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UAE Tax Invoice Format: What the FTA Requires

The UAE has one of the more precisely specified invoice formats in the region, set out in Article 59 of the VAT Executive Regulations. It also has something many jurisdictions do not: a genuinely simpler alternative format for small and consumer transactions, which most businesses are entitled to use more often than they realize. This guide covers both, the threshold that separates them, and the currency rule that catches out anyone invoicing in dollars.

By Arshad Hossain · Published 16 August 2026

The short version

The words "Tax Invoice" and your TRN are mandatory, not stylistic choices.
A simplified tax invoice is allowed for unregistered recipients, or registered ones up to AED 10,000.
VAT must be shown in AED even when the invoice is denominated in another currency.
Invoice numbering must be sequential and gap-free for FTA audit purposes.

What a full tax invoice must contain

Article 59 of the Executive Regulations of Federal Decree-Law No. 8 of 2017 lists the required particulars. The Federal Tax Authority publishes the legislation and its guidance at tax.gov.ae.

The words "Tax Invoice" clearly displayed
Your name, address and Tax Registration Number
The recipient's name, address and TRN, where they are registered
A sequential invoice number that uniquely identifies the document
The date of issue, and the date of supply where it differs
A description of the goods or services supplied
For each line: unit price, quantity, rate of tax and amount payable, in AED
The amount of any discount offered
The gross amount payable, in AED
The tax amount payable, in AED
Where the reverse charge applies, a statement that the recipient must account for the tax
Where an exchange rate applies, the rate used and the source

When the simplified tax invoice is allowed

Article 59(5) permits a simplified tax invoice in two situations: where the recipient is not registered for VAT, or where the recipient is registered but the consideration for the supply does not exceed AED 10,000.

The simplified format drops the recipient's name, address and TRN, and does not require the line-by-line tax breakdown that a full invoice does. It still needs the words "Tax Invoice", your name, address and TRN, the date, a description of the supply, the total consideration and the tax amount.

This matters practically for retail, food service and any business doing high volumes of small transactions. Issuing full tax invoices where a simplified one is permitted is not an error, but it is unnecessary work.

	Full tax invoice	Simplified tax invoice
When	B2B above AED 10,000	Unregistered buyer, or B2B up to AED 10,000
Buyer TRN	Required	Not required
Buyer name and address	Required	Not required
Line-level tax breakdown	Required	Not required
Total and tax amount	Required	Required
Sequential number	Required	Required

The currency rule people miss

If you issue an invoice in a currency other than the dirham, the tax amount must still be shown converted into AED, using an exchange rate approved by the Central Bank at the date of supply.

This trips up businesses invoicing international clients in dollars or euros. The invoice can be denominated in the foreign currency, and the client can pay in it, but the VAT line has to appear in AED alongside, with the rate stated.

Getting this wrong is one of the more common findings in FTA reviews, precisely because software built for other markets does not prompt for it. There is more on multi-currency invoicing generally in international invoicing.

Numbering and record keeping

Invoice numbers must be sequential and uniquely identify the document. Gaps invite questions, because the FTA uses sequence integrity to test whether any invoices have been suppressed.

Records generally must be kept for five years from the end of the tax period, with longer retention for real estate. Keep the invoice, the evidence of supply and the exchange rate source together, since a review will ask for the chain rather than the document alone.

The UAE has an e-invoicing program in progress, with phased implementation announced for the coming years. If you are planning a system change, it is worth checking the current timetable on the FTA site before committing to a format that will need replacing.

UAE VAT invoice questions, answered

What is a TRN and where does it go on an invoice?

A Tax Registration Number is the 15-digit identifier the Federal Tax Authority issues when you register for VAT. It must appear on every tax invoice you issue, in your supplier details, and the recipient's TRN is required too on a full tax invoice.

What is the difference between a tax invoice and a simplified tax invoice in the UAE?

A full tax invoice carries the recipient's name, address and TRN plus a line-level tax breakdown. A simplified one drops those and shows only the total and the tax amount. Simplified is permitted for unregistered buyers, or registered buyers up to AED 10,000.

What is the AED 10,000 threshold for tax invoices?

It is the ceiling below which you may issue a simplified tax invoice to a VAT-registered recipient. Above it, a full tax invoice with the recipient's details and a line-level tax breakdown is required.

Do I need to show VAT in AED if I invoice in dollars?

Yes. The invoice may be denominated in any currency, but the tax amount must also be shown in dirhams, converted at a Central Bank approved rate for the date of supply. State the rate you used on the invoice.

What is the VAT rate in the UAE?

The standard rate is 5%, with certain supplies zero-rated and others exempt. Show the rate applied and the resulting tax amount as separate figures, rather than folding the tax into unit prices.

When must a UAE tax invoice be issued?

Within 14 days of the date of supply. This is a real deadline rather than a guideline, and issuing late is a compliance defect in its own right regardless of whether the customer has paid.

Do I need the buyer's TRN on every invoice?

Only on a full tax invoice to a registered recipient. If the buyer is not VAT-registered, or the supply is within the simplified-invoice threshold, their TRN is not required. Where it is required, ask for it — you cannot invent or omit it.

What is reverse charge on a UAE invoice?

A mechanism where the recipient accounts for the VAT instead of the supplier, applying commonly to imported services and certain goods. Where it applies, the invoice must state that the recipient is required to account for the tax.

Can I issue a tax invoice without being VAT-registered in the UAE?

No. Only registered taxable persons issue tax invoices and charge VAT. If you are below the registration threshold and not voluntarily registered, you issue an ordinary commercial invoice with no VAT and no TRN.

How long must UAE tax invoices be kept?

Generally five years from the end of the relevant tax period, with longer periods for real estate records. Keep the supporting evidence alongside the invoice, since a review asks for the full chain rather than the document by itself.

Is e-invoicing mandatory in the UAE?

A national e-invoicing program is being introduced in phases. Timetables have shifted, so confirm the current position and your own phase on the Federal Tax Authority site before rebuilding your invoicing around it.

What happens if my UAE tax invoice is wrong?

Issue a tax credit note referencing the original invoice, rather than editing or replacing it. The credit note has its own required particulars and must clearly identify the invoice it adjusts, so the audit trail stays intact.

Do I need an Arabic invoice in the UAE?

Invoices are commonly issued in English and this is widely accepted in practice. The FTA may require records to be provided in Arabic on request, so if you operate at scale it is worth confirming your obligations with a local adviser.

Frequently Asked Questions

Does a UAE tax invoice need a stamp or signature?

Article 59 does not require a stamp or a handwritten signature. Many UAE businesses apply a company stamp by convention and some customers ask for it, but its absence does not make an otherwise compliant tax invoice invalid.

Can I issue one tax invoice for multiple supplies?

Yes, a single invoice can cover multiple supplies to the same recipient, with each shown as its own line carrying its own description, rate and tax amount. Summary invoicing arrangements also exist for continuous supplies.

What is the difference between a tax invoice and a proforma invoice in the UAE?

A proforma invoice is not a tax invoice. It carries no VAT liability, gives the recipient no right to recover input tax, and should never carry the words "Tax Invoice". Issue the tax invoice separately once the supply takes place.

Sources

VAT legislation and Executive Regulations — UAE Federal Tax Authority
VAT topics and guidance — UAE Federal Tax Authority

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