Why jurisdiction matters
Setting up a holding company abroad can unlock major tax, compliance, and operational advantages but only if you choose the right country.
The best jurisdictions in 2025 combine strong tax treaties, stable regulation, and business-friendly policies that help you protect profits and grow globally.
Here are the five standout destinations for international holding companies this year.
🇬🇧 United Kingdom: Strong treaties and a trusted reputation
The UK remains one of the most established holding-company locations in the world. Its balance of credibility, regulatory maturity, and global reach continues to attract multinational structures.
Key highlights:
- Double tax treaties: Agreements with more than 120 countries, reducing double taxation.
- Corporate tax: 25% standard rate, with marginal relief for smaller profits.
- Share sale exemptions: The Substantial Shareholdings Exemption (SSE) removes capital gains tax on certain share disposals.
- Dividend relief: Most foreign-source dividends are exempt from UK tax.
- Business environment: Transparent legal framework under the Companies Act 2006 ensures reliability.
Best for: Finance, technology, consulting, and professional-services groups.
Crypto stance: The Financial Conduct Authority (FCA) provides structured yet supportive oversight for digital-asset activity.
🇪🇪 Estonia: Zero tax on retained earnings
Estonia continues to top the International Tax Competitiveness Index — and for good reason. Its transparent, digital-first tax system is built to encourage reinvestment.
Key highlights:
- No tax on retained profits: 0% tax until profits are distributed.
- Corporate tax on distributions: 22% when profits are paid out.
- Double-tax network: 60+ treaties with major economies.
- No withholding tax on dividends for most corporate shareholders.
- EU access: As an EU member, Estonia offers regulatory stability and passporting benefits.
Best for: Fintech, SaaS, IT, and remote-first businesses — especially those using the e-Residency program.
Crypto stance: One of Europe’s most crypto-friendly regimes, aligned with EU MiCA standards and AML rules.
🇨🇾 Cyprus: Low tax rates and EU market access
Cyprus blends Mediterranean ease with modern business infrastructure, offering one of the lowest corporate tax rates in the EU and wide treaty coverage.
Key highlights:
- Corporate tax: 12.5%.
- Dividend income: Usually exempt from corporate tax.
- No withholding tax on dividends paid to non-resident companies (with limited exceptions).
- Capital gains exemptions: Applies only to Cyprus-based property; global holdings are exempt.
- Double-tax treaties: Agreements with about 70 jurisdictions.
Best for: Investment holding, finance, and real-estate groups.
Crypto stance: Supportive of digital-asset companies, with MiCA-aligned oversight.
🇲🇹 Malta: Refundable credits that reduce tax to near zero
Malta offers an innovative refundable tax system that can bring the effective tax rate close to 0% for qualifying structures.
Key highlights:
- Corporate tax: 35% headline rate, but partial refunds reduce this dramatically.
- Participation exemption: Eliminates tax on qualifying shareholdings and dividends.
- Double-tax treaties: Nearly 80 worldwide.
- No withholding tax: On dividends, interest, or royalties.
Best for: Technology, iGaming, fintech, and digital-service groups.
Crypto stance: Known as “Blockchain Island,” Malta offers a comprehensive licensing system aligned with EU MiCA.
🇦🇪 United Arab Emirates: Zero tax in free zones
The UAE’s network of free zones remains one of the most attractive options for foreign holding companies in 2025.
Key highlights:
- Corporate tax: 9% nationwide, but 0% in most free zones if local economic-substance rules are met.
- No withholding taxes: On dividends, royalties, or interest.
- Double-tax treaties: 140+ agreements globally.
- Strategic location: Gateway between Europe, Asia, and Africa.
Best for: Trade, logistics, family offices, and global investment holding.
Crypto stance: Highly progressive, with the Virtual Assets Regulatory Authority (VARA) now offering a unified licensing framework.
Choosing your jurisdiction wisely
Before you incorporate, consider:
✅ Tax regime fit: Ensure local tax rules align with your profit distribution strategy.
✅ Substance requirements: Many jurisdictions demand local presence or directors.
✅ Treaty coverage: Prioritize locations with treaties covering your target countries.
✅ Banking access: Pick jurisdictions with stable, well-connected financial systems.
✅ Regulatory consistency: Avoid regions prone to rapid legal change.
The ideal jurisdiction isn’t always the cheapest it’s the one that supports your growth, compliance, and reputation long-term.
How Easykonto supports international holding companies
Managing entities across borders means dealing with multiple banks, currencies, and compliance layers.
Easykonto simplifies global finance for holding-company groups with:
- Multi-currency business accounts (30+ currencies)
- Fast, compliant onboarding for EU and international structures
- Transparent FX conversions and real-time rates
- Consolidated dashboards for subsidiaries and intercompany accounts
- Built-in KYC/KYB compliance and secure payments
Whether your group is based in London, Tallinn, Limassol, or Dubai — Easykonto keeps your international structure connected and efficient.