What it means
Value Added Tax — a 5% tax on most goods and services in the UAE. Businesses register once taxable supplies pass AED 375,000 a year.
Tax & Business
VAT
Also: Value Added TaxValue Added Tax — a 5% tax on most goods and services in the UAE. Businesses register once taxable supplies pass AED 375,000 a year.
CategoryTax & Business
Pro tip inside1 quick win
What “VAT” really means
The meaning, how it works in the UAE, and why it matters to your money.
How it works in the UAE
VAT is charged at 5% on most goods and services in the UAE. Registration is mandatory once taxable supplies pass AED 375,000 a year, and voluntary from AED 187,500.
Why it matters
Registered businesses charge VAT, reclaim VAT on costs and file regular returns.
PRO TIPTrack your rolling 12-month sales so you register on time.
Test yourself
Which of these best describes VAT? Tap an answer.
Read more about VAT
Guides that use this term — and a tool to put it into practice.
