The tax-free environment in Dubai is the main reason why foreign entrepreneurs decide to establish their activities here. In order to protect their assets, local or foreign citizens can choose to set up trusts in Dubai, UAE through the Dubai International Financial Centre and its regulations in this matter. For a better understanding of the rules when setting up a trust in Dubai, it is recommended to talk to one of our lawyers in Dubai who can offer legal advice throughout the entire process.
| Quick Facts | |
|---|---|
| Specific law applicable to trusts (YES/NO) | The 2020 Trust Law |
|
Participants in a trust |
– settlor, – beneficiaries, – trustee |
|
Types of trusts available for creation in Dubai |
– charitable, – non-charitable, – express, – protective trusts |
| Documents required for establishment | Trust deed |
| Assets to be held in a trust |
– real estate, – jewelry, – company shares, – money and various valuable assets |
| Requirements to create a trust |
The creation deed must specify the following: – the name of the trust, – the properties held in trust, – the powers of the trustee, – the name of the settlor and beneficiaries, – the duration of the trust. |
| Possibility to create offshore trusts in Dubai |
Yes, offshore trusts are also available for creation in Dubai. |
| Taxation of trusts |
Trusts are not taxed in Dubai. |
| Recognition of foreign trusts in Dubai |
Yes, foreign trusts are recognized in Dubai. |
| Possibility to create international trusts (YES/NO) | Yes |
| Other means to create trusts (if available) |
Wills are another way to establish a trust in the UAE. |
| Lifespan |
Trusts can be created for limited or unlimited time. |
| Advantages of opening a trust in Dubai |
– tax-friendly environment, – modern legislation, – enhanced asset protection, – great tool for estate planning |
| Trustee services availability (YES/NO) |
Yes, trustee services are available with our law firm in Dubai. |
| Trust creation services availability (YES/NO) | Yes, you can rely on our Dubai lawyers for support in creating a trust. |
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Requirements for setting up a trust in Dubai, UAE
Individuals can set up charitable or not-charitable trusts, express trusts, and also protective trusts, under the strict supervision of the Financial Services Authority in Dubai, where the residence terms are not taken into consideration. A DIFC (Dubai International Financial Centre) trust does not require a certain capital, as a starting point, in order to be registered, and 100% foreign ownership is allowed. It is good to know that trusts in UAE can be better controlled than the registered wills. Furthermore, trusts in Dubai are tax-free and are highly protected, regardless of the Sharia Law succession rules. A Dubai trust can be set up by will or by drafting a codicil which is known as a deed of trust made by a settlor or an administrator.
Please remember that our attorneys in Dubai can help you set up a trust in UAE and can also explain the laws and the rights in this matter.
Why you should set up a trust in Dubai
A trust in Dubai, UAE allows foreigners with residence in the Emirates to have a clear idea about his/her wealth which at a certain point is going to be passed on in accordance with terms mentioned. Investors can create trusts in Dubai as part of their investment strategies, especially if they are interested in opening companies in the Emirates.
If you are a foreign investor who wants to set up a trust in Dubai, we invite you to solicit complete guidance and also legal support in this matter from our law firm in Dubai by contacting us.
We can also offer support in immigration. There are also several free zones that offer licenses or permissions for independent contractors. Additionally, a number of free zones run by the appropriate authorities in the UAE provide freelance permits in numerous industries and job fields. These licenses can be acquired in a variety of sectors, including the media, trades, services, and investments. If you want to apply for a freelance visa for Dubai, you can contact us.