Company Redomiciliation to UAE

Company redomiciliation to UAE allows enterprises to move their legal domicile to the United Arab Emirates without dissolving their original corporate structure.

The UAE stands out with zero federal corporate tax for many sectors, over 40 business-friendly free zones, and streamlined access to global markets. Each year, thousands of international companies benefit from this strategic shift, taking advantage of the country’s stable economy and world-class infrastructure.

Businesses choose redomiciliation to the UAE for various strategic, financial, and legal reasons. The key motivations include:

Redomiciling a company to a UAE free zone allows businesses to continue operations under favorable tax and regulatory regimes without liquidation. However, not all free zones accept jurisdiction change. Zones such as DMCC, DIFC, ADGM, RAKEZ, and IFZA support it and have their own procedures.
Eligibility typically requires:

• Good standing in the original jurisdiction;
• Permission for outward migration;
• Aligned business activity with the zone’s focus;
• Properly notarized documents (AoA, board resolutions, etc.);

Each zone offers different advantages depending on your business type. Below is a comparison:

For detailed zoning options, see business setup in Dubai free zone.

Redomiciling to the UAE offers multiple advantages:

These benefits make company migration a compelling strategy for global firms.

The legal foundation for company migration in UAE is primarily shaped by the regulations of each individual free zone or mainland authority. There is no single federal law on redomiciliation; instead, the framework is governed by the Companies Law applicable to the chosen jurisdiction (e.g., DIFC Law No. 5 of 2018, ADGM Companies Regulations, DMCC Company Regulations).

To initiate redomiciliation, the company must prove that its home jurisdiction permits outbound migration and that the company is in good legal standing. Free zones require a formal resolution from the company’s board of directors approving the move, along with a legal opinion confirming that redomiciliation is allowed under the laws of the origin country. Additional requirements may include the appointment of a registered agent, verification of beneficial ownership structure, and fulfillment of any industry-specific licensing criteria.

The registrar in the UAE then evaluates the application and, upon satisfaction, issues a certificate of continuation. Only after this, the entity is officially considered re-domiciled. Authorities also require the company to de-register in its former jurisdiction and submit proof within a stipulated period.

Each free zone has a slightly different set of administrative procedures and timelines, which makes UAE redomiciliation services essential for accurate legal navigation and compliance.

One of the strongest incentives for company re-domiciliation in the UAE is the jurisdiction’s tax landscape. The UAE has long maintained a reputation as a low-tax jurisdiction with extensive international tax agreements.

Businesses operating within eligible free zones enjoy a 0% corporate income tax, subject to meeting substance requirements. Outside the free zones or for certain sectors, a 9% corporate tax may apply as of June 2023, but only on profits exceeding AED 375,000. Dividends, capital gains, and foreign-sourced income remain tax-exempt in most cases.

There is no personal income tax for residents and expatriates. Furthermore, the UAE does not impose withholding tax on dividends, interest, or royalties, and does not apply exchange controls. This makes profit repatriation seamless and cost-effective.

The country has signed more than 130 double tax treaties, allowing businesses to avoid taxation on the same income in multiple countries. Redomiciled companies may benefit from treaty access depending on the legal structure and economic substance.

Value-added tax (VAT) is levied at 5% on most goods and services, and businesses crossing the threshold of AED 375,000 in turnover are required to register. However, VAT applicability depends on the type of services and client location, particularly for cross-border transactions.

Transferring a company to the UAE involves the following stages:

For guidance and risk mitigation, many companies engage expert support throughout the process.

While corporate migration to UAE offers strategic benefits, several challenges must be taken into account:

• Legal barriers: Not all jurisdictions permit company migration. In such cases, liquidation and re-incorporation may be required.
• Regulatory alignment: The business activity must comply with the target free zone’s scope. Some zones may require license adjustments or additional approvals.
• Documentation and compliance: Errors in notarization, translations, or legal opinions can delay or invalidate the process.
• Tax implications in origin country: Exit taxes or loss of treaty benefits may apply depending on the jurisdiction.
• Timeline and coordination: The transfer of domicile requires precise alignment between deregistration and continuation to avoid operational gaps.

Proper planning and consultation can mitigate these risks and ensure a smooth transition.

ITA Business Consultants provides end-to-end UAE redomiciliation services, ensuring full regulatory compliance and minimal operational disruption. Our expert team supports clients at every stage with:

Whether you are considering company redomiciliation Dubai, re-domiciliation in the UAE, or broader relocation services in Dubai, our tailored solutions minimize complexity and secure long-term business continuity.