The UAE’s 0% Inheritance Tax: A Game-Changer for HNW Families

If you’re a UK-based founder, investor, or high-net-worth family — and you’re watching the direction of UK tax policy — you’ve likely already heard whispers like:

“They’re coming for inheritance next.”
“Get your assets out before it hits 40%.”
“We need a Plan B for our family wealth.”

The good news?
There is a Plan B.
And it starts with jurisdictional strategy — not panic.

In this post, we’ll break down the UAE inheritance tax advantage, why more HNW families are moving to the region, how they’re protecting generational wealth, and what you need to know to get it right.

The UK’s 40% IHT Problem — And Why Families Are Worried

In the UK, Inheritance Tax (IHT) sits at 40% on estates above £325,000.
Even with reliefs and allowances, many founders and property owners find themselves staring down 6–7 figure tax hits on death.

The trend? It’s getting worse.

• There’s increasing political pressure to tighten reliefs
• HMRC is reviewing more estates than ever
• Trusts and offshore structures are under higher scrutiny
• And inflation means more families are crossing thresholds without knowing it

It’s not just a death tax.
It’s a strategy tax — if you don’t plan early with proper UK inheritance tax planning..

Why the UAE Is Suddenly on Every Private Client Advisor’s Radar

Here’s the part that matters:

The UAE has 0% inheritance tax.

• No gift tax.
• No estate tax.
• And no capital gains tax on personal assets.

But it’s not just about “saving tax.”
It’s about shifting your wealth into a jurisdiction that doesn’t erode it over time — this is the essence of the UAE inheritance tax advantage.
What we’re seeing now is a wave of smart UK founders and families doing exactly that.

What Smart HNW Families Are Doing Now

Here’s how they’re using the UAE’s Inheritance Tax Relief to protect what they’ve built:

1️. Exiting UK Tax Residency Properly

You can’t just “spend more time abroad.”
To legally escape UK IHT, you must:

• Pass the Statutory Residency Test
• Avoid “deemed domicile” traps
• Exit in coordination with your UK accountant
• Consider your spouse and minor children’s status
• Avoid triggering anti-avoidance legislation

Dubai Shift helps you time this exit with full coordination — not guesswork.

2️. Structuring Assets Through a Dubai Holding Company

Many founders are:

• Moving global assets (companies, IP, equity) into a Dubai holding entity
• Using the UAE’s no-tax, no-reporting environment to simplify succession
• Creating foundation structures for legacy and estate continuity

Why?
Because when your Dubai holding company for inheritance planning lives in a 0% tax jurisdiction.
So does the growth, sale, and eventual transfer of those assets.

3️. Rehousing Property in Strategic Vehicles

Yes — UK property is still taxable under IHT.
But many are:

• Holding global (non-UK) property via Dubai-based structures
• Investing in UAE real estate for lifestyle and strategic value
• Using Golden Visa-linked property to create a second residency track for heirs

UAE Golden Visa for HNWIs is increasingly part of long-term planning.
Pro tip: The UAE Golden Visa gives 10-year residency tied to property ownership — even for adult children.

4️. Planning Succession in a Jurisdiction That Supports It

The UAE has introduced recognised Wills systems for non-Muslim residents — including the DIFC Wills for non-Muslims via the DIFC Wills Service Centre.

This allows you to:

• Nominate heirs
• Structure asset transfers
• Avoid Sharia-based succession laws
• Ensure cross-border clarity

Paired with Dubai foundations or family offices, this creates one of the most succession-friendly environments in the world right now.
What Happens If You Wait Too Long

Many founders make the mistake of:

• Staying UK-resident “just one more year”
• Holding assets personally instead of through vehicles
• Assuming they can fix succession “later”
• Listening to offshore schemes with no UAE base

By the time the estate plan hits probate?
It’s too late.

What Dubai Shift Helps You Do

We work with UK-based founders and HNW families to:

• Exit UK tax residency — the right way
• Set up compliant UAE entities to hold personal and business assets
• Coordinate legal, banking, and property needs for legacy planning
• Introduce vetted lawyers for wills, trusts, and UAE foundation structures
• Guide you on UAE Golden Visa for HNWIs, family relocation, and school planning
• Design for generational wealth — not just annual tax bills

Real Founder Insight

One of our clients — a 52-year-old founder with £6M in business and property assets — was advised by his UK accountant to “wait and see.”
He didn’t.
Instead, he:

• Relocated to Dubai with his wife
• Moved his global IP into a Dubai holding company for inheritance planning
• Created a DIFC Will for non-Muslims and family trust
• Purchased Golden Visa-linked property to future-proof his children’s residency

Now?

• His estate plan is tax-efficient
• His banking and residency are locked in
• And his heirs have a 0% tax path forward

From Haseena – From Dubai

Inheritance tax isn’t just about death.
It’s about what you’re building — and what stays in your family after you’re gone.
If you’re still structuring everything in the UK, you’re letting HMRC make the rules.
But when you move with clarity — and set up in the UAE —you unlock the full UAE inheritance tax advantage.
You protect your wealth, your family, and your future.

Want to understand what a UAE shift could save your family?

[Start My UAE Entity] — Our flagship advisory & setup package for UK HNWIs
[Book a Free 10-Min Call] — We’ll map your residency, asset protection, and legacy options

We only take on 5–7 private clients per month. Most spots fill from referrals.
Your future has an address. Let’s make sure your legacy does too.

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.