Value Added Tax In UAE

Value Added Tax (VAT) is a levy added on to most goods and services. It is collected from customers by vendors and paid over to the Government. Accordingly, a business enterprise will pay VAT on the goods and services it buys (on the purchase price) and collect the VAT from its customer on the goods and services it sells (on the sales price, which might also include the value for any value addition undertaken and profit on the goods before selling). The difference between the amount which the business enterprise has paid and collected is to be paid over to the government.

Percentage of VAT

Standard rate of 5% will be imposed on the supply of goods and services.

Mandatory Registration

Annual turnover is more than AED 375,000 in the last 12 months (a must registration)

Voluntary Registration

Annual turnover/expenses are less than AED 187,500 in the last 12 months (optional)


VAT is applicable / levied in UAE from January 01, 2018 being its implementation date

How VAT Will Work

VAT Application on Business

Standard Rated Supplies

Commercial property
Retail Supplies
Car Rentals

Zero-Rated Supplies

Certain Export Sales
Telecom Service Exports
Certain Transpor
International Transportation
Investments Gold Silver/Platinum

Exempt Supplies

Financial Services
Local Passenger Transport

Apply For Registration

VAT Registration Requirements

  • Email Address (For Signup)
  • Trade License
  • Certificate of Incorporation
  • Partnership Agreement
  • Articles of Association (Incase of Partnership)
  • Bank Account Maintenance Certificate
  • Audited or Managemet Financials (Prior Year)
  • Custom Registration Information (if registered with any customs department in UAE)
  • Details of Authorized Signatory
  • Proof of Authorization

Select a file to upload

Services We Offer

  • We can perform assessments of VAT’s impact on your business,
  • We can help advise you on structuring your business in the most tax-efficient manner with respect to the recovery of input VAT,
  • We can help draft sample invoices in accordance with FTA requirements for use in your business,
  • We can advise you on how to amend any contracts with suppliers / customers as appropriate,
  • We can help you implement appropriate accounting systems and tailor your record keeping to meet the requirements,
  • We can assist you with registering and filing returns,
  • We can help you with any appeals or assessments from the FTA, and correct any mistakes on your returns and apply to the FTA.