AI agents for SMEs - now running in production. See how the pilot works →

UAE VAT Calculator 2026

Add 5% VAT to a price, or work out the VAT already included in a VAT-inclusive amount.

AED 0 total including VAT
Net amount—
VAT (5%)—
Gross amount—

In short

UAE VAT is 5%. To add VAT multiply the net price by 1.05; to extract VAT from a gross price divide by 1.05. VAT registration is mandatory above AED 375,000 of taxable turnover.

Who this is for: Anyone in the UAE who needs to add 5% VAT to a price or back it out of a VAT-inclusive amount.

Not tax or legal advice. This tool assumes the standard 5% rate. It does not identify zero-rated or exempt supplies — confirm the correct VAT treatment for your specific goods or services with the FTA or a tax advisor.
Ad space — insert AdSense unit here after approval

UAE VAT at a glance

The UAE applies a standard Value Added Tax (VAT) rate of 5% on most goods and services, introduced on 1 January 2018. Some supplies are zero-rated (such as exports and certain healthcare and education services) or exempt (such as bare land and some financial services).

To add VAT: Gross = Net × 1.05
To remove VAT: Net = Gross ÷ 1.05, and VAT = Gross − Net

See also: UAE VAT Invoice Generator, UAE Corporate Tax Calculator (9%).

Assumptions

  • The rate is fixed at 5%.
  • Removing VAT divides by 1.05; it does not multiply by 0.95.
  • Results are shown to two decimal places without rounding rules for invoices.

Worked examples

Adding VAT to AED 2,000

VAT = 2,000 × 5% = AED 100
Total = AED 2,100

Removing VAT from a AED 1,050 invoice

Net = 1,050 ÷ 1.05 = AED 1,000
VAT included = AED 50

Frequently asked questions

What is the UAE VAT rate?

The standard rate is 5%, applied since 1 January 2018. Some goods and services are zero-rated or VAT-exempt.

How do I create a VAT-compliant invoice?

Use our UAE VAT invoice generator once available, or ensure your invoice shows your TRN, the VAT amount, and the VAT rate applied.

Does every business need to register for VAT?

Registration is mandatory once taxable supplies exceed AED 375,000 in the past 12 months, and voluntary above AED 187,500. Confirm your position with a tax advisor.

When must a UAE business register for VAT?

Registration is mandatory 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 above AED 187,500.

What is zero-rated in the UAE?

Exports outside the GCC, international transport, certain education and healthcare supplies, and the first sale of new residential property are zero-rated, so 0% VAT applies but input VAT can be recovered.

Ad space — insert AdSense unit here after approval
Written by the Swift IT Sols editorial team · SWIFT SOLSRules sourced from the official authorities named on this page and last checked How we source and check calculators

Found an error? Report it — tell us the inputs, the result you got, what you expected and the rule or source. Confirmed corrections are published within a week.

Start here

Ready to build your next digital solution?

Send the brief and you get a scoped response with approach, milestones and a fixed price range. Not a sales call.

1

A 30-minute call with the engineer who would run your project

Within 2 business days
2

A written scope: approach, module breakdown, milestones, fixed price range

Within 5 business days
3

You decide. No retainer, no obligation, and the scope document is yours to keep either way

Your timeline

Send your brief

Three fields to start. Add project details if you have them.

A real person replies, usually within one business day. Your details are stored on this site only and are never sold or shared.

Book a consultation