VAT registration in the UAE — the right date, the right route
Registering late costs AED 10,000, and many businesses that sell mainly abroad don't realise they have crossed the threshold. We work out your registration date from your actual sales and handle the application on EmaraTax.
When registration is required
| Mandatory registration | Taxable supplies and imports above AED 375,000 over the past 12 months, or expected to exceed it in the next 30 days |
| Voluntary registration | Taxable supplies or expenses above AED 187,500 |
| Application deadline | Within 30 days of crossing the mandatory threshold |
| Late-registration penalty | AED 10,000 |
The common pain point: export sales
Zero-rated sales — for example services to clients outside the UAE — still count towards the AED 375,000 threshold. Consultancies, IT and digital businesses that bill only overseas clients often pass it without noticing. A business making only zero-rated supplies may apply for an exception from registration instead, but the application still has to be made on time. Our article on VAT registration for exporters of services explains the rules in detail.
How we help
- We review your invoices month by month to find the exact date the threshold was crossed and your effective registration date.
- We advise on registration or an exception, and on voluntary registration where it helps you recover VAT on costs.
- We prepare and submit the application on EmaraTax and answer any FTA queries until your Tax Registration Number is issued.
- With experience of cross-border services, we review the zero-rating position for overseas customers from the start.
- If the deadline has already passed, we help you file promptly and, where there are grounds, prepare a penalty reconsideration request.
What we need from you: trade licence, owners' passports and Emirates IDs, bank account details, and your sales invoices or a sales summary for the last 12 months.
Sources: Federal Decree-Law No. 8 of 2017 on VAT, as amended (Articles 13, 15 and 17); Cabinet Decision No. 52 of 2017 on the VAT Executive Regulation, as amended; Cabinet Decision No. 40 of 2017 on administrative penalties, as amended.
Frequently asked questions
Do zero-rated export sales count towards the threshold?
Yes. Zero-rated supplies are taxable supplies at 0% and count towards the AED 375,000 threshold. Exempt supplies do not.
Can I register voluntarily?
Yes, once taxable supplies or expenses exceed AED 187,500. Voluntary registration can let a business recover VAT on its costs, but it also brings quarterly returns, so we look at whether it makes sense for you.
What happens after registration?
You receive a Tax Registration Number, must issue tax invoices and file VAT returns — usually quarterly, by the 28th day after each period ends. Our VAT return packages cover this.
Ready to hand over your books and returns?
Tell us about your company and we'll send a fixed-fee proposal within one business day.