenses

If you have questions about relocating to Dubai and would like to find out more about how EER Middle East can help, please get in touch today on info@eerme.com or +971 4 421 1819.