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🇦🇪UAE

UAE VAT Calculator

Calculate UAE VAT at 5% — add or remove VAT from any price.

AED
%

Results

VAT AmountAED 50
Price Including VATAED 1,050
Price Excluding VATAED 952.38
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What is UAE VAT?

The UAE VAT Calculator helps you add or remove 5% Value Added Tax from any price. VAT was introduced in the UAE on January 1, 2018, at a standard rate of 5% — one of the lowest VAT rates in the world.

UAE VAT applies to most goods and services, with some exemptions: residential property (first sale exempt, subsequent sales zero-rated), local passenger transport, bare land, certain financial services, and life insurance are either exempt or zero-rated. Healthcare and education services provided by government entities are zero-rated; private providers charge 5% VAT.

Businesses with taxable turnover exceeding AED 375,000 must register for VAT with the Federal Tax Authority (FTA). Voluntary registration is available for businesses with turnover above AED 187,500. VAT returns are filed quarterly (or monthly for larger businesses) through the FTA e-Services portal.

For consumers, prices in UAE retail stores and restaurants typically include VAT. Business invoices may show prices with or without VAT. This calculator helps you convert between VAT-inclusive and VAT-exclusive amounts for invoicing, expense reporting, and budgeting.

The UAE also imposes Excise Tax on specific products: 50% on carbonated drinks, 100% on tobacco and energy drinks, and 100% on electronic smoking devices.

Formula

UAE VAT Calculation:

Adding 5% VAT: VAT Amount = Price × 5 / 100 Price with VAT = Price + VAT Amount

Removing 5% VAT: Price without VAT = Price with VAT / 1.05 VAT Amount = Price with VAT − Price without VAT

Example — AED 1,000 + 5% VAT: VAT = AED 1,000 × 0.05 = AED 50 Total = AED 1,050

Reverse — AED 1,050 including VAT: Price ex-VAT = 1,050 / 1.05 = AED 1,000 VAT = AED 50

Quick mental math: 5% VAT = divide price by 20. AED 500 → VAT = AED 25 → Total = AED 525 AED 2,000 → VAT = AED 100 → Total = AED 2,100

How to use this UAE VAT Calculator?

1. Enter the Amount — either the price before VAT (to add VAT) or the total price including VAT (to extract VAT).

2. VAT Rate: 5% is the standard UAE rate. Leave as default.

3. See the VAT amount, price including VAT, and price excluding VAT.

For business invoicing: enter your net price to calculate the VAT amount and total to show on the invoice. For expense claims: enter the receipt total to extract the VAT component.

Frequently asked questions

What is the VAT rate in the UAE?
The standard UAE VAT rate is 5%, introduced on January 1, 2018. It is one of the lowest VAT rates globally. There is no reduced rate — items are either standard-rated (5%), zero-rated (0%), or exempt.
Is there VAT on gold in the UAE?
Investment gold (purity 99%+) is zero-rated. Gold jewelry is standard-rated at 5% VAT. This is important for Dubai's gold souk purchases — pure gold bars/coins are VAT-free, but jewelry attracts 5% VAT on the full retail price.
Do tourists get VAT refund in the UAE?
Yes, tourists can claim VAT refund on purchases above AED 250 per transaction through the Tax Refund for Tourists scheme operated by Planet. Refund kiosks are at airports and ports. The refund is 85% of the VAT paid (4.25% of purchase price), with an AED 4.80 fee per tag.
Is there VAT on rent in the UAE?
Residential rent is exempt from VAT. Commercial rent (offices, shops, warehouses) is standard-rated at 5% VAT. Hotels and serviced apartments are also subject to 5% VAT plus Tourism Dirham fee.
When must I register for VAT in the UAE?
Mandatory registration: taxable turnover exceeds AED 375,000 in the previous 12 months or expected in the next 30 days. Voluntary registration: turnover above AED 187,500. Non-resident businesses making taxable supplies must register regardless of turnover.
What are the penalties for VAT non-compliance?
Late registration: AED 10,000. Late filing: AED 1,000 first offence, AED 2,000 repeat. Late payment: 2% immediately + 4% on the 7th day + 1% daily (max 300%). Tax evasion: up to AED 50,000 or 3x the evaded tax amount.
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