VAT Calculator
UAE VAT Rate: 5%
Add VAT
Calculate total with 5% VAT
Calculate total with 5% VAT
Extract VAT
Remove VAT from total amount
Remove VAT from total amount
Net Amount:
AED0.00
VAT Amount (5%):
AED0.00
Total Amount:
AED0.00
Understanding VAT in the UAE
Value Added Tax (VAT) was introduced in the UAE on January 1, 2018, as part of a GCC-wide agreement. The standard VAT rate in the UAE is 5%, which is one of the lowest rates globally.
Key VAT Concepts
- VAT is charged at 5% on most goods and services in the UAE
- Some categories are either zero-rated or exempt from VAT
- Businesses with annual taxable supplies over AED 375,000 must register for VAT
- VAT returns must be filed periodically with the Federal Tax Authority (FTA)
VAT-Free and Zero-Rated Items
Certain goods and services in the UAE are either exempt from VAT or zero-rated:
- Healthcare services and medicines
- Educational services
- Local passenger transport
- Certain government services
- Charitable organizations' activities
- Some investment grade precious metals
VAT Calculations
There are two main ways to calculate VAT:
- Adding VAT: Multiply the net amount by 1.05 to get the gross amount (including VAT)
- Extracting VAT: Divide the gross amount by 1.05 to get the net amount (excluding VAT)
- The VAT amount is the difference between the gross and net amounts