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VAT & Indirect Tax

VAT De-Registration

Cancel your VAT registration correctly and avoid the AED 10,000 late de-registration penalty.

VAT De-Registration

VAT de-registration is the procedure of terminating the VAT registration of a taxable person. It can be applied for by a person registered under VAT, or initiated by the Federal Tax Authority when it finds that a person meets the conditions for de-registration.

A business or individual registered under VAT can apply for de-registration if they stop making taxable supplies — in which case they must apply. They should also apply if they continue making taxable supplies but the value over the preceding 12 calendar months is less than the voluntary registration threshold.

The penalty for failing to apply for a mandatory VAT de-registration within the predefined timeframe is AED 10,000.

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