VAT Registration in UAE 2026: Guide to Documents Required and Deadlines
Published Date:
Jan 12, 2026
Last Updated:
Jan 12, 2026
VAT registration is a crucial step for businesses looking to operate legally and transparently. It ensures compliance with tax regulations while allowing businesses to collect and reclaim Value Added Tax on eligible goods and services. Understanding when and how to register for VAT helps avoid penalties and supports smooth financial operations.
This blog will provide a comprehensive guide to how it works, eligibility, requirements, documentation, and a step-by-step application process for 2026.
Overview
Companies registering for VAT in the UAE should complete an online application process on the official website of the Federal Taxation Authority (FTA). You will have to provide information about your company, its related activities, and other financial data as requested. Then the FTA verification and processing will begin.
Once the formal procedure is completed, you will receive a VAT registration certificate with a tax registration number. Businesses are then obliged to comply with the FTA regulations, which include charging VAT on taxable supplies, submitting VAT returns, and issuing VAT invoices.
For businesses in the UAE, VAT registration is required if they meet the specified threshold criteria. Complying with them is critical to efficient operations and helps avoid issues with the tax authorities.
Who needs to register for VAT in the UAE?
The primary factor determining VAT eligibility in the UAE is a company’s overall income, which is currently set at the threshold of AED 375,000. Regardless of when your business reaches this limit, it must register or file for an exemption, whichever applies. Businesses assessing this threshold should include all taxable supplies and imports, including zero-rated supplies, while excluding exempt and out-of-scope transactions.
VAT taxation in brief
Standard VAT rate (5%): This rate applies to most goods and services and requires businesses to charge and remit 5% VAT.
Zero-rated supplies: With a 0% tax rate, businesses can recover input VAT on related expenses. It is important to remember that zero-rated supplies are included in the registration threshold calculation.
Exempt supplies: Under this, no VAT is charged, but input VAT cannot be recovered. They are also not taken into account for VAT registration threshold purposes.
Out-of-scope supplies: Transactions beyond the UAE VAT jurisdiction are not subject to VAT.
What are VAT registration categories in the UAE?
VAT registration in the UAE can be classified into the following categories:
Obligatory VAT Registration
The mandatory VAT registration threshold is AED 375,000. This means that when a company reaches this limit on its overall turnover or income, it must register for VAT. It is highly recommended that businesses forecast their income patterns and anticipate when they will meet the specified criteria, so they can register in advance to avoid fines or penalties.
Voluntary VAT Registration
Business owners also have the option of voluntarily applying for a VAT registration if they feel it will prove beneficial for the company’s operations, and if the overall amount of its turnover goes beyond the voluntary VAT registration limit established at AED 187,500.
Exception from VAT Registration
Companies are not required to register for VAT if the total value of their supplies is below the voluntary VAT registration limit of AED 187,500. Another exception to the supply of goods and services that fall under 0% VAT.
If a company supplies goods and services outside the UAE and GCC VAT-implementation countries and the income exceeds AED 375,000, it may apply for an exception. If the FTA permits it, there is no requirement to register for VAT. If not, you will need to file VAT quarterly, but it will be 0%-rated.
The exception terms for VAT are often relevant for businesses making “wholly-zero-rated supplies, and the FTA evaluates the supply structure to verify conditions. The decision to grant an exception lies with the FTA and is not an automatic right. So, if businesses fail to obtain exception they will have to continue with the standard VAT registration procedure, even if it is 0%-rated.
What Are the Document Requirements for VAT Registration?
For a successful VAT registration process in the UAE, business owners should compile and submit a list of documents, which are as follows:
Passport and Emirates ID of the business owner(s)
Trade license or commercial registration certificate
Incorporation certificate (for corporate entities)
Details of business activities and expected turnover
Financial statements and records, including taxable supplies
Contact information for shareholders and authorized representatives (email & UAE mobile number)
Details of authorized signatories
Bank account information in detail
Tenancy contract, if the business maintains a physical office
Agreements or contracts with major suppliers or customers
Customs authority codes and import/export documents, such as import declarations
Any other formal documents relevant to the company’s operations and activities
What are the deadlines for VAT Registration in the UAE?
The exact VAT registration deadline depends on when the company reaches its overall turnover limit of AED 375,000. The FTA keeps its portal open for online registration, so businesses can prepare their applications in advance based on projected income patterns.
The current VAT regulations in the UAE require businesses to register once they meet the taxable turnover threshold set by the FTA for voluntary or mandatory registration.
For non-residents engaging in taxable supplies in the country, registration is required before the first taxable supply is made. This should be subject to the condition that no other person is obliged to pay the tax.
