UAE Emerges as Top Destination for Millionaires Attracting 6,700 New Residents
The United Arab Emirates (UAE) is set to attract more foreign millionaires this year than any other country, driven by favorable policies, strategic location, and a luxurious lifestyle.
4 min
According to the Henley Private Wealth Migration Report 2024, the UAE is expected to welcome a record-breaking 6,700 wealthy migrants by the end of the year, surpassing all other nations.
The report highlights that millionaires from the UK, India, and Africa are particularly drawn to the UAE due to its golden visas, low tax environment, and enviable lifestyle.
For the third consecutive year, the UAE is poised to remain the world’s leading destination for migrating millionaires. The influx is significantly boosted by large numbers of new arrivals from the UK and Europe.
Why UAE?
The Henley Private Wealth Migration Report, published by Henley and Partners, tracks the net inflows and outflows of millionaires, defining a millionaire as an individual with liquid investable wealth of $1 million. The report reveals that the UAE continues to solidify its position as the top choice for millionaires seeking a new home.
Henley and Partners attribute the UAE’s attractiveness to its zero-income tax policy, golden visa program, luxury lifestyle, and strategic location. Consistent high inflows from India, the wider Middle East, Russia, and Africa, combined with an anticipated surge in British and European millionaires, are expected to nearly double the UAE’s net inflow compared to its nearest competitor, the US, which is projected to gain 3,800 millionaires in 2024.
Sunita Singh-Dalal, a partner leading Private Wealth and Family Offices at Hourani in Dubai, remarked “The evolution and development of the UAE’s wealth management ecosystem is unprecedented. In less than five years, the UAE has introduced a robust regulatory framework that provides the wealthy with a range of innovative solutions to protect, preserve and enhance their wealth.”
Singapore is projected to attract 3,500 new millionaires, securing third place, while Canada and Australia follow with net inflows of 3,200 and 2,500 respectively.
Top 10 Countries for Millionaire Migration in 2024:
- UAE: +6,700
- USA: +3,800
- Singapore: +3,500
- Canada: +3,200
- Australia: +2,500
- Italy: +2,200
- Switzerland: +1,500
- Greece: +1,200
- Portugal: +800
- Japan: +400
Andrew Amoils, Head of Research at New World Wealth, emphasized the significant benefits of wealthy migrants to their new countries.
He said: “Migrating millionaires are a vital source of forex revenue as they tend to bring their money with them when they move to a country. Also, around 20 per cent of them are entrepreneurs and company founders who may start new businesses and therefore create local jobs in their new country, and this percentage rises to over 60 per cent for centi-millionaires and billionaires.”
The UK is expected to see an unprecedented net loss of 9,500 millionaires in 2024 — second only to China worldwide, and more than double the 4,200 who left the country last year, which was itself record-breaking following the exodus of 1,600 high-net-worth individuals (HNWIs) in 2022.
China is again on track to be the biggest millionaire loser globally, with an anticipated net exit of 15,200 HNWIs this year (compared to 13,800 in 2023) whereas India has stemmed its wealth exodus, dropping down to 3rd place after the UK with just 4,300 millionaires projected to leave the country in 2024 (compared to 5,100 last year).
South Korea’s HNWI flight is expected to rise with a forecast loss of 1,200 millionaires (compared to 800 in 2023) while the tsunami of millionaires that fled Russia following the outbreak of the Ukraine war appears to be abating with only 1,000 projected to relocate this year (compared to 8,500 in 2022 and 2,800 in 2023).
Dominic Volek, Group Head of Private Clients at Henley & Partners, stated that 2024 is shaping up to be a pivotal year in global wealth migration, “An unprecedented 128,000 millionaires are expected to relocate worldwide this year, eclipsing the previous record of 120,000 set in 2023”.
The UK, and London especially, has traditionally been seen as one of the world’s top destinations for migrating millionaires and for many years (from the 1950s to early 2000s) it consistently attracted large numbers of wealthy families from mainland Europe, Africa, Asia, and the Middle East.
However, this trend began to reverse around a decade ago as more millionaires began to leave the country and fewer came in. Notably, during the six-year period from 2017 to 2023 post Brexit, the UK lost a total of 16,500 millionaires to migration. Provisional estimates for 2024 are even more concerning, with a massive net outflow of 9,500 millionaires projected for this year alone.
Chris Dixon, a partner who led the charge, says he has a ‘very long-term horizon’
Americans now think they need at least $1.25 million for retirement, a 20% increase from a year ago, according to a survey by Northwestern Mutual
Compliance with these deadlines is crucial to avoid administrative penalties.
2 min
The UAE’s Federal Tax Authority (FTA) is urging Corporate Taxpayers to adhere to submission deadlines to avoid fines. Specifically, Resident Juridical Persons with licenses issued in May (regardless of the year) must submit their Corporate Tax registration applications by July 31, 2024, in line with Federal Tax Authority Decision No. 3 of 2024.
This decision aligns with the Federal Decree-Law No. 47 of 2022 on the Taxation of Corporations and Businesses and its amendments, effective from March 1, 2024. The FTA stresses the importance of meeting these registration deadlines, which have been communicated through various media channels and direct outreach to registered company owners in the UAE.
Utilizing the EmaraTax Platform
Compliance with these deadlines is crucial to avoid administrative penalties. The deadlines apply to both juridical and natural persons, including Resident and Non-Resident Persons in the UAE. Detailed information on these deadlines and other relevant issuances can be found on the FTA’s official website.
According to the FTA’s Public Clarification, Resident Juridical Persons established or recognized before March 1, 2024, must submit their tax registration applications based on the month their license was issued. Those with expired licenses as of March 1, 2024, should submit their applications based on the original issuance month. For those holding multiple licenses, the earliest issuance date applies.
Administrative penalties for corporate tax violations have been in effect since August 1, 2023. To facilitate the registration process, taxpayers must use the “EmaraTax” digital platform, available 24/7, or seek assistance from accredited tax agents and government service centers.
The FTA has also emphasized the importance of providing accurate information and submitting updated supporting documents correctly with the electronic registration application, noting that registering for Corporate Tax for a juridical person requires uploading various documents, including the commercial license, the Emirates ID card, the passport of the authorized signatory, and proof of authorization for the authorized signatory.
A comprehensive video explaining the registration process through the “EmaraTax” platform is available on the FTA’s website. This platform, designed according to international best practices, aims to streamline the registration journey, submission of periodic returns, and payment of due taxes for all UAE taxpayers.
Chris Dixon, a partner who led the charge, says he has a ‘very long-term horizon’
Americans now think they need at least $1.25 million for retirement, a 20% increase from a year ago, according to a survey by Northwestern Mutual
