UAE VAT Calculator

Q: 7. How do I calculate 5% VAT from the Total Amount?

Use this formula: VAT Amount = Total Price × (5 ÷ 105)

Q: 8. How Do I Set VAT on a Casio Calculator?

i. Press AC to clear. ii. Enter 5 and press TAX+ . iii. Now, enter the price and press TAX for instant VAT calculations.

Our UAE-based online VAT calculator provides rapid accurate computations to all users including entrepreneurs and accounting professionals along with consumers.

UAE VAT Calculator

Add VAT

Remove VAT

UAE Standard VAT (5%)

Custom VAT:

Enter Amount (Excluding VAT)

Amount AED 0.00

VAT 5% AED 0.00

Total Amount AED 0.00

Key Features of Our VAT Calculator

The quick calculator interface requires users to input values which leads to instant output of inclusive or exclusive VAT totals.

The calculator allows you to evaluate VAT at either 5% UAE standard rates or define a personalized VAT rate.

The calculator provides an option for adding VAT to amounts or subtracting it from totals.

This interface system was built to operate easily so non-accountants can understand it without difficulty.

Flat lay of calculator, gold coins, notebook, and tax symbols on a green background.

How to Use the UAE VAT Calculator

Step 1: Select VAT Type

You need to select between calculating the price including VAT or determining the price without VAT application.

Step 2: Enter the Amount

Enter the total quantity that needs VAT calculation. This could be:

You should input the unadjusted product cost, which needs TAX calculations.
The total amount with VAT enables extraction of the VAT value.

Step 3: Choose the VAT Rate

Standard 5% VAT (default)
Customers can enter alternative VAT rates when needed instead of using a standard 5% VAT.

Step 4: Get Instant Results

The calculator will automatically display:

Original Amount
VAT Amount
Total Amount Including VAT

Examples of VAT Calculation

Adding VAT (5%)
If you enter AED 1,000, the calculator will show:
VAT (5%) = AED 50
Total Amount = AED 1,050

Removing VAT (5%)
If the total price including VAT is AED 1,050, the calculator will show:
VAT (5%) = AED 50
Original Amount (Excluding VAT) = AED 1,000

Custom VAT Rate (e.g., 10%)
If you select 10% VAT and enter AED 1,000, the results will be:
VAT (10%) = AED 100
Total Amount = AED 1,100

WHAT IS VAT?

Most goods and services require VAT (Value Added Tax) as a consumption tax for payment. The government enforces VAT through businesses that serve as tax collection agents for the government. The United Arab Emirates launched VAT with a general 5% tax on January 1st, 2018.

Who Needs to Pay VAT?

Every business that sells taxable goods together with services needs to charge VAT before sending it to public authorities.
Businesses collect VAT from consumers by including it in their selling prices for most of their products.
VAT-registered freelancers and small businesses need to charge customers and forward these payments to the authority.

VAT Registration in the UAE

Companies must register for VAT if their total turnover exceeds AED 375,000 per year, yet those making more than AED 187,500 per year can choose to self-register for the tax. Registered businesses must:

Charge VAT on taxable sales
File VAT returns with the Federal Tax Authority (FTA)
All businesses need to maintain detailed records containing both VAT invoices and payment transactions.

How to Calculate VAT Payable?

VAT Payable = VAT on Sales – VAT on Purchases

✔️ Use our VAT Return Calculator to ensure compliance and avoid fines.

Why VAT Calculation is Important

For Businesses

Proper pricing becomes achievable through Dimsum.
The software supports correct VAT reporting together with FTA regulations compliance.
Acute pricing errors, which could result in disciplinary actions or fines, can be avoided through its implementation.

For Consumers

The system shows you the amount of VAT that is paid during your purchases.
You can conduct transparent receipt and invoice examinations through this method.

VAT Calculation in UAE for Different Scenarios

How to Calculate VAT in Construction Companies?

Construction organizations need to determine VAT amounts that apply to their purchased supplies, employment costs, and purchased duties. Businesses pay VAT on their production costs before they subtract these amounts from their payable output VAT.

How to Calculate VAT on Purchases?

Business expenses that have been paid need VAT deduction through the input VAT calculation method.

Close-up of a woman using a calculator and reviewing bills at home.

UAE VAT Refunds and Exemptions

VAT Refund for Tourists

The Tax-Free Shopping Program enables overseas visitors to receive VAT refunds for their purchases from registered retail stores they visit in the UAE.

Product & Services

There exist particular products and services that receive exemption from VAT taxation.

Residential properties (some cases)
Local transport
Certain educational services
Some healthcare services

Frequently Asked Questions

1. Is VAT mandatory in the UAE?

The UAE Federal Tax Authority demands all businesses with annual revenues exceeding AED 375,000 to register for VAT.

2. The consequences of not registering for VAT fall into what category?

The Federal Tax Authority will penalize businesses that fail to meet their VAT registration obligations.

3. Does the UAE provide VAT refund possibilities to businesses?

In order to access VAT refunds on specific expenses eligible businesses need to file their VAT returns.

4. Does the UAE require businesses to charge VAT on every product and service?

Yes, but Healthcare and education, together with residential properties, remain outside VAT taxation under UAE legislation.

5. Businesses need to file their VAT returns at what interval?

The frequency of VAT return filing for businesses falls quarterly, while select large corporations follow monthly reporting standards.

6. Are freelancers and small business entities permitted to enroll in the VAT system?

Every business must register for VAT if its yearly revenue crosses the AED 375,000 markup. The participation of those who make more than 187,500 AED is optional.

7. How do I calculate 5% VAT from the Total Amount?

Use this formula: VAT Amount = Total Price × (5 ÷ 105)

8. How Do I Set VAT on a Casio Calculator?

i. Press AC to clear.
ii. Enter 5 and press TAX+.
iii. Now, enter the price and press TAX for instant VAT calculations.