SUMMA Accounting & Consultancy

New VAT rules are coming - Is your business ready?

From 1 October 2026, UAE businesses will have some new responsibilities when claiming input VAT.

Under FTA Decision No. 13 of 2026, VAT-registered businesses will be expected to carry out reasonable checks to make sure their suppliers — and the transactions behind their invoices — are genuine before recovering input VAT.

What does this mean in practice?
Businesses may need to verify supplier details and their place of business, look out for certain risk indicators, make sure transactions and payment arrangements make commercial sense, and importantly, keep evidence of the checks performed. Supplier verification will generally be required when working with a supplier for the first time and again if they have not been verified within the previous 12 months.
There is some relief for smaller transactions: supplies below AED 10,000 (excluding VAT) can generally fall outside these requirements. However, this exception is not available where purchases from the same supplier exceed, or are expected to exceed, AED 100,000 within a 12-month period.

 The takeaway?

Don’t wait until October. Now is a good time to review your supplier onboarding process, documentation and internal VAT procedures so your business is ready for the new requirements.

Need help getting ready?
Summa Accounting & Consultancy can help you understand what the new rules mean for your business and put practical procedures in place before they take effect.