When a firm or group of companies decides to restructure in order to increase group earnings and shareholder value, they may change its legal ownership and operational structures. For instance, the parent-subsidiary connection among the group companies can be reformed in such a way as to lower the total tax paid by group in all jurisdictions based on tax planning and avoidance of double taxation treaties between UAE and other countries. Reorganizing a company can be done for many different reasons, such as saving money, making the most of available resources, improving the company’s bottom line, exploring merger opportunities, or taking advantage of new technologies.

Most firms in the United Arab Emirates are owned by individuals or corporations based in other countries because the government there does not impose a tax on corporate profits. After reviewing the current group structure and considering different potential situations, our specialists can recommend the best course of action for reorganizing the group.