When does e-invoicing start for your business?

Key dates

1. 1 July 2026Pilot and voluntary use begin (no penalties for voluntary users)
2. 30 October 2026Appoint an Accredited Service Provider: Businesses with revenue of AED 50 million or more
3. 1 January 2027E-invoicing mandatory: Businesses with revenue of AED 50 million or more
4. 31 March 2027Appoint an Accredited Service Provider: Businesses with revenue below AED 50 million
5. 31 March 2027Appoint an Accredited Service Provider: Government entities
6. 1 July 2027E-invoicing mandatory: Businesses with revenue below AED 50 million
7. 1 October 2027E-invoicing mandatory: Government entities

The date for businesses with revenue of AED 50,000,000 or more to appoint a provider was moved from 31 July 2026 to 30 October 2026 by Ministerial Decision No. 66 of 2026. Their go-live date did not change.

Who must use e-invoicing?

Any person doing business in the UAE, whether or not they are registered for VAT. That includes free zone businesses and non-residents doing business in the UAE. Sales to other businesses (B2B), to government (B2G), and government sales are covered. Exports are covered too: the invoice is reported to the Federal Tax Authority even though your foreign customer is not on the UAE network.

Sales to consumers (B2C) are outside the system until the Minister decides otherwise. Invoices you receive from foreign suppliers don’t go through the UAE system.

Which transactions are excluded?

These transactions don’t need an e-invoice, as listed by Ministerial Decision No. 197 of 2026:

• Government entities acting in a sovereign capacity, not in competition with the private sector
• International air passenger transport sold with an electronic ticket
• Airline ancillary services to passengers documented with an Electronic Miscellaneous Document (EMD)
• International air cargo with an airway bill (temporary, 24 months)
• Financial services that are VAT-exempt or zero-rated under Article 42 of the VAT Executive Regulation
• Transactions between members of the same VAT Tax Group (temporary, 24 months from 1 January 2027)

How is the AED 50,000,000 revenue measured?

Revenue means gross income in your most recent accounting period, as shown in your UAE financial statements. If you don’t have financial statements, other documents accepted by the Federal Tax Authority are used. The decisions don’t yet say which accounting period counts if your year-end falls close to a deadline, or whether revenue is counted per company or across a group. If you are close to AED 50,000,000, plan for the earlier dates.

Can you start earlier?

Yes. Since 1 July 2026 any business can join voluntarily through an Accredited Service Provider, and the penalty rules don’t apply to voluntary users. Penalties start only from your mandatory date.

Government entities: appoint a provider by 31 March 2027 and go live by 1 October 2027. Businesses below the threshold: 31 March 2027 and 1 July 2027.