UAE VAT Mandatory Registration: The AED 375,000 Threshold
October 23, 2026
Per the official tax.gov.ae guidance, a business must register for VAT once its taxable supplies and imports exceed AED 375,000, measured either over the trailing 12 months or if expected to exceed that threshold within the next 30 days.
Skip the math and get your answer instantly:
Open the UAE VAT Calculator →The Two Ways to Trigger Mandatory Registration
- Trailing 12 months: total taxable supplies and imports over the past 12 months exceed AED 375,000
- Forward-looking 30 days: taxable supplies and imports are expected to exceed AED 375,000 within the next 30 days
Why Both Tests Exist
The forward-looking test catches businesses with a sudden large contract or spike in sales that would push them over the threshold quickly, rather than only registering based on a slower trailing-12-month trend — either condition being met creates the registration obligation.
Frequently Asked Questions
What's the UAE mandatory VAT registration threshold?
AED 375,000 in taxable supplies and imports.
Over what period is this measured?
Either the trailing 12 months, or an expectation of exceeding it within the next 30 days.
Does only one of the two tests need to be met?
Yes — meeting either the trailing-12-month or forward-looking-30-day condition triggers the mandatory registration requirement.
What happens if a business doesn't register once required?
This can trigger late-registration penalties — covered in a dedicated article elsewhere in this series.