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Find out whether VAT registration is mandatory, voluntary or not yet required for your business.
Only matters for voluntary registration.
You are above AED 187,500, so you can register to reclaim input VAT and look established to customers, but it is not required yet.
Estimate only. Exempt supplies do not count towards the threshold; zero-rated supplies do. Groups and non-resident businesses follow different rules.
The two VAT thresholds
Registration is mandatory when taxable supplies and imports exceed AED 375,000 in the previous 12 months, or are expected to in the next 30 days. You may register voluntarily above AED 187,500 of supplies or taxable expenses.
A rolling 12-month test
The threshold is checked on a rolling basis, so a business can cross it in any month. Monthly bookkeeping makes the moment you cross it visible straight away.
What happens after you cross it
You must apply to the FTA within 30 days. Late registration attracts an administrative penalty, so it pays to prepare your documents early.
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