UAE VAT Calculator: Add or Remove 5% VAT
Add 5% VAT to a price, or reverse it to take the VAT out of a total that already includes it. The same 5% rate applies in Dubai and across the UAE.
- Price before VAT
- AED 1,000.00
- VAT amount
- AED 50.00
- Price with VAT
- AED 1,050.00
Estimate only. Not tax advice. Some supplies are zero-rated or exempt, so check which rate applies to you.
How to calculate 5% VAT in the UAE
Add VAT
- VAT on a price: price × 0.05 (AED 1,000 → AED 50)
- Price with VAT: price × 1.05 (AED 1,000 → AED 1,050)
Reverse VAT: take it out of a total
- Price before VAT: total ÷ 1.05 (AED 1,050 → AED 1,000)
- VAT inside the total: total × 5 ÷ 105 (AED 1,050 → AED 50)
Do not take 5% off a total: 5% of 1,050 is 52.50, not 50. Results are rounded to the nearest fils, as the Executive Regulation allows (Article 61).
Any rate: VAT = price × rate ÷ 100; price before VAT = total ÷ (1 + rate ÷ 100).
More examples: how to calculate VAT in the UAE. VAT is separate from corporate tax on business profits: see the corporate tax calculator.
Examples
5% VAT on common amounts (AED)
Left: VAT added on top. Right: the same figure as a total that already includes VAT.
| Amount | VAT added | Total with VAT | If it includes VAT: before VAT | VAT inside |
|---|---|---|---|---|
| 100.00 | 5.00 | 105.00 | 95.24 | 4.76 |
| 500.00 | 25.00 | 525.00 | 476.19 | 23.81 |
| 1,000.00 | 50.00 | 1,050.00 | 952.38 | 47.62 |
| 5,000.00 | 250.00 | 5,250.00 | 4,761.90 | 238.10 |
| 10,000.00 | 500.00 | 10,500.00 | 9,523.81 | 476.19 |
| 12,000.00 | 600.00 | 12,600.00 | 11,428.57 | 571.43 |
5%, 0% or exempt
| Treatment | VAT | Examples in the law |
|---|---|---|
| Standard rate | 5% | Most goods and services (Article 3) |
| Zero-rated | 0% | Exports to outside the GCC states that apply VAT, international transport, investment precious metals, crude oil and natural gas, the first sale or lease of a new home within 3 years of completion, some education and healthcare (Article 45) |
| Exempt | No VAT | Some financial services, residential sales and leases that are not zero-rated, bare land, local passenger transport (Article 46) |
Do you need to register for VAT?
| Taxable supplies and imports | Registration |
|---|---|
| Over AED 375,000 in the last 12 months, or expected in the next 30 days | Must apply within 30 days (Article 13; Executive Regulation Article 7) |
| Over AED 187,500 (expenses subject to VAT also count) | May register voluntarily (Article 17; Executive Regulation Article 8) |
Frequently asked questions
What is the VAT rate in the UAE?expand_more
The standard rate is 5% (Federal Decree-Law No. 8 of 2017, Article 3), in force since 1 January 2018. The amendments in force from 1 January 2026 did not change it.
How do I add VAT to a price?expand_more
Multiply the price before VAT by 1.05. For example, AED 1,000 becomes AED 1,050, of which AED 50 is VAT.
How do I reverse VAT, taking it out of a total?expand_more
Divide the total by 1.05; do not subtract 5%. For AED 1,050 the price before VAT is 1,050 ÷ 1.05 = AED 1,000, and the VAT is AED 50. Taking 5% off 1,050 gives 997.50, which is wrong.
Is reverse VAT the same as the reverse charge?expand_more
No. Reverse VAT is the sum above. The reverse charge (Article 48) is a rule for businesses: a taxable business that imports goods or services for its business accounts for the VAT on them itself.
Do prices in the UAE include VAT?expand_more
As a rule, yes: advertised prices must include VAT (Article 38; the Executive Regulation sets the exceptions). To see the VAT inside a price, use Remove VAT.
Is VAT in Dubai the same as in the rest of the UAE?expand_more
Yes. VAT is charged under a federal law, Federal Decree-Law No. 8 of 2017, so the 5% rate is the same in Dubai, Abu Dhabi and every other emirate.
Is there tax on salaries in the UAE?expand_more
Not corporate tax: the Federal Tax Authority's Corporate Tax guide says corporate tax does not apply to a person's salary, wages or other employment income. VAT is charged on goods and services, not on your salary.
Do all goods and services carry 5% VAT?expand_more
Most do. Exports and international transport are among the zero-rated supplies (Article 45). Some financial services, residential property, bare land and local passenger transport are exempt (Article 46). This calculator uses the rate you enter; it does not decide which rate applies.
When must a business register for VAT?expand_more
When taxable supplies and imports go over AED 375,000 in the last 12 months, or are expected to in the next 30 days (Article 13; Executive Regulation Article 7). Above AED 187,500 of supplies or of expenses subject to VAT, a business may register voluntarily (Article 17; Executive Regulation Article 8).
Source
Federal Decree-Law No. 8 of 2017 on VAT: 5% rate (Article 3), prices include VAT (Article 38), zero-rated and exempt supplies (Articles 45 and 46), reverse charge (Article 48), registration (Articles 13 and 17). Executive Regulation, Cabinet Decision No. 52 of 2017: AED 375,000 and AED 187,500 thresholds (Articles 7 and 8), rounding to the nearest fils (Article 61). The amendments in force from 1 January 2026 changed none of these except invoicing under Article 48 (FTA clarification VATP046). Salary note: FTA Corporate Tax General Guide (CTGGCT1, page 27). The English texts are unofficial translations published on the FTA site. Always confirm with the Federal Tax Authority or a tax adviser. Checked against the official texts on 7 November 2026; salary note 24 October 2026.
Read the official text:Federal Decree-Law No. 8 of 2017 on VAT, with amendments (FTA, PDF) · Cabinet Decision No. 52 of 2017, VAT Executive Regulation, with amendments to 2026 (FTA, PDF) · FTA Public Clarification VATP046: amendments to the VAT Decree-Law (PDF) · FTA Corporate Tax General Guide (PDF)