Let’s Be Honest – The UK Tax System Isn’t Built for Entrepreneurs
UK limited companies pay 19–25% in corporation tax. That’s a huge bite — especially for consultants, freelancers, and online business owners. Many feel the system is stacked against small business.
This is why more people are exploring "gray area" strategies like UAE companies. And yes — they’re legal if done right.
What Is the "Gray Area"?
The "gray area" is the space between legal tax planning and aggressive avoidance. It's not illegal — but it’s not completely black-and-white either. HMRC doesn’t like it, but they also can’t stop it if the structure is correct.
What Makes A Structure Safe (Vs Risky)?
Safe:
- UAE company is genuinely managed outside the UK
- Income is from international clients
- You don’t live full-time in the UK
Risky:
- You’re the only director and live in the UK
- All your clients are in the UK
- You send all money back home with no substance
We help ensure you’re compliant in both countries by building your structure CORRECTLY
What HMRC Looks For
HMRC checks if the foreign company is “centrally managed and controlled” from the UK. If it is, they may tax it in the UK. But if it’s managed from the UAE — with proof — they can’t.
This is where having a team like Evolve Tax UAE is essential.
We Help You Navigate the Gray (Without Getting Burned)
- Set up your company in the right UAE Free Zone
- Appoint directors and substance in the UAE
- Handle UAE accounting, audits, and renewals
- Coordinate with UK accountants to avoid triggering anti-avoidance laws
Is It Legal?
Yes — thousands of businesses are doing this. But if done wrong, you could face penalties. Done right, you can save £10k–£500k+ per year.
Want To Know If It’s Right For You?
We offer a free consultation to explore if this strategy fits your business, your goals, and your appetite for risk.
Book My Free Consultation