VAT Registration in Dubai

The standard VAT rate in UAE is 5%, which is one of the lowest rates at the global level. Just like other countries, the UAE has also introduced exemptions for certain products and services. Our local agents can help you if you want to open a company in Dubai and register for VAT in UAE. With experience in company formation in Dubai, our specialists can help both foreign and local entrepreneurs interested in establishing a business presence in this city.

Dubai VAT registration for a foreign company

One should note that for UAE resident companies, the imposed VAT registration threshold is set at AED 375,000, while the voluntary registration threshold is AED 187,500. On the other hand, there is no registration threshold for non-resident businesses making supplies on which the VAT is required to be imposed. Below we review some of the formalities required for Dubai VAT registration for a foreign company:

• VAT registration in Dubai applies to both natural persons and legal persons with businesses in the UAE, even if there is no trade license obtained.
• A tax representative with residence in the UAE is needed to be able to register for VAT payment in Dubai. We can represent our clients with a power of attorney.
• Articles and Memorandum of Association, the company trade license, passport and/or national ID of the shareholders and details about the import and export activities (if any) are among the necessary documents and requirements for VAT registration in Dubai.
• Information about the company’s bank account is also required.
• Where appropriate, the income statement for the last 12 months will also be presented.
• Some online forms with information about the company and its activities in Dubai will also be filled out.
• The Federal Tax Authority (FTA) will then verify the legal documents and issue the VAT number and TRN (Tax Registration Number) Certificate.

We remind you of the support of our local agents for Dubai VAT registration for a foreign company in order to benefit from a quick and simple process. On the other hand, you can also ask for VAT registration in any other emirate of UAE.

Entrepreneurs from abroad who want to open a business in Dubai can collaborate with one of our local agents. They can take care of the formalities and documents, mentioning at the same time that the incorporation time is approximately three weeks, during which the required formalities will be respected.

VAT registration in Dubai for local companies

The government has made important progress in clarifying and helping those who need to register for this tax in the Emirate. VAT registrationin Dubai is optional for new companies, however, it can become mandatory under specific conditions. With respect to the local entities required to apply for VAT registration in Dubai, we mention:

1. natural persons and companies making VAT-taxable supplies in Dubai can register voluntarily for VAT;
2. natural persons and legal entities importing goods subject to the VAT in Dubai can also register optionally for VAT;
3. companies importing goods exceeding AED 187,500 per year can choose to register for VAT;
4. companies selling and/or importing goods and services exceeding AED 375,000 per year are required to register for this tax.

Dubai companies registered for VAT will impose and collect the tax from the final consumer and will pay it to the government.

What are the requirements for VAT registration in the UAE?

One of the most important requisites to meet when applying for a VAT number in Dubai is to have a tax identification number. This is obtained together with the certificate of incorporation and is issued by the Trade Register in Dubai. Based on the tax identification number, a company will be issued a VAT certificate.

There are several documents that need to be prepared when registering for VAT in Dubai. Among these are:

• the company’s business license (copy after the trade or commercial license);
• copies after the passport of the owner and other shareholders in the case of companies;
• the Memorandum and Articles of Association of the company;
• information about the representative of the company and contact information;
• proof of the registered address of the company in the UAE;
• information about the corporate bank account (IBAN included);
• an income statement for the last 12 months (where available);
• an estimation of the expected revenue, turnover, and expenses for the following 30 days after the VAT registration;
• information about the import-export activities of the company (where applicable);
• the company’s customs code and a copy of the Dubai Customs Code Certificate (where available);
• information about the Gulf Cooperation Council countries in which the company trades;
• a detailed description of the company’s business experience for the last five years (where available);
• information on whether the company will be part of a tax group;
• copies after the identification papers with the necessary visas in the case of natural persons.

Even if VAT registration in the UAE can be completed online through the Dubai Government’s online portal, due to the extensive list of documents to be filed and the requirement of creating an online account, the procedure can be rather difficult for business owners. Our specialists can help with this procedure and also with company incorporation in Dubai.

You can read about VAT registration in Dubai in the scheme below:

Content of the VAT registration form

As mentioned above, there is a standard VAT registration form that you must fill in with some essential data, among which we list:

• the name of the applicant, respectively, of the representative of the company to be registered for VAT payment in Dubai;
• business performed in Dubai;
• contact details of the company and the representative of the firm;
• details of the bank account used by the company;
• information about the products and services offered in order to choose the required VAT category.

Once these sections are completed, review the information provided to ensure that everything is correct. Next is submission and approval, after which the tax authorities will check the documents. One of our company formation specialists in Dubai will be at your disposal with specialized help for completing the necessary documents for VAT registration in Dubai.

VAT accounting requirements

All companies registered for VAT in Dubai must comply with specific accounting procedures, among which is filing tax returns within the due period of time. This period is assigned by the tax authorities in Dubai.

Here are the main VAT accounting requirements:

• Dubai companies have 28 days to file their VAT returns after the end of the tax period.
• Failing to file these returns will attract fines between 10,000 and 50,000 AED.
• Businesses with an annual turnover above 150 million AED are required to register for VAT.
• Companies must impose a 5% VAT rate on most of the goods and services supplied in Dubai.

