Who needs to register for VAT in the UAE?
Businesses must register for VAT if their taxable supplies and imports exceed AED 375,000 annually. Voluntary registration is available for those with taxable supplies or expenses above AED 187,500.
VAT registration requirements in the UAE are based on your business's annual turnover and activities.
Mandatory Registration
- Businesses with taxable supplies and imports exceeding AED 375,000 annually
- Must register within 30 days of exceeding the threshold
- Applies to both UAE residents and non-residents conducting business in the UAE
Voluntary Registration
- Available for businesses with taxable supplies or expenses above AED 187,500
- Beneficial for startups or smaller businesses wanting to reclaim input VAT
- Allows businesses to recover VAT paid on business expenses
Who Should Consider Registration
- Businesses approaching the mandatory threshold
- Companies with significant VAT-able expenses
- Businesses selling to VAT-registered customers
- Companies planning to scale operations
