From Australia
to the World.
Why Australian businesses are moving to the UAE — and how Neo Legal gets you there. Tax · Structure · Residency · Expansion · Protection. Part of Cornwalls — one of Australia's oldest and most independent law firms, established 1891, with offices in Melbourne, Sydney and Brisbane. Australian and UAE counsel under one group, one engagement.
The tax contrast
is stark.
A founder earning AED 2 million per year (approximately AUD 800,000) saves over AUD 370,000 per year in personal income tax alone by relocating to the UAE. Over five years, the tax saving typically exceeds the cost of the entire legal establishment process by a factor of 50 or more.
| Tax Item | Australia | UAE |
|---|---|---|
| Personal income tax (top rate) | 47% (inc. Medicare Levy) | 0% |
| Capital gains tax | Up to 47% (50% discount available) | 0% |
| Corporate tax | 30% (25% small business) | 9% (0% QFZP) |
| Dividend withholding tax | Up to 30% | 0% |
| Inheritance / estate tax | None federally (CGT on death) | 0% |
| GST / VAT | 10% GST | 5% VAT |
| Payroll tax (state-level) | Up to 6.85% | None |
Australian counsel on the ground.
UAE counsel on the ground.
One group. One engagement.
Neo Legal isn't a Dubai boutique reaching into Australia. It is the UAE practice of the Cornwalls Group — an established Australian commercial law firm with on-the-ground partners providing Australian commercial counsel, integrated with Neo Legal's UAE specialist practice in Dubai.
Most Australia-UAE matters have simultaneous workstreams on both sides — ATO residency severance, CGT exit, SMSF decisions on the AU side; corporate structure, banking, residency, VARA licensing on the UAE side. The group structure means you instruct once and receive coordinated execution from senior counsel in both jurisdictions, not a referral chain between unaffiliated firms.
| The Challenge | Neo Legal's Solution |
|---|---|
| Ceasing Australian tax residency incorrectly — ATO audit risk, CGT events, deemed disposal | Full Australian tax residency cessation strategy, ATO risk analysis, documentation of departure facts, coordination with tax advisers |
| No Australia-UAE double tax agreement — withholding taxes, CFC exposure, FIF rules | Cross-border tax structuring to minimise withholding tax, CFC analysis for Australian shareholders of UAE entities |
| Australian Superannuation — SMSF residency rules, contribution obligations | SMSF residency and compliance advice, contribution structuring, coordination with SMSF trustees and auditors |
| UAE bank account opening — KYC rejection risk for Australian fintech and crypto businesses | Comprehensive KYC package preparation, bank introduction strategy, source of funds documentation |
| Choosing the wrong UAE free zone — costly to unwind | Free zone selection analysis across 30+ options matched to business activity, tax position, and banking requirements |
| Virtual asset regulatory compliance — VARA licensing for Australian crypto businesses | VARA licensing assessment, application preparation, ongoing regulatory supervision retainer |
Four service areas for
every stage of the move.
The complete legal establishment for an Australian founder, executive, or investor relocating to Dubai. Covers Australian exit, UAE entry, structure, and residency — everything required for a clean, legally defensible departure from the Australian tax system.
What This Covers
- Australian tax residency cessation strategy memo
- CGT main residence and asset review on departure
- Australian trust and SMSF residency advice
- UAE free zone company incorporation
- UAE Golden Visa application (investor or entrepreneur)
- Family member Golden Visa sponsorship
- UAE tax residency certificate application
- UAE Will registration (DIFC or ADGM)
- Australian ASIC/regulatory obligations review
For Australian businesses establishing a UAE presence — a full relocation, a regional hub, or a market entry vehicle. Covers entity selection, incorporation, commercial framework, and employment structure.
What This Covers
- Free zone selection analysis (30+ zones assessed)
- UAE entity incorporation (free zone or onshore LLC)
- Trade licence and activity registration
- UAE employment contracts for key staff
- Intercompany agreement — AUS parent / UAE subsidiary
- Transfer pricing documentation (basic)
- Bank account opening strategy and KYC package
Designed specifically for Australian fintech, cryptocurrency, and blockchain businesses expanding to Dubai. Covers VARA licensing, corporate structure, regulatory translation from ASIC to VARA, and ongoing compliance infrastructure.
What This Covers
- VARA regulatory analysis — activity classification and licensing obligation
- Optimal entity structure for VARA application (DMCC SPV — the standard venue for VARA-licensed entities)
- VARA licence application preparation and submission support
- AML/CFT framework for VARA
- ASIC licence maintenance or surrender strategy
- KYC/AML framework adaptation (Australian to UAE standards)
- Bank account opening strategy for crypto businesses
Start your UAE journey
with a complimentary consultation.
60-minute call with a senior partner to discuss your Australian tax position, business objectives, and UAE goals. [email protected] · +971585786357
Book Your ConsultationAnswers to the questions
clients actually ask.
The questions below are answered by Neo Legal practitioners. For tailored advice on your specific matter, please contact us directly.
Does the ATO stop taxing you when you move to Dubai?
Not automatically. The ATO applies the 'resides' test, the domicile test, and the 183-day test to determine whether a person remains an Australian tax resident after relocating. An individual who maintains family ties, property, or business connections in Australia may continue to be treated as an Australian tax resident even after moving to Dubai — and will remain taxable in Australia on their worldwide income, including UAE earnings. Proper residency cessation planning, documented departure, and obtaining a UAE Tax Residency Certificate are all required steps.
Is there a double tax agreement between Australia and the UAE?
No. Australia and the UAE do not have a Double Tax Agreement (DTA). This means there is no treaty-based mechanism to prevent income earned in the UAE from being taxed in both Australia (if Australian residency is not properly ceased) and the UAE. This makes proper residency cessation planning especially important — for Australians moving to the UAE without a DTA, any failure to properly exit the Australian tax system results in genuine double taxation with no relief mechanism.
What is the CGT main residence exemption and does it apply on departure?
When an Australian tax resident ceases Australian residency — as happens when properly moving to the UAE — certain CGT events may crystallise. The main residence exemption protects the family home from CGT in most circumstances, but the interaction between the exemption, the foreign resident CGT rules, and the timing of departure requires careful planning. The CGT consequences of departure should be modelled and planned before leaving Australia, not after.
What is the difference between a UAE free zone company and a mainland company for Australian businesses?
Free zone companies in the UAE offer 100% foreign ownership and simplified incorporation processes, but cannot directly sell goods or services to UAE mainland customers without using a local distributor or agent. Mainland companies (licensed through the relevant Department of Economic Development) can sell directly to UAE mainland customers but require a local service agent for certain business types. For Australian businesses whose primary customers are UAE-based, the mainland structure may be necessary despite the additional requirements.
Can an Australian business use their Australian AFSL to advise UAE clients?
No. An Australian Financial Services Licence (AFSL) authorises the holder to provide financial services under Australian law within Australia. It provides no authorisation to conduct regulated financial activities in the UAE. Australian financial services firms advising UAE clients or establishing UAE operations require separate licensing from the appropriate UAE regulator — DFSA (DIFC), FSRA (ADGM), CBUAE, or CMA — depending on the activity type and target client base.