VAT Filing and Payment in the UAE: Step-by-Step Guide

Learn how to file VAT returns and make VAT payments in the UAE. Understand deadlines, required documents, and step-by-step compliance procedures with the FTA.

What is VAT Filing and Payment?

VAT filing and payment involve submitting VAT returns to the UAE Federal Tax Authority (FTA) and remitting collected VAT within the specified deadlines. Proper filing ensures compliance, avoids penalties, and maintains smooth business operations.

All VAT-registered businesses must file returns even if no VAT was collected during the tax period.

Step 1: Know Your VAT Filing Frequency

The FTA assigns a tax period when registering for VAT. Common frequencies:

• Quarterly filing: Most small and medium businesses

• Monthly filing: Businesses with large turnovers or by FTA request

Tip: Check your FTA portal for your assigned tax period to avoid missing deadlines.

Step 2: Gather Required Documents

Before filing, prepare:

1. VAT invoices issued and received

2. Credit and debit notes

3. Import/export documentation

4. Bank statements (if needed for verification)

5. Accounting records for the tax period

Tip: Use accounting software to track all transactions automatically for easier VAT reporting.

Step 3: Log in to the FTA e-Services Portal

• Go to the FTA e-Services portal
• Log in with your username and password
• Navigate to “VAT Returns”
• Select the tax period you are filing for

Step 4: Complete Your VAT Return

1. Enter total taxable supplies and VAT collected

2. Enter total input VAT (VAT paid on business expenses)

3. Calculate net VAT payable or refundable

4. Verify all figures match your accounting records

5. Submit the VAT return

Tip: Double-check all figures to avoid penalties for under-reporting or errors.

Step 5: Make VAT Payment

• If your VAT return shows net VAT payable, make payment using:

  • • Bank transfer

    • Credit/debit card

    • UAE-approved payment channels through FTA portal.

• Payments must be made on or before the VAT return due date.

Tip: Always keep payment confirmation receipts for your records.

Step 6: Handle Refunds or Adjustments

• If input VAT exceeds output VAT, request a refund via the FTA portal

• Use credit/debit notes for corrections to previous returns

• Ensure timely adjustments to avoid penalties

FAQs About VAT Filing and Payment in the UAE

Q1: What happens if I miss the filing deadline?
Late filing incurs penalties and fines, which increase with delay.

Q2: Can I file VAT if no transactions occurred?
Yes, a nil return must still be submitted.

Q3: How long must VAT records be kept?
Maintain records for 5 years from the end of the tax period.

Q4: Can VAT returns be amended?
Yes, corrections can be made using adjustments or subsequent filings, following FTA procedures.