VAT registration is one of the most important compliance steps for businesses in the United Arab Emirates. Whether you’re launching a new business, expanding operations, or crossing the taxable turnover threshold, understanding how to register VAT in the UAE can save you time, prevent penalties, and ensure you stay fully compliant with Federal Tax Authority (FTA) regulations.
In this guide, we’ll walk through the complete VAT Registration UAE process explain who needs to register, what documents you must prepare, and provide a clear, step-by-step breakdown of the FTA online portal process.
If you’re looking for expert support, ALSAQR Accounting & Tax Consultancy offers seamless VAT registration and compliance services to make the entire process smooth and error-free.
What Is VAT Registration in UAE?
Value Added Tax (VAT) was introduced in the UAE on 1 January 2018 at a standard rate of 5%. Any business that meets the registration requirements must register with the Federal Tax Authority and receive a Tax Registration Number (TRN).
VAT registration enables businesses to:
- Charge VAT on sales (output tax)
- Reclaim VAT on purchases (input tax)
- File VAT returns
- Stay legally compliant
Who Must Register for VAT in UAE?
Understanding the eligibility criteria is the first step. There are two categories of VAT registration:
1. Mandatory VAT Registration (Required)
A business must register for VAT if:
- Annual turnover exceeds AED 375,000
This applies to:
- Mainland companies
- Free zone companies
- Freelancers
- E-commerce sellers
- Professionals offering taxable services
2. Voluntary VAT Registration (Optional)
A business may register voluntarily if:
- Annual turnover exceeds AED 187,500
- Annual expenses exceed AED 187,500
Voluntary registration is useful for startups that expect rapid growth or want to reclaim input VAT.
Documents Required for VAT Registration in UAE
Before starting the online application, prepare the following documents:
Business Documents
- Trade license
- Memorandum of Association (if applicable)
- Certificate of incorporation (if applicable)
Financial Documents
- Bank account details
- Sales and expense records (past 12 months)
- Financial statements
Legal & Identity Documents
- Emirates ID & passport copy of owners
- Proof of business address
- Authorized signatory confirmation
Having these ready will make the registration process much easier.
How to Register VAT in UAE – Step-by-Step Guide
The entire process is completed online via the FTA eServices Portal.
Step 1: Create an FTA eServices Account
Visit the official portal:
Step 2: Log In and Select VAT Registration
Once logged in, click “Register for VAT” on your dashboard
Step 3: Fill in Business Details
You’ll need to enter:
- Legal entity name
- Business activities
- Trade license information
- Ownership structure
Step 4: Provide Contact Details
Include:
- Business address
- Phone number
Make sure these match government records.
Step 5: Declare Turnover and Financial Records
Provide:
- Turnover for past 12 months
- Expected turnover for next 30 days
- Expense records if applying voluntarily
Step 6: Upload Required Documents
Attach all necessary documents in PDF format.
Step 7: Add Authorized Signatory
This must match the person applying.
Step 8: Review and Submit
Double-check all details for accuracy before submitting.
FTA VAT Registration Approval Timeline
Once submitted, the FTA typically responds within:
- 3–7 working days
If approved, you will receive:
- VAT Registration Certificate
- Tax Registration Number (TRN)
If additional information is required, you will receive an email notification.
What to Do After VAT Registration
VAT registration isn’t the final step—your business now has compliance obligations.
1. Update Accounting Software
Your system must generate VAT-compliant invoices.
2. Charge VAT on Sales
Apply 5% VAT to all taxable supplies.
3. Maintain VAT Records
Keep all invoices, receipts, and accounting data for 5 years.
4. File VAT Returns
Depending on your business size:
- Monthly
- Quarterly
VAT returns must be filed through the FTA website.
5. Pay VAT on Time
Delays may result in penalties.
Common Mistakes to Avoid During VAT Registration
Avoiding these mistakes can save time and prevent rejection:
- Incorrect business activity selection
- Wrong turnover calculation
- Missing or unclear documents
- Using outdated trade license information
- Incorrect authorized signatory details
VAT returns must be filed through the FTA website.
Why Choose ALSAQR for VAT Registration in UAE?
Choosing the right tax consultant can save you hours of paperwork and potential penalties.
Here’s why businesses trust ALSAQR VAT Consultancy:
- Expert VAT consultants with years of local experience
- End-to-end support from registration to approvals
- Accurate documentation and review
- Ongoing VAT compliance support
- Affordable and transparent pricing
- Fast processing and zero errors
Frequently Asked Questions (FAQ)
The mandatory threshold is ED 375,000 in taxable turnover over the past 12 months.
The approval process usually takes 3–7 working days after submission.
Yes, freelancers must register if they cross the mandatory threshold.
Yes, if your turnover or expenses exceed AED 187,500.
The VAT certificate is issued digitally through your FTA account.
Final Thoughts
VAT registration in the UAE may seem overwhelming at first, but with the right guidance, it becomes straightforward and manageable. Whether you’re a small business, freelancer, or a growing company, registering for VAT is a crucial compliance step that can protect your operations and enhance your credibility.
If you want the process handled professionally—without errors—ALSAQR VAT Consultancy is here to help every step of the way.
