UAE VAT Return Filing Guide 2024
Learn how to file your VAT returns correctly and avoid penalties from the FTA.
Filing Deadlines
Filing Deadline
28th of following month
Late Filing Penalty
AED 1,000 first / AED 2,000 repeat
Late Payment
2% + 4% + 1%/day
Understanding Your Tax Period
Your tax period determines how often you must file VAT returns. The FTA assigns tax periods based on your annual taxable supplies:
Monthly Filing
Taxable supplies exceed AED 150 million
Quarterly Filing
Taxable supplies below AED 150 million
What Information Goes on a VAT Return?
The UAE VAT return (Form VAT201) requires you to report:
Sales and Output VAT
- Box 1: Standard rated supplies at 5%
- Box 2: Zero-rated supplies (exports, international transport)
- Box 3: Exempt supplies (residential rent, financial services)
- Box 4: Supplies subject to reverse charge
- Box 5: Profit margin scheme supplies
Purchases and Input VAT
- Box 6: Standard rated expenses at 5%
- Box 7: Supplies subject to reverse charge (import services)
- Box 8: Total value of purchases
Net VAT Calculation
- Box 9: Total output VAT (VAT you collected)
- Box 10: Recoverable input VAT (VAT you paid)
- Box 11: Net VAT due or refundable
Common Mistake
Many businesses confuse the filing deadline with the payment deadline. Both are due on the 28th—you must file AND pay by this date.
Step-by-Step Filing Process
Step 1: Gather Your Records
Before filing, ensure you have:
- All sales invoices issued during the tax period
- All purchase invoices with valid TRNs
- Import/export documentation
- Credit and debit notes
Step 2: Calculate Your VAT
Sum up your output VAT (VAT collected on sales) and input VAT (VAT paid on purchases). The difference is your net VAT payable or refundable.
Step 3: Log in to EmaraTax
Access the FTA portal at tax.gov.ae and navigate to "VAT Returns" to find your pending return.
Step 4: Complete the Return Form
Enter your figures in the appropriate boxes. The system will automatically calculate your net VAT.
Step 5: Review and Submit
Verify all amounts match your records. Once submitted, you cannot amend the return— any corrections must be made via a Voluntary Disclosure.
Step 6: Make Payment
If you owe VAT, pay using one of the approved methods:
- Bank transfer (e-Dirham)
- Credit/debit card
- gPay
Late Filing and Payment Penalties
Late Filing Penalties
- First offense: AED 1,000
- Repeat within 24 months: AED 2,000
Late Payment Penalties
- Immediately after due date: 2% of unpaid tax
- After 7 days: Additional 4%
- After 1 month: 1% per day (up to 300% maximum)
What If You Made a Mistake?
If you discover an error in a submitted return, you have two options:
- Correct in next return: If the error is under AED 10,000
- Voluntary Disclosure: Required for errors over AED 10,000
Filing a Voluntary Disclosure proactively can significantly reduce penalties compared to errors discovered during an FTA audit.
Record Keeping Requirements
You must maintain all VAT-related records for at least 5 years (15 years for real estate). Required records include:
- Tax invoices (issued and received)
- Credit and debit notes
- VAT returns and supporting calculations
- Accounting records and ledgers
- Import and export documentation
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