UAE Tax Invoice Requirements Guide

When Must You Issue a Tax Invoice?

Under UAE VAT law, you must issue a tax invoice for all taxable supplies. The invoice must be issued within 14 days of the date of supply.

Full Tax Invoice Requirements

A full tax invoice is required for:

• All B2B (business-to-business) transactions
• Any supply over AED 10,000
• Export supplies where the customer requests an invoice

Mandatory Fields for Full Tax Invoice

Simplified Tax Invoice

A simplified tax invoice can be used for B2C supplies under AED 10,000. It requires fewer fields:

• The words "Tax Invoice"
• Supplier name, address, and TRN
• Invoice date
• Description of goods/services
• Total amount payable (VAT-inclusive)

Special Invoice Situations

Credit Notes

Issue a tax credit note when you need to reduce the VAT amount on a previous invoice:

• When goods are returned
• When a refund is given
• When the original invoice contained errors

Credit notes must reference the original invoice and clearly state the reduction in the taxable amount and VAT.

Debit Notes

Issue a tax debit note when you need to increase the VAT amount on a previous invoice, typically when the original amount was understated.

Self-Billing

In some cases, the customer (not the supplier) may issue the tax invoice. This is called self-billing and requires:

• Written agreement between both parties
• The supplier does not issue their own invoice
• The self-billed invoice meets all tax invoice requirements

Invoice Currency and Language

Tax invoices can be issued in any currency, but:

• If in foreign currency, show the AED equivalent for VAT purposes
• Use the exchange rate from the date of supply
• Invoices should be in Arabic or English (Arabic preferred for FTA correspondence)

Electronic Invoices

The UAE accepts electronic invoices provided they:

• Contain all required information
• Can be easily retrieved and printed
• Maintain authenticity and integrity
• Are stored securely for at least 5 years

Common Invoice Mistakes

• Missing or incorrect TRN
• Not showing VAT as a separate line item
• Using non-sequential invoice numbers
• Missing the words "Tax Invoice"
• Not including the date of supply
• Showing prices exclusive of VAT to consumers (must be inclusive)

Record Keeping

All tax invoices (issued and received) must be kept for:

• 5 years for standard transactions
• 15 years for real estate-related transactions