UAE company, owner in Russia: five things to get right
The new UAE–Russia tax agreement applies from 2026. Owners in Russia can usually run the UAE side remotely, but residence and CFC notices need attention.
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Request a proposalOwners resident in Russia often manage their UAE company from Russia. The UAE compliance can usually be handled remotely, and a comprehensive UAE–Russia tax agreement now applies from 1 January 2026.
Five things to get right
- Your UAE company is UAE resident for Corporate Tax wherever you live: it registers, keeps records for seven years and files an annual return, and a free zone company keeps the 0% rate only if it meets every Qualifying Free Zone Person condition, including substance in the free zone and audited financial statements.
- The UAE–Russia agreement signed on 17 February 2025 entered into force on 18 July 2025 and applies from 1 January 2026; for a company resident in both countries, the tax authorities try to agree its residence, and without agreement there is no treaty relief except as they agree.
- A foreign company can be Russian tax resident if its executive body regularly acts from Russia or its key officers mainly manage it from Russia.
- Controlling persons (more than 25%, or more than 10% where Russian residents together hold over 50%) file controlled foreign company (CFC) notices; the effective-rate exemption is not normally met at the UAE's 9% or 0%, but other exemptions may apply.
- Russian tax-resident individuals are taxed on worldwide income, with dividends at 13% on up to RUB 2.4 million a year of combined investment income and 15% above.
Keeping it transparent from Russia
Our clients abroad use a client portal to send documents and see their filings, receive a monthly report pack with their profit and loss, balance sheet, VAT and Corporate Tax position and upcoming deadlines, and have scheduled calls with their named accountant at times that suit Russia. Nothing is filed without their approval.
We advise on UAE tax and work alongside your Russian adviser on the Russian side. For the full picture, see UAE company accounting for owners in Russia.
The Russian points above are general information; please confirm your own position with a qualified Russian adviser. Sources are listed on the linked page.