Family Office in Dubai (DIFC): Rules, Costs and Tax in 2026

How is a family office licensed in Dubai (DIFC)?

A family office is a DIFC company licensed as a Family Office by the DIFC Registrar under the Family Arrangements Regulations 2023, in force since 31 January 2023, which replaced the Single Family Office Regulations of 2011. DIFC's family office checklist is for a DIFC private company, and applications go through the DIFC Client Portal. A family office serving one family needs no DFSA licence, and since 2023 it does not register with the DFSA as a Designated Non-Financial Business or Profession (DNFBP). [1, 2, 3, 5]

What is the minimum wealth for a family office in Dubai (DIFC)?

To be licensed, the family must meet the 'Minimum Net Asset Requirement': 'in aggregate a net asset value of USD50,000,000', measured at fair market value, or at book value where fair market value cannot be found. The family must confirm each year, with the Confirmation Statement, that it still meets this requirement. [5, 6]

Compare: Family Office Minimum Net Worth by Country

Who counts as family?

A Family is two or more Family Members. Family Members are either a common living ancestor and that person's descendants, or the descendants of a common ancestor no more than three generations back at the time of registration, in both cases with their spouses (including widows and widowers, even if remarried), stepchildren, adopted and ex-nuptial children; the Registrar decides on descent. A family office may serve more than one family only with the Registrar's approval, and each family must meet the USD 50 million test. [1, 5]

Can one office serve several families?

A family office that provides financial services ('Restricted Services', the activities in DFSA GEN Rule 2.2.2) by way of business to more than one family must be authorised and licensed by the DFSA. DIFC also says multi-family offices need DFSA authorisation and licensing. Separately, a family office may serve more than one family only with the Registrar's approval, and each family must meet the USD 50 million test. [1, 3, 5]

Which law and courts apply?

DIFC has its own civil and commercial laws (for example the Companies Law, Trust Law and Foundations Law). English is the official language of the DIFC Courts, which apply DIFC Laws and Regulations unless the parties agreed on another law. Under DIFC Courts Law No. 2 of 2025, the courts have exclusive jurisdiction over claims about trusts established in DIFC and non-Muslim wills registered in DIFC, and DIFC judgments are enforced outside DIFC through the Dubai Courts without a review of the merits. [4, 7]

What substance is required?

No minimum staff or spending rule was found in the Family Arrangements Regulations. A family office or family entity is exempt from Article 13(3) of the DIFC Operating Law if it, or each family that owns it, has a substantial presence in the UAE and it appoints a DIFC Corporate Service Provider as registered agent; its registered office is then the provider's office. For the 0% UAE corporate tax rate, a Qualifying Free Zone Person must keep 'adequate substance in the State'. [5, 8]

Which holding vehicles are available?

Private company (Companies Law, DIFC Law No. 5 of 2018), foundation (Foundations Law, DIFC Law No. 3 of 2018), trust (Trust Law, DIFC Law No. 4 of 2018, updated 2024), prescribed company or SPV (Prescribed Company Regulations 2026) and holding company. Family office and family entity shareholder, interest holder, director and officer details can be kept on a private register. [2, 3, 5, 7, 9]

What is the corporate tax rate?

UAE corporate tax applies for financial years starting on or after 1 June 2023. The rate is 0% on taxable income up to AED 375,000 and 9% above that. Holdings of at least 5%, held for at least 12 months, can qualify for the participation exemption if the other conditions are met. [8, 10, 11, 12]

Are there tax incentives for family offices?

No tax regime specific to family offices was found. A Qualifying Free Zone Person pays 0% on qualifying income and 9% on other taxable income if it keeps adequate substance, follows transfer pricing rules and keeps non-qualifying revenue below the lower of AED 5 million or 5% of total revenue; qualifying activities (Ministerial Decision 229 of 2025, effective from 1 June 2023) include holding shares for at least 12 months, headquarter services to related parties, and treasury and financing for related parties or for its own account, while wealth and fund management count only if regulated by a UAE competent authority. A family foundation can apply to the Federal Tax Authority to be treated as tax transparent (as an unincorporated partnership) if it is set up for identified people, mainly receives, holds, invests or distributes savings or investment assets, does nothing that would be a business if done directly by its founder or beneficiaries, and its main purpose is not avoiding corporate tax. The Federal Tax Authority's public clarification CTP008 (September 2025) says that if a free zone single or multi family office 'only holds a licence without the regulatory oversight of the Competent Authority', its wealth and fund management services are not qualifying activities, so that income does not get the 0% rate. [8, 13, 14, 15, 16, 17]

Is there personal income tax?

The UAE does not levy income tax on individuals. An individual is subject to corporate tax only on business turnover above AED 1 million a year, and wages, personal investment income and real estate investment income are excluded. [18, 19, 20]

Compare: Countries With No Personal Income Tax

Is there inheritance or estate tax?

No inheritance, estate or gift tax appears in the official UAE government list of taxes, which covers VAT, excise tax, corporate tax, a Dubai tax on foreign banks and hospitality charges. No official page stating 'no inheritance tax' in those words was found. [18, 19]

Compare: Inheritance Tax by Country

How do wills and succession work?

Non-Muslims aged 18 or over who own UAE assets or have minor children living in the UAE can register a will with the DIFC Courts Wills Service, whether or not they live in the UAE; will types include full, guardianship, property, business owners, financial assets and digital assets wills. Without a will, the DIFC Courts say the law of the local courts where the assets are located applies. Since 1 February 2023, the federal civil personal status law for non-Muslims lets a will cover all UAE assets and, without a will, gives half of the estate to the surviving spouse and half to the children in equal shares, unless the person asks for the law of their home country. [21, 22, 23]

Can the family get residence?

The UAE Golden Residence gives 10-year residence to real estate investors with UAE property worth at least AED 2 million (a loan from an approved local bank is allowed) and to investors with at least AED 2 million in public investments. Public investments can be a deposit with an investment fund or a national bank in the UAE, or company capital or a partner's share, and this money must not come from a loan. Holders can sponsor spouses, children regardless of age and parents. [24, 25]

Compare: Residency by Investment by Country

How long does set-up take?

Not found in official sources.

What are the official fees?

Indicative, from the Family Arrangements Regulations 2023 (Appendix 2), checked 18 October 2026: USD 12,000 for a Family Office Licence, USD 5,000 to enter the Family Business Register and USD 1,000 for a Private Register entry, on top of the usual Registrar fees for the DIFC company itself. The regulations do not say whether the licence fee is charged every year; a secondary source says it is. DIFC says a foundation can be established 'for just USD 350', and DIFC Courts will registration costs AED 10,000 for a single full will and AED 15,000 for mirror wills (2023 fee schedule). [2, 5, 22, 26]