Case Studies
Throughout the year, we have worked closely with a wide range of business clients, building optimal structures tailored to their unique needs.
Case Study 1
Overseas Holding Company Structure
Client: Mr. T
Location: Dubai, UAE
Business Activities: Overseas asset management / Management of a Japanese IT company
Challenge: Efficiently transferring the profits of the Japanese company to an overseas entity
Services Provided: UAE company formation support, structure planning, and asset management advisory
I wanted to start a new business in Dubai, but I had no knowledge of the local situation when I first reached out for support.
Their email responses were extremely fast, and every answer to my questions was clear and reliable, which gave me great peace of mind throughout the process.
Thanks to their support, even the complex local procedures were completed smoothly—just by following their staff—and I was able to finish everything within a one-week stay, which was a huge help.
Even after the company was established, they introduced potential business partners, which unexpectedly opened up new opportunities. I couldn’t have asked for more!
Case Study 2
Japanese Corporation Business Transfer Scheme
Client: Mr. H
Location: Dubai, UAE
Business Activities: Management of a Japanese consulting company
Challenge: Reduce the burden of high personal income tax while preparing for future inheritance and succession planning, and at the same time, find the best educational environment for his children.
Services Provided: UAE company formation support and structure planning
Mr. H had been operating a consulting business in Japan with an annual income of approximately 50 million yen. However, about 55% of that amount was being taxed as income tax and resident tax, creating a significant financial burden.
In addition, he hoped to provide a better educational environment for his four children and was considering relocating to the international city of Dubai.
Initially, it was assumed that he would close the Japanese company and continue receiving compensation in the form of director’s remuneration. However, this raised a major issue: even after relocating to Dubai, director’s remuneration paid from the Japanese company would still be subject to a 20.42% withholding tax.
(This is due to the rule that non-residents are still taxed on income sourced from a Japanese corporation.)
To address this and align with Mr. H’s goals, we designed a structure that enables him to achieve zero personal income tax.
Specifically, we transferred the business functions of the Japanese company and established a holding/asset-management entity in Dubai. By restructuring the flow so that investment gains and cash flow are managed entirely within the Dubai entity, taxable income is shifted to the UAE, allowing complete avoidance of personal income tax.
Furthermore, by relocating to Dubai and establishing his economic base in the UAE, the structure also takes into account the possibility of excluding his assets from future Japanese inheritance tax.
Case Study 3
Non-Controlling Structure Scheme
Client: Mr. M
Location: Japan (Client), Dubai, UAE (Vice President)
Business Activities: Operation of a real estate company in Japan
Challenge: Review the existing structure with the aim of asset protection—both corporate and personal—and tax optimization.
Services Provided: UAE company formation support, structure planning, and asset management advisory
Mr. M operates a real estate company in Japan, while also seeking to build a global structure from the perspectives of asset protection, next-generation succession, and tax strategy.
In particular, the high tax burden imposed on both personal and corporate income had become a significant concern, prompting the need for an optimized solution.
To address this, we proposed relocating the Vice President to Dubai and establishing a Dubai entity.
Through this Dubai company, the functions of an asset-management entity—real estate, securities, and cash—would be held in a diversified manner, while dividends and director’s remuneration from the Japanese company would also be received on the Dubai side.
The key point is that by shifting the income-receiving party to the Vice President, who is a non-resident of Japan, a structure was created that allows Japanese taxation to be avoided or significantly reduced.
However, when dividends or remuneration flow from the Japanese entity to the Dubai entity, the tax risk centers on “who the actual beneficiary is” and “where the substance exists.”
Therefore, although Mr. M himself remains in Japan, we designed the structure so that the Vice President becomes the Ultimate Beneficial Owner (UBO). This enables the structure to meet treaty-application requirements and satisfy economic-substance standards.
Contact Us
The optimal structure and asset-management strategy vary greatly depending on your goals and circumstances.
Please feel free to start with a free initial consultation, where we listen to your situation in detail.
We will propose the most suitable scheme tailored to your challenges and objectives.