Those interested in opening a Dubai company and registering it for VAT can rely on our local agents.

Local agent for VAT registration in Dubai

Foreign investors seeking to register for VAT in Dubai are required to appoint a local representative, and our consultants can act on their behalf when dealing with the authorities. We can also handle various accounting matters of their companies in Dubai or in any free zone. We can also assist in registering a business in any Dubai free zone.

How is the VAT registrationdonein 2026?

VAT registrationin Dubai demands a strong knowledge of local tax legislation and procedures, not forgetting the appropriate language skills. Any deviation from these fundamental prerequisites will lead to many applications getting rejected. To minimize the issues with registration, many businesses opt to engage VAT services through specialists who provide service through a dedicated account manager to assist you with the entire registration and compliance process.

Our team of expert VAT advisors provides multilingual support to help you obtain a VAT registration number in a quick time:

• complimentary assessment of VAT registration obligations,
• advice on registration dates and types,
• guidance on the documentation and information required,
• translation services where required,
• review of all relevant registration material,
• preparation and submission of all application forms,
• registration on online submission portals,
• managing all correspondence with the tax authorities.

Business owners in the UAE cannot have more than one Tax Registration Number or TRN, unless it is prescribed in the UAE Executive Regulation. Starting from this point, owning more than just one branch does not mean applying for more than just one TRN when registering for VAT. The video below is an overview of the introduction of the VAT in Dubai:

How can you know if the VAT registration has been accepted?

The UAE, the VAT registration platform allows accessing the status of the application for VAT registration in Dubai. If it is pending, it means that the form has been sent and received by FTA, and the authorities will check the information. The suspended status means that the VAT registration application has been suspended, but the TRN has been issued. Rejected applications by the FTA often imply the lack of necessary documents and/or their non-compliant completion.

Other VAT requirements

Not all companies supplying goods and services must register for VAT, but only those registering incomes above AED 375,000/ year. Also, VAT registration is voluntary for companies with incomes below AED 187,500/ year. The main advantage of VAT registration is that companies can be refunded for the amount paid from the collection of the new tax following the submission of the tax returns. VAT returns will be filed electronically at the end of the taxable period or on a quarterly basis.

The taxable periods are:

• monthly for companies with an annual income of over AED 150 million;
• quarterly for companies with an annual income below AED 150 million.

It should be noted that non-resident companies or individuals with economic activities in the UAE are also required to register for VAT here. All VAT invoices must be kept for a period of five years by all VAT taxpayers.

VAT exemptions in the UAE

The following goods and services benefit from a 0% VAT rate:

• exports;
• international transportation services;
• aircraft and sea transportation services;
• investments in precious materials;
• the supply of residential properties;
• education services;
• healthcare services.

In order to collect the VAT, Dubai companies will be required to register with the tax authorities.

Penalties for VAT offences in Dubai

It is important to know that the tax authorities in Dubai may impose fines for any VAT violation rules and/or laws. According to Federal Law No.7 of 2017, these are some of the penalties imposed:

• AED 15,000 is the fine for not displaying the price list in the business place in Dubai.
• AED 5,000 for each tax invoice or alternative document is imposed if the business owner does not issue a tax invoice for goods and/or services sold.
• AED 2,500 is the fine imposed for not notifying the federal tax authority of the tax charge based on the margin.
• If the company is found to be implicated in tax evasion in Dubai, around 300% of the avoided tax is imposed as a penalty.

VAT updates in Dubai in 2026

Here are some important VAT updates to keep in mind in 2026 if you have a registered company here or are planning to create one:

• Starting from 2026, companies in Dubai will no longer be required to issue self-tax invoices for reverse-charge transactions. In exchange, the authorities will solicit import documents, contracts, and supplier invoices for various types of audits.
• A 5-year period has been introduced to claim VAT refunds. Company owners who did not do so in the 2018-2020 period still have time until the end of 2026.
• An administrative penalty regulatory scheme for VAT & excise tax infringements for companies in Dubai is to be implemented.
• The Federal Tax Authority (FTA) can now refuse input tax deductions if a transaction was discovered to be connected to tax evasion, regardless of whether the company in question was directly implicated or not.

Why choose our services in Dubai?

Our specialists in Dubai provide:

• in-depth knowledge of the VAT legislation,
• single point of contact for all jurisdictions,
• global presence,
• consistency in process,
• strong credentials,
• flexibility in services,
• personalized engagement,
• multilingual team,
• cost-effective solutions.

All VAT certificates issued in the UAE come with a specific identification number. This identification number is important for all the tasks linked to the VAT payment in the UAE. More about the procedures for obtaining the VAT tax ID can be discussed with one of our local representatives.

Interested in immigration to Dubai and looking for assistance? You can rely on the support of our local team of agents. Plus, if you want to open a business in Dubai, you can contact our experts and get details about the company incorporation in Dubai. You can also count on us if you want to register for VAT in Dubai.