UAE VAT calculator

Free UAE VAT calculator. Add 5% VAT to a net price or extract VAT from a VAT-inclusive amount (5/105), rounded to the fils. Zero-rated and exempt explained.

How it’s calculated

Adding VAT. VAT = net × 5%. Gross = net + VAT. Example: AED 100 net → AED 5 VAT → AED 105.

Extracting VAT. When a price already includes VAT, the VAT is gross × 5/105 (the tax fraction), not 5% of the gross. Example: AED 100 inclusive → AED 4.76 VAT → AED 95.24 net.

Rounding. Tax is rounded to the nearest fils (2 decimals) using standard half-up rounding, so net + VAT always equals the gross.

Legal basis

VAT Law Art 3: The standard rate is 5% on taxable supplies and imports that are not zero-rated or exempt.

VAT Law Art 45: Zero-rated (0%): exports outside the GCC, international transport, first supply of new residential buildings, qualifying education and healthcare, investment precious metals and others.

VAT Law Art 46: Exempt: margin-based financial services, residential buildings (other than first supply), bare land and local passenger transport. No input VAT recovery.

VAT ER Art 61; VAT Law Art 68: Tax may be rounded to the nearest fils using mathematical rounding.

Before you rely on it

An estimate, not tax advice. Whether a supply is standard-rated, zero-rated, exempt or out of scope depends on the facts.

Reverse-charge supplies (imported services, gold, electronics, scrap metal) are accounted for by the buyer, not the seller.

Why isn’t VAT 5% of a VAT-inclusive price?

Because the 5% was charged on the net amount. To reverse it you multiply the gross by 5/105 (about 4.76%). AED 105 inclusive holds AED 5 of VAT, not AED 5.25.

When do I have to register for VAT?

When taxable supplies and imports exceed AED 375,000 in the past 12 months or are expected to in the next 30 days. Voluntary registration is possible from AED 187,500.

What is the difference between zero-rated and exempt?

Both carry no VAT on the sale. Zero-rated supplies still let you recover the VAT on your costs; exempt supplies do not.

Must prices to consumers include VAT?

Yes. Prices shown to consumers must be VAT-inclusive. Failing to do so carries a penalty of AED 5,000.

How quickly must I issue a tax invoice?

Within 14 days of the date of supply. From the e-invoicing go-live, tax invoices in scope must be issued as e-invoices through an accredited service provider.