VAT Registration

VAT Registration Service registers a client for Value Added Taxes (VAT) with the Federal Tax Authority and procures a VAT certificate.

Value Added Tax or VAT, is a tax on the consumption or use of goods and services. A VAT of 5% is levied at the point of sale. Businesses collect and account for the tax on behalf of the government.

• Businesses may choose to register for VAT voluntarily if the supplies and imports or expenses are less than the mandatory threshold but exceed the voluntary threshold of AED 187,500 from the last 12 months or in the next 30 days. This latter opportunity to register voluntarily is designed to enable start-up businesses with no turnover to register for VAT.​

• There are two types of VAT Registration: Mandatory and Voluntary. Businesses must register for VAT with the Federal Tax Authority (FTA) 
if their taxable supplies and imports exceed the mandatory threshold of AED 375,000 from the last 12 months or in the next 30 days.