Accounting for holding companies and family offices in the UAE
For investment holdings, family offices and founders with several companies. We keep the books of every entity, file Corporate Tax returns even where all income is exempt, handle licence changes and give the owner one view of the whole group.
- Every entityBooks and CT returns
- IntercompanyBalances matched
- One reportAcross the group
Holding structures we work with
Investment holding company
Shares in operating companies, dividends, sometimes loans to subsidiaries. Few transactions, but each one matters for Corporate Tax.
Family office or personal-asset holding
Property, portfolios and stakes held through a company. We keep the books, keep company and family spending apart and file the returns.
Group of UAE companies
A mainland trading company, a free zone services company, a property company. Each files its own returns unless they form a tax group, and the owner needs one picture across all of them.
Holding with foreign subsidiaries
Dividends and gains from companies abroad can be exempt under the participation exemption. We check the main conditions for each shareholding.
Founder holding shares in several businesses
Stakes held personally or through a company. Personal investment income is outside Corporate Tax; a company holding the same shares registers and files. We keep the two sides clear.
Every entity accounted for, the group in one view
Shares, dividends, loans and tax, kept by entity and matched between them.
- Books for each entity: holding, subsidiaries, property and investment companies, in Zoho Books, Xero, QuickBooks or 1C / First Bit
- Shareholdings, dividends, loans and guarantees recorded by counterparty
- Intercompany balances matched on both sides, with gaps flagged before year-end
- Corporate Tax registration and returns for every company, including holdings with only exempt income
- Participation exemption checked for each shareholding: size of stake, holding period, tax rate in the subsidiary's country
- Tax group: whether it suits your group, and one return if you form it
- VAT position of the holding: whether it can register, and what changes if it charges management fees
- Licence changes through our legal support: adding activities, changing the company name
- A group report for the owner and financial statements for banks and auditors
The whole group on one page
A sample monthly summary for a family holding with five companies. The figures are illustrative.
| Entity | Role | Corporate Tax | VAT | Status |
|---|---|---|---|---|
| Holding, free zone | Owns the group's shares | Exempt income only, return filed | Not registered: dividends only | Up to date |
| Trading company, mainland | Operating business | Return filed | Quarterly returns | Up to date |
| Property company, mainland | Owns the office building | Return due 31 December | Quarterly returns | CT return in 2 months |
| Investment company, free zone | Portfolio and minority stakes | Return filed | Not registered | Loan to trading company: no agreement |
| Foreign subsidiary | Operating company abroad | Taxed in its own country | Not applicable | No UAE filings |
Holding company tax in the UAE: what matters
Dividends and the participation exemption
Dividends from UAE companies are exempt from Corporate Tax. Foreign dividends and gains on shares can be exempt too. The main conditions: a stake of at least 5%, held or intended to be held for at least 12 months, in a subsidiary subject to tax at 9% or more in its country.
Exempt income still needs a return
A holding whose income is entirely exempt must still register for Corporate Tax and file a return. Records have to be kept for at least 7 years.
One return for a tax group
UAE companies with at least 95% common ownership can form a tax group and file a single return instead of one per company.
Intra-group loans, fees and guarantees
Under the transfer pricing rules, loans between group companies, management fees and guarantees must be at arm's length: on the terms unrelated parties would agree.
VAT for a pure holding
A holding whose only income is dividends usually cannot register for VAT and so cannot recover input VAT on its costs. Charging management fees to subsidiaries changes the picture.
From scattered entities to one picture
The price depends on volume, not on the industry
Monthly bookkeeping from AED 700; a full finance function with VAT and payroll from AED 2,000 a month. We quote an exact price after reviewing the group structure and the books.
Questions holding companies and family offices ask
Does a holding company with only dividend income need to file a Corporate Tax return in the UAE?
Yes. Every company must register for Corporate Tax and file a return, even with no profit or only exempt income. Dividends from UAE companies are exempt, but the return is still due. We prepare and file it through our tax service.
Are foreign dividends taxable for a UAE holding company?
They can be exempt under the participation exemption. The main conditions: the holding owns at least 5% of the subsidiary, holds or intends to hold it for at least 12 months, and the subsidiary is subject to tax at a rate of at least 9% in its country. We check each shareholding before the return is filed.
Can group companies in the UAE file one Corporate Tax return?
Yes, if they form a tax group: UAE companies with at least 95% common ownership can file a single return. Whether it suits your group is worth checking before you apply.
Can a holding company register for VAT and recover input VAT?
A holding whose only income is dividends usually cannot register for VAT, so it cannot recover VAT on its costs. If it charges management fees to its subsidiaries, the picture changes, and we look at whether registration then makes sense.
How should intercompany loans be handled in a UAE group?
At arm's length under the transfer pricing rules: on the terms unrelated parties would agree. The same applies to management fees and guarantees. We record each balance on both sides and flag loans that have no agreement behind them.
Do I pay Corporate Tax on personal dividends in the UAE?
No. An individual's personal investment income, such as dividends and gains on personal investments, is not subject to Corporate Tax. Shares held through a company are different: the company registers and files a return.
How much does accounting cost for a holding company in the UAE?
It depends on the number of entities and transactions, not on the industry: from AED 700 a month for bookkeeping, from AED 2,000 for a full finance function with VAT and payroll. We quote after reviewing the group structure and the books.
Let's sort out your business finances
Tell us about the group: how many companies, where they are registered and how the books are kept today. We reply within one business day.