VAT · United Arab Emirates
How to calculate VAT in the UAE
A step-by-step guide to working out 5% VAT — both taking it out of a gross price and adding it to a net price.
- 3 steps
- 3 ways
- With examples
The calculator
Net · VAT · GrossRemoving VAT from a gross amount
Start with the gross amount
The price that already includes 5% VAT, e.g. AED 105.00.
Divide by 1.05
105.00 ÷ 1.05 = AED 100.00 net.
Subtract for the VAT
105.00 − 100.00 = AED 5.00. Check: net + VAT = gross.
Adding VAT to a net amount
Multiply the net amount by 1.05 for the gross, or by 0.05 for the VAT alone. Example: AED 100.00 × 1.05 = AED 105.00 gross, of which AED 5.00 is VAT.
| Gross (AED) | Net (AED) | VAT (AED) |
|---|---|---|
| 10.00 | 9.52 | 0.48 |
| 50.00 | 47.62 | 2.38 |
| 100.00 | 95.24 | 4.76 |
| 250.00 | 238.10 | 11.90 |
| 500.00 | 476.19 | 23.81 |
| 1,000.00 | 952.38 | 47.62 |
| 5,000.00 | 4,761.90 | 238.10 |
FAQ
Frequently asked questions
How do you calculate VAT from a gross price in the UAE?
Divide the gross price by 1.05 to get the net price, then subtract the net from the gross to find the 5% VAT.
How do you add 5% VAT to a net price?
Multiply the net price by 1.05, or multiply the net by 0.05 to get the VAT and add it on.
What if the amount is zero-rated or exempt?
Then no 5% is charged. Zero-rated supplies are invoiced at 0% VAT; exempt supplies carry no VAT and do not allow input-tax recovery.