UAE VAT (Value Added Tax) was introduced on 1 January 2018. Here is the complete 2025 guide to UAE VAT registration requirements and process.
UAE VAT Registration Thresholds
Mandatory registration: if your annual taxable turnover exceeds AED 375,000, you MUST register for VAT within 30 days. Voluntary registration: if your annual taxable turnover is between AED 187,500 and AED 375,000, you may voluntarily register for VAT. Below AED 187,500: you cannot register for VAT (unless you are in a business that is exempt from this threshold — rare exceptions apply).
What Counts Toward the VAT Threshold?
Taxable supplies for the threshold calculation include: standard-rated supplies (5%), zero-rated supplies (0%), and imported taxable services and goods. Does NOT include: exempt supplies (e.g., certain financial services, bare land, residential property) and out-of-scope supplies. International services: if you provide services to overseas clients and those services are zero-rated exports: these count toward your AED 375,000 threshold. Many UAE free zone companies providing international services should check whether they are close to or above the threshold even if they charge no UAE VAT.
UAE VAT Registration Process
Apply via the FTA EmaraTax portal (emaratax.gov.ae): Step 1 — create an EmaraTax account (using UAE Pass or email). Step 2 — complete the VAT registration form (business details, activity, financial turnover history, bank account). Step 3 — submit required documents: trade licence, passport, Emirates ID, financial statements or bank statements showing turnover. Step 4 — FTA reviews and issues VAT registration certificate (TRN — Tax Registration Number). Timeline: 5-20 business days. Cost: no government fee for VAT registration.