UAE VAT calculator
Net, VAT and total in three lines you can copy straight onto your invoice.
- Runs in your browser
- No sign-up
- We store nothing
- Sources cited
- Last reviewed: September 2026
The net amount as you write it on the invoice, before VAT is added.
5% since 1 January 2018, per the Federal Tax Authority. The rate is set by law and is not typed in.
Worked out in your browser: nothing is sent to a server
Total including VAT
10,500.00 AED
5% VAT on 10,000.00 AED
Breakdown
| Amount before VAT | 10,000.00 AED |
| VAT amount | 500.00 AED |
| Total including VAT | 10,500.00 AED |
- Figures are rounded to the currency's smallest unit, and the total is built from the rounded amount and VAT, so the three invoice lines add up exactly.
How is VAT worked out in each direction?
- VAT when adding = amount before VAT x 5%
- Total = amount before VAT + VAT
- Amount before VAT when extracting = total / 1.05
- Extracted VAT = total minus the amount before VAT, not total x 5%
Symbols
- Amount before VAT
- The net figure the tax is charged on. It is what you type in add mode, and what comes out in extract mode
- Total
- The amount with the VAT inside it. It is 105% of the net, which is why subtracting the rate from it does not work
- Rate
- 5% by law since 1 January 2018, not a field you fill in; it moves by legislation, not by a setting here
Related tools
What is the VAT on 10,000 AED, and the net inside 10,500?
A Dubai company issues a 10,000 AED pre-tax invoice for a standard-rated service, then checks the sum in reverse starting from the total.
- VAT: 10,000 x 5% = 500 AED
- Total: 10,000 + 500 = 10,500 AED
- In reverse: 10,500 / 1.05 = 10,000 AED before VAT
- Extracted VAT: 10,500 minus 10,000 = 500 AED, the same answer
The invoice reads 10,000 AED net, 500 AED VAT and 10,500 AED total. Subtracting 5% from the total instead of dividing would have shown a net of 9,975 AED, an error of 25 AED.
What carries the standard rate, and when must you register?
Add 5% to a pre-tax amount, or extract the VAT from a tax-inclusive total, at the rate in force in the UAE since VAT began in January 2018.
VAT in the UAE is 5% on standard-rated supplies, under Article 3 of Federal Decree-Law No. 8 of 2017. The rate has not moved since VAT began on 1 January 2018, and it is among the lowest in the world.
The two directions are not one sum run backwards. Adding VAT multiplies by 5%; taking it out of a tax-inclusive figure divides by 1.05, and the common error is to subtract 5% from the total instead. On a 10,500 AED invoice, subtracting gives a net of 9,975 AED rather than 10,000, which is 25 AED short.
Registration is mandatory once taxable supplies pass 375,000 AED over twelve months, and voluntary from 187,500 AED. Not every supply carries 5% either: exports and certain health and education services are zero-rated, and some financial services and residential leases are exempt.
- VAT when adding = amount before VAT x 5%
- Amount before VAT when extracting = total / 1.05
- Extracted VAT = total minus the amount before VAT, not total x 5%
- Mandatory registration at 375,000 AED, voluntary at 187,500 AED over twelve months
Questions about VAT in the UAE
What is the VAT rate in the UAE?
The standard rate is 5% and has applied since VAT began on 1 January 2018, unchanged since. It comes from Article 3 of Federal Decree-Law No. 8 of 2017.
How do I extract VAT from a tax-inclusive amount?
Divide the total by 1.05 to get the amount before VAT, then subtract that from the total to get the VAT. Do not subtract 5% from the total: that is a different sum and it comes out too low.
Does the difference matter at a rate as low as 5%?
It does on larger invoices. The gap is about 0.24% of the total, which is 25 AED on a 10,500 AED invoice, but it accumulates across hundreds of invoices and shows up at reconciliation.
When do I have to register for VAT?
Registration is mandatory once taxable supplies exceed 375,000 AED over twelve months, and voluntary above 187,500 AED. Check your own position with the Federal Tax Authority.
Is everything taxed at 5%?
No. Exports and certain health, education and international transport services are zero-rated, and some financial services and residential leases are exempt. This calculator works at the standard rate only.
Does the same rate apply across all the emirates?
Yes. VAT is federal and applies at the same rate in all seven emirates, unlike property fees, which differ from one emirate to another.
Sources
Reviewed September 2026Statutory articles this calculator applies
- Art. 3 of UAE Federal Decree-Law No. 8 of 2017: the 5% standard rate
- UAE VAT Executive Regulation (Cabinet Decision 52/2017) Arts. 7(1), 8(1)
UAE Federal Decree-Law No. 33 of 2021 on the Regulation of Labour Relations (in force 2022-02-02) and Cabinet Resolution No. 1 of 2022 (Executive Regulations)