The deadlines for obligatory and voluntary VAT registration are as follows:
Obligatory VAT registration is to be done within a 30-day period after reaching the AED 375,000 threshold.
Voluntary VAT registration must be completed within 30 days of reaching the AED 187,000 threshold.
Penalties for late VAT registration
Non-compliance with VAT registration regulations in the UAE can result in costly fines. Any business that fails to register within 30 days of reaching the eligible income threshold will be subject to a penalty of AED 10,000. Failure to meet the deregistration deadline incurs AED 1,000 per month, capped at AED 10,000.
Besides this, the late VAT payments can result in escalating fines as follows:
An immediate 2% of the unpaid amount
An additional 4% after seven days
A daily penalty of 1% after one month (which can reach up to 300% of the original tax owed)
Please be informed that the FTA regularly updates its administrative fines. It is recommended to visit the official website and check for the latest changes in the "Administrative Penalties" section.
How to calculate turnover for VAT registration?
The turnover calculations for VAT registration in the UAE are based on the total value of taxable transactions a company has carried out in the next 30 days or in the previous 12-month period, whichever applies. While calculating, it is important to take the following factors into consideration:
Taxable supplies
This takes into account the total amount of goods and services a company sells that are subject to VAT at the standard or zero rate. It excludes supplies outside the VAT scope.
Exempt supplies
This covers the supplies that are exempt from VAT and those that do not need to be taken into consideration when calculating the VAT threshold.
What are the steps to apply for VAT registration?
Here are the steps to apply for VAT registration according to the UAE regulations:
To start, check your eligibility for mandatory or voluntary VAT registration.
Prepare all the necessary documents required for the process. Sometimes, the FTA may request additional documents based on the type of business activity and structure.
Visit the FTA portal on their official website and create an e-Service account. Then log in, provide all necessary details, and upload the required documents in the 8 sections of the form.
Submit the application for FTA review. Sometimes you may be required to provide additional information or documentation to ensure accurate processing by officials.
Once your application is reviewed and approved, you will receive a VAT registration certificate from the FTA along with your tax registration number (TRN).
What Is VAT Group Registration in the UAE?
VAT group registration is available to companies that meet predefined conditions, allowing them to operate as a single taxable entity. This allows them to benefit from simplified compliance with VAT regulations, reducing the overall administrative burden, and potentially optimising VAT recovery.
The two requirements that qualify a business for group VAT registration are as follows:
The companies considered a group must be related parties and have close organisational, economic, and financial ties. This means they fall under common control or ownership, or one member controls the others.
Group members must be established in the UAE or have a place of residence in the UAE.
The representative member of the group should submit the necessary application to the FTA for approval. It should include accurate details for all group members and their full consent to join the VAT group.
It is important to note that the FTA has the right to refuse an application if it believes the application is being misused to avoid tax obligations or would significantly distort the tax burden.
If the application is approved, the VAT group members will be treated by the FTA as a single taxable entity. Members can also be added or removed after approval, but this should be followed with a separate request and approval by the FTA.
What Should Businesses Do After VAT Registration to Stay Compliant?
Ensure VAT is charged correctly by applying 5% to taxable supplies and reflecting it on invoices.
Maintain accurate bookkeeping records to calculate VAT without errors. It is advised to keep records for at least 5 years.
Always be ahead of VAT return and payment deadlines.
Verify that all tax invoices produced include all essential details and information required by the FTA.
Check your company's eligibility to register for corporate tax based on operational criteria and UAE residency.
Regularly check on the FTA’s website for any new updates or changes to the VAT registration regulations.
Get professional help from financial advisors and certified consultants to help navigate VAT registration mandates, avoid fines, legal issues, and free up time for business growth.
How Can We Help You Navigate UAE VAT Registration with Confidence?
We provide comprehensive business setup support in the UAE, including company formation in the Dubai World Trade Centre (DWTC), ensuring VAT registration is managed efficiently and in line with Federal Tax Authority (FTA) requirements. Our specialists support you from the initial eligibility review through to application submission, helping you meet regulatory expectations from the outset.
You will receive clear guidance on VAT thresholds, required documentation, and compliance responsibilities, reducing the risk of delays, errors, or penalties. By structuring your business correctly from the start, we help create a strong foundation for long-term compliance.
Whether you are establishing a new DWTC entity or registering an existing business, our tailored support allows you to move forward with clarity.
Key Takeaways
Understanding VAT registration in the UAE is essential for businesses to remain compliant and avoid penalties. Staying aware of turnover thresholds, maintaining organised records, and knowing the different VAT categories can simplify the registration process and optimise tax management. Meeting deadlines and keeping up with regulatory updates ensures smooth operations, while professional guidance can help businesses navigate the process efficiently and reduce administrative burdens.
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