Private Wealth &
Family Office
Legal Services

Without a registered UAE Will, UAE inheritance law — which includes Sharia principles for certain asset classes — may apply to a deceased person's UAE-situated assets, regardless of their nationality or religion. This means bank accounts can be frozen, real estate may be distributed contrary to the deceased's wishes, and family members may not receive the inheritance they expected. Non-Muslims can avoid this by registering a Will through the DIFC Wills Service Centre or the ADGM Wills Registration Service, both of which apply common law succession principles.

Both the DIFC Wills Service Centre and the ADGM Wills Registration Service allow non-Muslims to register Wills that override UAE Sharia succession rules and apply common law principles. DIFC has the larger established registry and covers all assets situated in Dubai (including mainland Dubai). ADGM covers Abu Dhabi assets. For individuals with assets in both emirates, a combination of both registries may be appropriate. Both are recognised by UAE courts and financial institutions. Neo Legal advises on the right structure for each client's asset profile and prepares the relevant documentation.

The DIFC requires family offices to demonstrate aggregate net assets of at least USD 50 million (raised from USD 10 million under previous rules). ADGM has similar thresholds for its regulated family office framework. For families below these thresholds, alternative structures including DIFC Prescribed Companies, UAE holding companies, DMCC Single Family Office licences, and appropriate offshore vehicles can achieve similar wealth structuring objectives without the full family office regulatory requirement.

The UAE Golden Visa is a 10-year renewable residency visa that does not require an employer sponsor and allows holders to maintain residency without minimum days-in-country requirements. Investment pathways include UAE property purchase of at least AED 2 million, business ownership meeting value thresholds, and professional qualification categories (doctors, engineers, lawyers, scientists, and other recognised professions). Golden Visa holders can sponsor immediate family members, including spouses, children, and in many cases parents.

A trust is a legal arrangement under which assets are held by a trustee for the benefit of beneficiaries, governed by trust law. Both DIFC and ADGM offer trust frameworks based on English common law. A foundation is an independent legal entity — similar to a company but with no shareholders — that holds and manages assets for defined purposes or beneficiaries. Foundations are particularly useful for succession planning, philanthropy, and family governance because they can hold assets indefinitely without a separate trustee. The right structure depends on the family's succession objectives, jurisdictional considerations, and asset profile.

The UAE introduced a 9% corporate tax applicable from June 2023 (for financial years ending on or after December 2023). The tax applies to corporate entities including family holding companies but generally does not apply to individuals' personal income, dividends received by individuals, or capital gains on personal investments. The key structuring question for family offices is whether assets are best held in personal names (generally tax-free) or corporate vehicles (subject to the 9% rate on profits). Existing structures established before June 2023 should be reviewed for ongoing tax efficiency.

UAE law has historically applied Sharia-based forced heirship rules to UAE-situated assets — meaning that a fixed portion of an estate must pass to certain family members (spouse, children, parents) regardless of what the deceased's Will says. For non-Muslims who register Wills through DIFC or ADGM, these forced heirship rules are overridden and the Will is applied in full. For Muslims, Sharia rules continue to apply to UAE assets. Offshore trust structures can also be used to ring-fence assets from local succession laws, subject to careful legal structuring.

There is no inheritance tax, capital gains tax, or wealth tax in the UAE at the personal level. This is one of the UAE's primary attractions for UHNW individuals and families. Corporate entities are subject to the 9% corporate tax on profits, but there is no exit tax, no transfer tax on gifts to family members, and no annual wealth tax. However, individuals relocating from countries with inheritance or capital gains taxes (such as the UK or Australia) must carefully manage their departure from the home country tax system to ensure these taxes do not continue to apply to UAE gains and disposals.