VAT Consultancy UAE
UAE VAT has dozens of exceptions — zero-rated supplies, exempt transactions, designated zone rules, reverse charge on imports. Getting the treatment wrong on a single transaction type costs you on every transaction of that type, every quarter.
When Do You Need VAT Consultancy?
Consultancy is needed when a specific transaction, FTA correspondence, or business change creates a VAT question that standard compliance work cannot answer.
| Situation | The VAT Question |
|---|---|
| Real estate transaction | Is this sale standard-rated, zero-rated, or exempt? |
| Export of goods | Does zero-rating apply and what evidence do I need? |
| Import with a foreign supplier | Do I apply reverse charge VAT? |
| Business with mixed activities | How do I apportion input VAT? |
| FTA audit or query letter | What does this mean and how do I respond? |
| Voluntary Disclosure needed | How do I correct a past error without maximum penalty? |
How VAT Consultancy Works
Document and Transaction Review
You send us the specific transaction, contract, or FTA correspondence you need advice on. We review the documentation, identify the relevant VAT law provisions (Federal Decree-Law No. 8 of 2017 and its Executive Regulations), and prepare a considered professional opinion.
Consultation and Advice Delivery
We deliver our advice in two formats: a consultation call to explain the reasoning in plain language, and a written summary with the specific legal references supporting our position. You will know exactly which law article applies and why.
Implementation Guidance
Where applicable, we provide the accounting entries required, the correct treatment on your VAT return, and any documentation you must retain as evidence of the correct VAT treatment. We do not leave you with advice and no implementation path.
Transparent Pricing — No Surprises
Ad-hoc or monthly retainer. Quoted before any billable work begins.
Ad Hoc VAT Advice
AED 500 – 1,000 per hour
- ✓Pre-call document review
- ✓Consultation call
- ✓Written advice with legal references
- ✓Implementation guidance
Monthly VAT Advisory Retainer
AED 1,500 – 3,500 per month
- ✓Up to 3 hours consultation per month
- ✓Unlimited email questions
- ✓FTA regulatory updates
- ✓Voluntary disclosure support
- ✓Priority response
VAT Consultancy UAE — Common Questions
What is zero-rated VAT and when does it apply in UAE?
Zero-rated supplies are taxable at 0% VAT — meaning you charge no VAT to the customer but can still recover input VAT on your related expenses. In UAE, zero-rating applies to: exports of goods outside the GCC, international transport services, supply of certain educational services, supply of certain healthcare services, crude oil and natural gas, and the first supply of residential buildings.
What is the difference between zero-rated and exempt in UAE VAT?
Both result in 0% VAT charged to the customer. The critical difference is input VAT recovery: for zero-rated supplies you can recover all input VAT on related expenses. For exempt supplies, you cannot recover any input VAT. Exempt supplies in UAE include bare land sales, local passenger transport, financial services, and residential property rentals.
What is reverse charge VAT and when do I apply it?
Reverse charge VAT applies when you receive services from a foreign (non-UAE) supplier who is not registered for UAE VAT. Instead of the supplier charging you VAT, you calculate and report the VAT yourself as both output tax (Box 3 of the return) and input tax (Box 10) — meaning the net cash impact is zero for fully taxable businesses, but the amount must still be reported.
Can I recover input VAT on employee entertainment?
No. Input VAT on entertainment expenses — meals, hotel stays, tickets, and similar expenses for the benefit of employees or clients — is specifically blocked under UAE VAT Executive Regulations. This applies even when the entertainment has a genuine business purpose. Motor vehicles purchased for personal use by employees are also blocked.
How do I correct a VAT error from a previous return?
VAT errors from previous periods must be corrected through a Voluntary Disclosure on EmaraTax. Under Cabinet Decision No. 129 of 2025, if you self-correct before FTA discovers the error, the penalty is AED 500 for incorrect returns. If the FTA discovers the error first, the penalty is 15% of the underpaid tax plus 1% per month from the original due date. Self-correction is always cheaper.
Get VAT Clarity in 24 Hours
Describe your VAT question. We confirm whether it requires a paid consultation or whether we can answer it quickly — at no charge.
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