Tax · Free tool
UAE VAT Calculator
Add 5% VAT to a price, take it out of a VAT-inclusive amount, and check whether your business needs to register.
Total including VAT
AED 1,050.00
- Net amount
- AED 1,000.00
- VAT (5%)
- AED 50.00
- Gross amount
- AED 1,050.00
Do you need to register for VAT?
Enter your turnover to check the AED 375,000 mandatory and AED 187,500 voluntary thresholds.
Applies the standard 5% rate. Zero-rated and exempt supplies, reverse charge and designated zones follow different rules; confirm with the Federal Tax Authority or a tax agent.
How it’s calculated
The standard rate of VAT in the UAE is 5% (Federal Decree-Law No. 8 of 2017). To add VAT, multiply the net amount by 1.05. To find the VAT inside a VAT-inclusive amount, divide it by 1.05 to get the net price; the difference is the VAT, which is 1/21 of the gross.
Some supplies are zero-rated (such as exports, international transport and certain education and healthcare) and some are exempt (such as residential rent, local passenger transport, bare land and some financial services). This calculator applies the standard 5%.
A business must register for VAT when its taxable supplies and imports exceed AED 375,000 in the previous 12 months, or are expected to in the next 30 days. It can register voluntarily from AED 187,500.
Frequently asked questions
- What is the VAT rate in the UAE?
- The standard VAT rate in the UAE is 5%. Some supplies are zero-rated (0%) and some are exempt.
- How do I calculate VAT from a total amount in the UAE?
- Divide the VAT-inclusive amount by 1.05 to get the price before VAT. The VAT is the difference, which equals the total divided by 21. For AED 1,050, the net price is AED 1,000 and the VAT is AED 50.
- How do I add 5% VAT to a price?
- Multiply the price by 1.05. AED 1,000 plus 5% VAT is AED 1,050.
- When does a business have to register for VAT in the UAE?
- Registration is mandatory when taxable supplies and imports exceed AED 375,000 over the previous 12 months, or are expected to exceed it in the next 30 days. Voluntary registration is possible from AED 187,500.
- What is the penalty for late VAT registration?
- Failing to register on time carries an administrative penalty from the Federal Tax Authority. Check the FTA's current penalty schedule for the amount.