Pillar 02

Your residence determines your tax burden. Not your company.

The best company structure is worthless if your residence does not match it. We plan your residency strategy: a clean exit, the right new tax residence and ongoing compliance that withstands an audit.

The Principle

Tax liability does not end at the airport

The most common and most expensive mistake when relocating: the company is in place, but the old tax residence effectively continues. The home was not properly given up, the center of life is unclear, exit taxation was ignored. The tax office judges facts, not intentions.

We build your residency strategy as a system: the clean termination of tax liability in your home country, the right new residence, protection through double taxation treaties and ongoing documentation. Plus the infrastructure that carries you day to day: accounting, health insurance, liability cover.

  • Exit first. Without a clean exit from your old tax liability, no structure works.
  • Substance over paper. A residence must be lived and documented, not just registered.
  • Treaty logic built in. Double taxation treaties decide which country wins in a conflict.
  • Compliance as the foundation. Accounting and filings for US, UK and UAE from one source.
The Options

Four residency strategies we execute

Each option has a different price, different presence rules and a different life model. We assess which one fits you.

Zero Tax Residency

Tax-free without a fixed high-tax residence

Who it is for: Entrepreneurs who travel permanently or live in territorial tax countries and do not want to keep a tax anchor in a high-tax country.

Key facts: 0% income tax with the right setup. Requires a complete exit from your old tax liability, clean presence planning and seamless documentation. The most demanding but most efficient option. Handled by Tom Blankenhorn, ex-PwC.

Dubai / UAE

Residency through your own company

Who it is for: Entrepreneurs who want a stable base with infrastructure, banking and airport connections and are ready to be on the ground regularly.

Key facts: 0% income tax, Emirates ID through a company setup or employment, presence required to maintain the residency. Higher cost of living, but maximum recognition of the residence.

Paraguay

The flexible backup residence

Who it is for: Perpetual travelers and entrepreneurs looking for a permanent residency with minimal presence obligations as an anchor.

Key facts: Territorial taxation, foreign income remains tax-free. Low costs, minimal presence requirements, a long-term path to a second citizenship. As sole proof of your center of life towards high-tax countries, however, it is weak.

Cyprus

EU residence with non-dom status

Who it is for: Entrepreneurs who want or need to stay in the EU: because of family, customers or freedom of travel without third-country logic.

Key facts: Non-dom status with tax-free dividends for 17 years, tax residence possible from just 60 days of presence, full EU legal certainty. Combined with a Cyprus Limited, one of the strongest EU strategies.

Compliance

The obligations that secure your freedom

Residency is half the job. The other half is proving that your system runs clean. These are the building blocks we cover.

Exit taxation

If you leave Germany or Austria holding GmbH shares or substantial participations, you trigger a tax on unrealized gains without planning. We structure your exit so that you do not pay tax on paper profits.

Double taxation treaties

Tax treaties decide which country holds the taxing right when claims compete. We review the tie-breaker rules for your case and build your presence so the outcome is unambiguous.

Substance & documentation

Lease agreement, utility bills, days of presence, local accounts, a life actually lived there: we define what substance your setup needs and build the documentation that makes the difference in an audit.

International accounting

Ongoing accounting and reporting for US, UK and UAE structures: bookkeeping, annual accounts, tax filings, deadlines. Led by Mona Caldwell, ACCA with a Big Four background.

International health insurance

If you leave the statutory insurance system in your home country, you need a real replacement. We arrange international health insurance that covers you worldwide and remains viable if you return or change countries.

Liability & protection

Professional and private liability insurance for location-independent entrepreneurs: matched to your company structure and your residence instead of a standard case that no longer exists in your life.

How We Work

Analysis. Strategy. Execution.

The same logic as every pillar: understand first, then design, then execute with specialists.

01

Analysis of your tax situation

Where are you taxable today, and which anchors exist: home, family, shareholdings, contracts. We assess exit risks and calculate what a change of residence concretely means for you.

02

Residency strategy

We choose the option that fits your life, not the other way around. Including a timeline for the exit, treaty review, substance requirements and the interplay with your company structure from Pillar 1.

03

Execution and ongoing compliance

Deregistration, visas, Emirates ID or non-dom application through our local partners. Then the system takes over: accounting, filings, insurance and the annual review of whether your setup still matches the legal landscape.

Comparison

The residency options at a glance

Reference values for orientation. The individual assessment depends on your country of origin, family and business model.

Option Income tax Minimum presence Cost level Ideal for
Zero Tax Residency 0% with a correct setup Flexible, clean presence planning required Low to medium Perpetual travelers, maximum efficiency
Dubai / UAE 0% Regular entry to maintain it, significantly more for treaty protection High A base with infrastructure and recognition
Paraguay 0% on foreign income Minimal Low Backup residency, flexible life models
Cyprus Non-dom: dividends tax-free, income progressive Possible from 60 days Medium Staying in the EU with tax efficiency
Honest Assessment

Who this pillar is built for

A change of residence is a life decision. We only work with people who have understood that.

Right for you if

  • you are concretely planning your exit from your home country or have already completed it
  • you are ready to actually relocate your center of life
  • you accept documentation and substance as part of the system
  • you want to set up accounting and insurance professionally
  • your income is location-independent or can become so

Not right for you if

  • you want to keep living in Germany and emigrate only on paper
  • you are looking for a sham residence without real presence
  • you want to ignore exit taxation and reporting obligations
  • you make the decision on tax alone, against your life model
Business Freedom Score

Which residence fits your life?

Answer a few questions about your country of origin, income and travel patterns. You get a clear assessment of your realistic options. Free and without obligation.

Calculate my Freedom Score
FAQ

Frequently asked questions about residency and compliance

Is deregistering in Germany enough to end my tax liability?
No. Deregistration is an administrative act; tax liability attaches to your home and habitual abode. If you keep a home or do not actually relocate your center of life, you remain fully taxable. The exit must be complete: home, contracts, presence, documentation.
What is exit taxation and does it affect me?
It affects you if you hold substantial shares in corporations, in Germany for example from 1% in a GmbH. On departure, the state taxes the hidden reserves as if you had sold. With planning this can be structured: through timing, conversion or the right sequence of steps. Without planning it gets expensive.
Do I even need a new tax residence?
Formally not necessarily, practically almost always. Without a verifiable new center of life, banks, payment providers and, in case of doubt, your old tax office fall back on your last known residence. A clean new residence is the line of defense for your entire system.
How many days do I need to spend in Dubai or Cyprus?
To maintain UAE residency, a regular entry is formally sufficient; for tax residence with treaty protection you need significantly more presence and substance. Cyprus offers the 60-day rule if you spend no more than 183 days anywhere else and meet further conditions. The right number depends on your overall setup, and we plan it concretely.
What happens to my health insurance when I leave?
When your residence ends, the statutory insurance obligation usually ends with it, and so does your coverage. We arrange international health insurance that covers you worldwide, is predictable long term and accommodates a later change of country. This belongs in the planning before the exit, not after.
Do you also handle ongoing accounting?
Yes. For US, UK and UAE structures we offer ongoing accounting, annual accounts and tax filings from one source. That way your system holds not just on formation day, but in every year after.