Please be aware that this site is informational only, and many external factors, unique to your company might apply.
Each company must make their own decisions about how they meet their tax obligations.
The United Arab Emirates introduced Value-Added Tax (VAT) on 1 January 2018 at a standard rate of 5%. VAT applies to most goods and services and was implemented to diversify government revenue beyond oil income.
Certain goods and services are either exempt or subject to a 0% VAT rate, including:
- Exports outside the VAT-implementing Gulf Cooperation Council (GCC) member states
- International transportation
- Healthcare and education
- The supply of crude oil and natural gas
VAT rates in the UAE
| Rate | Type | Examples of Goods & Services |
|---|---|---|
| 5% | Standard | Most goods and services |
| 0% | Zero-rated | Exports outside GCC, international transportation, healthcare, education, certain real estate transactions |
For more details on VAT regulations, visit the Ministry of Finance website.
Last changed 2026-01-26