VAT Registration in the UAE: Who Must Register and When

VAT registration in the UAE depends on how much taxable revenue your business makes. This guide explains the mandatory and voluntary thresholds and what to do next.

Mandatory registration

You must register for VAT if the total value of your taxable supplies and imports exceeded AED 375,000 in the previous 12 months, or you expect it to exceed that amount in the next 30 days. You must apply to the Federal Tax Authority (FTA) within 30 days of reaching the threshold.

Voluntary registration

You may register voluntarily if your taxable supplies or your taxable expenses exceed AED 187,500 in the previous 12 months (or are expected to in the next 30 days). Many start-ups register voluntarily so they can recover VAT paid on their costs.

How to register

1. Create an account on the FTA’s EmaraTax portal
2. Prepare your trade licence, owner IDs, contact details and bank details
3. Submit the VAT registration application
4. Receive your Tax Registration Number (TRN) and certificate

Once registered, add your TRN to your invoices — see how to create a VAT invoice — and start charging 5% VAT on taxable supplies.

Penalties for late registration

Missing the registration deadline can lead to an administrative penalty, so don’t wait until the last week. Confirm the current penalty amounts on the FTA website.

Frequently asked questions

What is the UAE VAT rate?

The standard rate is 5%.

Do I need VAT registration if I only sell abroad?

Exports of goods and some services can be zero-rated, but they still count as taxable supplies towards the threshold. Ask a tax agent about your case.

After registering, what are my obligations?

Charge VAT, issue tax invoices, keep records for five years, and file VAT returns on time.