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UAE VAT Calculator 2025

Calculate VAT Payable or Refundable (Standard 5%)

Introduction

🎯 What

Calculates Value Added Tax (VAT) payable or deductible on goods and services in the UAE under FTA rules.

👥 Who

VAT registered businesses, traders, freelancers, and consumers checking price breakdowns.

💡 Why

To ensure compliance with UAE Federal Decree-Law No. 8 of 2017 and correctly invoice formatted amounts.

📝 Transaction Details

📊 Breakdown

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UAE VAT Categories (2025)

Standard Rated (5%)

  • Electronics & Phones
  • Clothing & Apparel
  • Food & Beverages
  • Commercial Commercial Rents
  • Consulting Services

Zero Rated (0%)

  • Exports (Outside GCC)
  • Intl. Transport
  • Preventative Healthcare
  • Certain Education
  • Investment Gold/Silver

Exempt (No VAT)

  • Residential Rent
  • Local Passenger Transport
  • Bare Land Sales
  • Life Insurance

Calculation Examples

Example 1: Add VAT (5%)

Net Amount: AED 1,000

VAT (5%): AED 50

Total: AED 1,050

Example 2: Remove VAT (5%)

Inclusive Price: AED 1,050

VAT Portion: AED 50 (1050 × 5/105)

Net Amount: AED 1,000

Frequently Asked Questions

Q: Does VAT apply to all business in UAE?

A: Only businesses that exceed the mandatory registration threshold of AED 375,000 in annual turnover must register and charge VAT.

Q: Are tourists eligible for VAT refunds?

A: Yes, tourists can claim a refund on VAT paid for goods purchased in the UAE through the "Tax Free Shopping" scheme at departure points.

Q: What is the difference between Zero-rated and Exempt?

A: Zero-rated supplies are taxable at 0% (you can claim input VAT). Exempt supplies are not taxable at all (you cannot claim input VAT relating to them).

Disclaimer: This UAE VAT Calculator 2025 is for informational purposes only. Calculations are based on 5% standard rate. Actual VAT liability depends on specific FTA classifications. Consult a tax professional for official filing.