Dubai has rapidly become the number one expansion destination for Indian entrepreneurs—and the reason is simple: global access, zero income tax, and a business ecosystem built for scale. As Indian businesses aim to grow beyond local markets, establishing an Indian Subsidiary Company in Dubai has emerged as the fastest, safest, and most profitable route.
With 100% foreign ownership, world-class infrastructure, and a regulatory environment designed to support international business, Dubai offers Indian firms a great opportunity to grow at the global level.
Are you an Indian business owner looking to set up a subsidiary company in Dubai? This guide covers the steps, legal requirements, documents needed, expected costs and tax implications for registering an Indian subsidiary company in Dubai.
What is an Indian Subsidiary Company in Dubai?
An Indian Subsidiary Company in Dubai is a distinct legal structure registered in the United Arab Emirates, owned fully or partially by an Indian parent company. The Dubai subsidiary enjoys independent liability, tax benefits, and global market access.
Common Structures:
- Free Zone Company (most popular)
- Mainland LLC subsidiary
- Branch office of the Indian company
- Representative office
Why Indian Companies Prefer Dubai in 2025?
- 100% foreign ownership
- 0% corporate tax for qualifying free zone businesses
- Fast setup (2–7 days)
- Global connectivity
- Full repatriation of capital & profits
- Strategic location between East & West
- High investor trust & stability
- DTAA (Double Taxation Avoidance Agreement) between India & UAE
How Can I Register an Indian-Owned Company in Dubai Free Zones?
Registering an Indian-owned company in a Dubai Free Zone is straightforward and can be done 100% remotely.
Listed below are the steps to register an India-owned Company in Dubai Free Zone
Step 1: Select a Free Zone
The first step to set up your Indian business in Dubai free zones is to select the most appropriate location for your business. Popular free zone in Dubai include IFZA, Meydan, DMCC, DIC and RAKEZ.
Step 2: Select Business Activities
The next step involves selecting your business activity such as IT services, trading, consultancy, media, marketing, e-commerce, AI, etc.
Step 3: Choose Company Structure
After deciding on your location and business activity, you must choose the structure of your business. As an Indian entrepreneur, consider establishing a company Free Zone LLC subsidiary (most common) or a Branch of the Indian parent company.
Step 4: Submit Parent Company Documents
Provide the required Indian corporate documents:
- Board resolution + MOA/AOA + Certificate of Incorporation
- (Must be notarised + MEA-attested + UAE Embassy-attested)
Step 5: Reserve Company Name
Pick a trade name for your business that follows UAE naming rules and matches your brand identity.
Step 6: Apply for Initial Approval
The free zone reviews your documents and approves the business activity, shareholders, and company structure.
Step 7: Submit Attested Documents
Indian documents must be notarised and attested.
Step 8: Pay the License Fees
Fees vary based on the free zone, activity, and visa quota.
Step 9: Receive Business License (2–7 days)
Once approved, you receive the official Dubai Business License.
Step 10: Open Bank Account
Apply with banks like WIO, Emirates NBD, Mashreq, ADCB, or RAKBANK.
What Are the Legal Requirements to Open an Indian Subsidiary in Dubai?
To establish a valid Indian subsidiary, Dubai requires:
- Mandatory Legal Requirements
- Parent company documents attested by MEA + UAE Embassy
- Board resolution approving the Dubai subsidiary
- Appointment of directors/managers
- Shareholding structure confirmation
- Proof of office space (virtual or physical)
- UBO declaration
- Economic Substance Regulations (ESR) compliance
- Corporate tax registration (if applicable)
- Financial bookkeeping and audit (if needed by free zone)
Documents Needed to Register an Indian Subsidiary in Dubai
From the Indian Parent Company
- Certificate of Incorporation
- Memorandum & Articles of Association (MOA/AOA)
- Board Resolution approving the UAE subsidiary
- Power of Attorney (POA) in favour of the UAE manager
- Audited financial statements (if required)
- Company PAN card (optional but helpful)
From Directors / Shareholders
- Passport copy
- Passport-sized photo
- Proof of residence
- UAE visa (if any)
- Emirates ID (only for UAE residents)
Attestation Note: Indian corporate documents must be notarised, MEA-attested, and UAE Embassy-attested.
