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VAT

VAT Registration UAE

Once your taxable supplies cross AED 375,000, you have 30 days to register. Miss that window and the penalty is AED 10,000 — plus you owe VAT retroactively from the date you crossed the threshold.

When Is VAT Registration Mandatory?

Under Federal Decree-Law No. 8 of 2017, Articles 12-13, VAT registration is mandatory when a business's taxable supplies and imports exceed AED 375,000 over the previous 12 months, or are expected to exceed that amount in the next 30 days.

Business TypeVAT Registration Required?
Mainland LLC (supplies >AED 375K)Mandatory — within 30 days of crossing threshold
Free Zone Company (supplies >AED 375K)Mandatory — same threshold applies
Sole Establishment (supplies >AED 375K)Mandatory
Any business (supplies >AED 187,500)Voluntary registration available
Designated Zone operatorConditional — depends on activity type
Business expecting to cross thresholdCan register voluntarily before crossing

How We Handle Your VAT Registration

1

Threshold Assessment and Document Preparation

We calculate whether your turnover has crossed or is approaching the AED 375,000 mandatory threshold, or whether voluntary registration from AED 187,500 would benefit your business. We prepare the required documents: valid UAE trade licence, Emirates ID of authorised signatory, bank account details, and 12-month turnover evidence.

2

EmaraTax VAT Registration Submission

Our FTA-registered tax agents submit your VAT registration application through EmaraTax. We handle the FTA portal process end-to-end — including responding to any FTA queries or requests for additional documentation — so you never need to log in to the portal.

3

TRN Delivery and First Return Schedule

We deliver your Tax Registration Number (TRN) within 24 hours of FTA approval. We also provide your first VAT return due date, your tax period (monthly or quarterly), and a VAT compliance checklist so you know exactly what records to keep from day one.

Transparent Pricing — No Surprises

One-time fee. Includes threshold calculation, document preparation, EmaraTax submission, and TRN delivery.

Standard VAT Registration

AED 1,000 – 2,500

  • Threshold calculation and eligibility check
  • Document preparation and review
  • EmaraTax portal submission
  • FTA query handling
  • TRN delivery + first return date
  • VAT record-keeping checklist

Complex or Group Registration

AED 2,500 – 5,000

  • Everything in Standard
  • Multi-entity or group registration
  • Designated zone activity assessment
  • Voluntary registration analysis
  • First VAT return preparation

AED 10,000 penalty for late registration. Professional registration starts at AED 1,000. You do the math.

VAT Registration UAE — Common Questions

What is the VAT registration threshold in UAE?

Mandatory VAT registration is required when taxable supplies and imports exceed AED 375,000 over the previous 12 months, or when a business expects to exceed this amount within the next 30 days. Voluntary registration is available from AED 187,500. Once the mandatory threshold is crossed, you have exactly 30 days to apply — after which the AED 10,000 late registration penalty applies.

What is the penalty for late VAT registration in UAE?

The Federal Tax Authority imposes a fixed AED 10,000 penalty for late VAT registration under Federal Decree-Law No. 8 of 2017. Additionally, if you were required to charge VAT from the date you crossed the threshold, you become retroactively liable for all VAT that should have been collected — even if you did not charge your customers. This retroactive liability is often larger than the registration penalty itself.

How long does VAT registration take in UAE?

FTA typically approves VAT registration applications within 5 to 20 business days from the date of complete submission. Applications with incomplete documents or unclear business activity descriptions take longer and may be rejected. Our agents submit complete applications to avoid delays.

Do free zone companies need to register for VAT?

Yes. VAT registration applies to all UAE businesses, including free zone companies, once the AED 375,000 threshold is crossed. Companies operating in Designated Zones have specific rules for goods stored within the zone, but VAT registration obligations on services and non-designated zone transactions are the same as mainland companies.

Can I register for VAT before crossing the threshold?

Yes. Voluntary VAT registration is available to businesses with taxable supplies or expenses of at least AED 187,500 per year. Voluntary registration can benefit businesses that have significant input VAT on expenses they want to recover, or that trade primarily with VAT-registered customers who prefer to receive tax invoices.

Register in 48 Hours — Avoid AED 10,000 Fine

Tell us your approximate monthly turnover. We will confirm your threshold status and registration requirement in the same day — no cost.

Check My VAT Threshold →

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