A full UAE tax invoice must say "Tax Invoice" and show the supplier's name, address and TRN, the buyer's details (and TRN if registered), a sequential number, the issue and supply dates, each line's description, quantity, unit price, VAT rate and amount in AED, and the totals. A simplified tax invoice is allowed when the buyer isn't VAT-registered, or when they are and the supply is AED 10,000 or less.
The UAE's Federal Tax Authority (FTA) sets specific requirements for what counts as a valid VAT invoice. Missing a required field doesn't just look unprofessional — it can mean the buyer can't use the invoice to recover their input VAT. Here's the complete checklist.
What a full tax invoice needs
| Field | Full tax invoice | Simplified tax invoice |
|---|---|---|
| The words "Tax Invoice" | Required | Required |
| Supplier name, address, TRN | Required | Required |
| Recipient name, address, TRN | Required (TRN if registered) | Not required |
| Sequential invoice number | Required | Not specified |
| Date of issue (and of supply, if different) | Required | Date of issue required |
| Description of goods or services | Required | Required |
| Unit price, quantity, VAT rate, amount payable in AED (per line) | Required | Not required per line |
| Discount offered | Required if any | Not required |
| Gross amount payable in AED | Required | Total consideration and VAT charged |
| VAT payable in AED (with exchange rate if in another currency) | Required | Required |
When you can issue a simplified tax invoice
- The recipient is not VAT-registered (typical retail sales to consumers), or
- The recipient is VAT-registered and the value of the supply is AED 10,000 or less.
Above AED 10,000 to a registered buyer, issue a full tax invoice with both TRNs. If you're unsure, issuing a full tax invoice is always acceptable.
Timing: the 14-day rule
A tax invoice must be issued within 14 days of the date of supply. Invoices issued late can attract administrative penalties, so batch-invoicing at month-end isn't a safe habit for VAT-registered businesses in the UAE.
Standard, zero-rated, and exempt
Not everything is taxed at the standard 5% rate. Some supplies are zero-rated (taxed at 0% but still inside the VAT system, so input VAT can usually be recovered) — for example, most exports and certain education and healthcare services. Others are exempt (outside the VAT system, with no input VAT recovery) — for example, certain financial services and residential property. Getting this classification wrong per item, rather than defaulting everything to standard-rated, is one of the most common invoicing errors.
Keeping records
The FTA requires VAT records, including tax invoices, to be kept for at least five years (longer for real estate), in a form that can be produced on request. Digital invoicing that keeps a running, exportable record does this by default; a folder of printed invoices makes every request a manual project.
E-invoicing is coming
The UAE is introducing mandatory e-invoicing for B2B and B2G transactions through accredited service providers. Under the Ministry of Finance's 2025 decisions, a voluntary pilot started on 1 July 2026, businesses with annual revenue of AED 50 million or more must go live from 1 January 2027, and other businesses from 1 July 2027. B2C sales are outside the mandate. Check the Ministry of Finance's latest announcements for exact dates, since appointment deadlines have been adjusted.
StashBill's compliance engine applies these FTA field requirements automatically — see the full UAE VAT invoicing breakdown.
Frequently asked
Do I need a TRN to issue VAT invoices?
Yes — a business must be VAT-registered and have a valid TRN to issue tax invoices; unregistered businesses can't charge VAT.
What's the difference between zero-rated and exempt?
Zero-rated supplies are taxable at 0% and stay inside the VAT system, so input VAT can usually be recovered; exempt supplies fall outside the VAT system, and related input VAT generally can't be recovered.
Can I issue a simplified invoice to a VAT-registered business?
Yes, if the value of the supply is AED 10,000 or less. Above that, a full tax invoice with both parties' TRNs is required.
Does the invoice have to be in AED?
The invoice can be in another currency, but the VAT amount must be shown in AED, along with the exchange rate used.
Sources
- UAE Federal Tax Authority — VAT legislation and guides
- UAE Ministry of Finance — e-invoicing decisions
General information, not tax advice. Current as of October 2026 — confirm with the FTA or your tax agent.