Dubai company setup for German citizens
German founders need to plan their departure carefully: German rules can follow emigrants to low-tax countries for years.
German points to review
- Ending unlimited tax liability requires giving up your German residence and habitual abode. Keeping an available home in Germany can keep you taxable there.
- Extended limited tax liability can apply for up to ten years to German citizens who move to a low-tax country and keep substantial economic interests in Germany.
- Exit taxation can apply to shareholdings in companies above the statutory threshold when you leave.
- Treaty status: the previous Germany–UAE double tax agreement expired at the end of 2021. Check the current position with your adviser.
- Controlled foreign company rules can attribute low-taxed passive income of foreign companies to German shareholders.
Practical points
German citizens can visit the UAE without a prior visa, and German driving licences can be exchanged. Documents need legalisation and UAE embassy attestation.
Official sources
We check our guidance against these official sources. Always confirm current fees and rules before acting.