Can I Open a Bank Account for My Indian Subsidiary in Dubai Remotely?
Yes — many UAE banks allow remote corporate bank account opening, especially for Indian-owned companies with a strong parent firm.
Banks Supporting Remote/Video KYC
- WIO Bank (most flexible)
- Mashreq NeoBiz
- Emirates NBD (case-by-case)
- RAKBANK
- ADCB
Requirements for Banking
- Clean financial history
- Business plan + contracts (optional)
- Proof of parent company revenue
- UBO details
- Company license + establishment card
Bank account opening timeline: 7–21 days, depending on bank compliance.
Expected Cost for Establishing an Indian Subsidiary Company in Dubai
Below is the realistic cost range for Indian companies:
1. Free Zone Subsidiary Setup
| Cost Component | Amount |
| Free zone license | AED 12,000 – AED 18,000 |
| Establishment card | AED 600 – 1,000 |
| Office space (flexi desk) | AED 6,000 – AED 15,000 |
| Investor visa | AED 3,200 – AED 4,800 |
| Emirates ID & medical | AED 1,000 – AED 1,500 |
| Bank account | Free – AED 5,000 |
| Indian document attestation | INR 25,000 – ₹45,000 |
2. Mainland Subsidiary Setup
| Cost Component | Amount |
| Mainland license | AED 18,000 – AED 30,000 |
| Office rent | AED 10,000 – AED 50,000 |
| Visa costs | Same as above |
| Attestation | Same as above |
Tax Implications for Indian Subsidiaries Operating in Dubai
1. Corporate Tax
Free zone companies
- 0% tax for “qualifying income”
- 9% for non-qualifying activities
Mainland companies
- 9% tax above AED 375,000 profit
2. Withholding Tax
0% withholding on dividends, royalties, interest, and service payments.
3. Personal Income Tax
0% income tax for all UAE residents and employees.
4. Capital Gains Tax
0% on gains from UAE operations.
5. DTAA Between India and UAE
Prevents double taxation on corporate profits.
6. VAT
- 5% VAT on taxable supplies
- Mandatory registration above AED 375,000 turnover
Best Free Zones for Indian Subsidiary Companies in Dubai
1. IFZA Free Zone (Top choice for Indians)- Affordable, fast, flexible, great for remote setup.
2. Meydan FZ- Paperless system, cost-effective, beginner-friendly.
3. DMCC- Best for trading, commodities, and global operations.
4. Dubai Internet City- Ideal for IT, AI, SaaS, and digital operations.
Banking Guidelines for Indian Subsidiary Companies
To maximise bank account approval:
- Provide strong parent company financials
- Avoid high-risk activities
- Maintain clear business flow explanation
- Use UAE mobile number + local address
- Submit compliance documents accurately
Compliance Requirements After Registration
Your Dubai subsidiary must comply with:
- ESR filing
- Corporate Tax registration
- UBO declaration
- Annual financial statements
- Office lease renewal
- License renewal
Conclusion
Incorporating an Indian Subsidiary Company in Dubai is one of the most strategic growth decisions for Indian businesses in 2025. With 100% foreign ownership, 0% personal tax, fast company formation, global market access, and a highly business-friendly regulatory framework, Dubai offers the perfect launchpad for international expansion. Whether you’re building a tech startup, trading company, consulting firm, or global enterprise, a Dubai subsidiary strengthens credibility, reduces compliance burden, and unlocks Middle East, African, and European markets.
If you want a seamless, end-to-end setup, OnDemand International specializes in helping Indian companies register, structure, and scale their UAE subsidiaries effortlessly. From licensing to banking, visas, compliance, and long-term support—our experts handle everything so you can focus on growth.
Ready to expand globally with confidence? Reach out to OnDemand International today.
FAQ’s
Can an Indian parent company own 100% of a Dubai subsidiary?
Yes, 100% ownership is allowed in all free zones and most mainland sectors.
Is it possible to set up the subsidiary without visiting Dubai?
Yes. Most free zones offer 100% remote setup.
What is the minimum capital requirement?
Most free zones require zero paid-up capital.
