UAE FTA VAT Voluntary Disclosure Reference 2026 — Correcting VAT Errors

UAE FTA VAT Voluntary Disclosure Reference 2026 — Correcting VAT Errors

UAE VAT registered businesses that make errors must submit a Voluntary Disclosure to the FTA. Here is the complete 2026 reference guide on the UAE VAT Voluntary Disclosure process.

What Is a UAE VAT Voluntary Disclosure?

• Voluntary Disclosure: A formal submission to the FTA disclosing an error or omission in a previously filed UAE VAT return
• Purpose: Correct past errors before the FTA discovers them during audit; reduces penalties

When Is Voluntary Disclosure Required?

• Under-declared VAT: If you discovered you under-declared output VAT or over-claimed input VAT
• Threshold for mandatory disclosure: If the error results in a VAT difference of AED 10,000 or more
• Below threshold: Errors below AED 10,000 can be corrected in the next VAT return

How to Submit Voluntary Disclosure

• Step 1: Log in to EmaraTax (tax.gov.ae)
• Step 2: Navigate to the relevant VAT return period
• Step 3: Submit Voluntary Disclosure form; state the error and corrected figures
• Step 4: Pay additional VAT due plus any penalties

Penalties for Voluntary Disclosure vs Audit Discovery

• Voluntary Disclosure penalty: Generally 5% of unpaid VAT per month; lower than if FTA discovers the error
• Audit discovery: Penalties up to 50% of unpaid VAT if FTA discovers error before voluntary disclosure
• Timing matters: Submit Voluntary Disclosure as soon as you discover an error to minimise penalties