Move to Dubai from UK: Statutory Residence Test UK & Tax Exit Guide for Entrepreneurs and HNWIs

Is This You?

You’re a UK founder or investor earning serious profits — £500K, £1M, even £2M+ each year.
But here’s the problem:

• 25% corporation tax on your company
• 39.35% dividend tax if you pay yourself
• Up to 45% personal income tax

You’ve looked at Dubai’s 0% tax regime and wondered if it’s the solution. But the nagging question remains: “If I move to Dubai, will HMRC still tax me under the Statutory Residence Test UK?”

Real Prompts This Blog Answers

• How many days can I spend in the UK without being taxed?
• What is the Statutory Residence Test UK, and how does it apply to me?
• Do I need to give up my UK passport to access Dubai’s 0% tax?
• What happens to my UK property and family ties under SRT?
• Can HMRC audit me years after I’ve moved to Dubai?

Why the Statutory Residence Test Matters for UK Millionaires?

If you’re earning £500K, £1M, or even £2M+ annually, the difference between being “UK tax resident” or “non-resident” is hundreds of thousands of pounds each year.

The Statutory Residence Test UK (SRT) is the rulebook HMRC uses to decide if you’ve truly left the UK for tax purposes. Get it wrong, and you’ll still be taxed in Britain — even if you live in Dubai. Get it right, and you unlock Dubai’s 0% tax regime on income, dividends, and capital gains.

The 3 Hidden Traps in the SRT

1. Day Count Confusion
   It’s not just “stay under 183 days.” For high earners, the trigger can be as low as 16 or 46 days depending on ties.
2. The “Tie” Trap
   Family, home ownership, work, and past UK residency all stack against you. Many wealthy families fail here because they don’t realise how aggressively HMRC scores these ties.
3. Split-Year Mismanagement
   Moving mid-tax year can save months of tax — but only if you apply the split-year rules correctly. Otherwise, HMRC taxes your worldwide income for the entire year.

Case Study: James, a UK SaaS Founder

Profile:

• £1.2M annual profit from his London SaaS company
• £480K lost annually to UK corporation + dividend tax
• Considering a move to Dubai from UK, but terrified of HMRC “pulling him back”

The Challenge:
James was ready to relocate, but:

• He had a London home in his name
• His children were in UK schools
• He had no clear SRT plan and feared HMRC audits

On paper, he looked like a textbook “UK resident” — even if he boarded a flight to Dubai tomorrow.

Dubai Shift Intervention:

• Step 1: SRT Audit → We calculated his exact day limits and tie-breakers.
• Step 2: Structuring → Transferred ownership of his London property into a family trust to reduce “tie” impact and included trusts and inheritance tax planning.
• Step 3: Relocation Plan → Secured Dubai residency visa, leased property, enrolled children in Dubai international schools.
• Step 4: Business Transition → Shifted UK Ltd under a Dubai HoldCo, enabling retained profits extraction and preparing for company setup in Dubai.
• Step 5: Documentation → Filed P85, applied split-year, created compliance file for HMRC defence.

The Result:

• Clean SRT non-resident status in under 90 days
• £480K per year legally protected from HMRC
• Family relocated smoothly into Dubai lifestyle
• Annual ROI: 32x on our €15,000 fee in year one, including scope for small investment in Dubai and Dubai property investment.

Why This Case Matters

James’s story is typical. Wealthy UK founders are overpaying hundreds of thousands simply because they lack a bespoke, compliant exit plan.

A generic accountant can’t provide full tax advice UK across residency, relocation, and inheritance tax planning. An online setup agent won’t protect you against HMRC or manage company setup in Dubai correctly.

That’s where Dubai Shift stands apart: we deliver the end-to-end solution.

Why Choose Dubai Shift for SRT and Relocation?

• Specialist Expertise: UK SRT + company setup in Dubai + freezone structuring under one roof
• Family-Centric: Residency, schooling, property, estate planning, and trusts and inheritance tax covered
• Banking & Compliance: UAE banking setup without red flags
• Premium but Accessible: At €15,000, our service delivers Big 4-level strategy at a fraction of the cost — with concierge execution

Final Word from Haseena

“The Statutory Residence Test UK is the single biggest obstacle between you and Dubai’s 0% tax regime. We’ve built a team that knows every trap, every HMRC tie, every structuring path. My promise: when you work with Dubai Shift, you won’t just move to Dubai from UK — you’ll move cleanly, securely, and with your wealth intact.”

What Next?

Take our Wealth Reclaimed Scorecard to check your SRT risk.
Book a Private Strategy Call to design your 90-day exit plan.

This article is part of Dubai Shift’s HNWI advisory series, focusing on UK tax exit planning, non-dom reforms, and wealth preservation strategies for families moving to Dubai. Explore more at: https://dubaishift.com

Haseena from Dubai

A founder, a Dubai insider, globally seasoned. Writing to you from the city I’ve always called home — but now see with fresh eyes.