Upload a tax invoice and we'll check it line by line against the FTA's requirements: TRNs, wording, VAT breakdown, the lot. Takes about ten seconds.
The organisation's tax number can be entered in Xero's financial settings. You should then configure your invoice branding theme so the tax number actually appears on the invoice PDF.
Xero says its UAE eInvoicing functionality is coming soon and that it is working toward the Accredited Service Provider requirements. Businesses should track the Ministry of Finance's current provider and implementation requirements rather than assuming future software capability.
UAE VAT legislation generally requires the registrant to issue a tax invoice within 14 days from the date of supply.
Yes, if the business is VAT registered. Check it against the FTA registration certificate and verify that the correct tax information appears on customer-facing invoice templates where required.
A full UAE tax invoice generally includes the words "Tax Invoice", supplier details and TRN, recipient details and TRN where applicable, invoice number, dates, description of the supply, tax rate, relevant AED amounts, VAT payable and other required information. The precise requirements are set out in Article 59 of the VAT Executive Regulation.
Yes. Xero supports a tax number on contact records, and its advanced invoice templates include a field for displaying the contact's tax number.
As of August 2026, Xero says its dedicated UAE VAT solution is still being rolled out. Planned features include FTA-ready VAT return mapping, guided workflows and FTA Audit File generation. Businesses should therefore check Xero's current feature availability rather than assuming native UAE VAT filing is already available.
Treat it as a default, not a conclusion. Xero allows account-level tax defaults, but the actual invoice and UAE VAT rules determine whether VAT applies and whether input tax is recoverable.
Reverse charge is a mechanism, not a standalone rate. The underlying UAE VAT may be 5%, but the recipient's accounting and VAT-return treatment differs from a normal domestic purchase where the supplier charges VAT.
The FTA VAT Returns User Guide places zero-rated supplies in Box 4 and exempt supplies in Box 5. Both boxes report the net supply value because the VAT amount is nil.
Generally yes, subject to the normal UAE input-tax recovery conditions, because zero-rated supplies remain taxable supplies. This differs from input VAT directly attributable to exempt activities, which is generally not recoverable.
For an ordinary taxable UAE supply that does not qualify for zero-rating or exemption, the standard VAT rate is 5%. Confirm the transaction's actual VAT treatment before applying the rate.
Filing frequency depends on the tax period the FTA has assigned to the business. Check the return period and due date shown in EmaraTax rather than assuming every business follows the same quarterly or monthly cycle.
Xero can calculate tax at transaction-line level using configured tax rates. Correct VAT reporting still depends on selecting the appropriate treatment and mapping the transaction correctly.
Yes. Where a business imports goods using a Customs Registration Number, linking it to the correct TRN helps customs-import data flow into the VAT account correctly. The FTA provides an EmaraTax process for maintaining that link.
Not end to end today. Xero can calculate tax using the rates applied to transactions, but Xero says its dedicated UAE VAT-return workflow is still coming soon. The business remains responsible for correct tax treatment and filing.
Xero can record the accounting treatment you configure, but its dedicated UAE VAT-return workflow is still marked as coming soon as of 26 August 2026. The business still needs to determine the correct UAE VAT treatment and reconcile imports to VAT201.
Generally, no. Xero distinguishes a reportable transaction carrying a 0% tax rate from a transaction set to No Tax. If a transaction is zero-rated for VAT purposes, it should be coded to the appropriate 0% treatment rather than automatically being excluded from tax.
Xero's native UAE VAT-return mapping and filing workflow is not yet generally available. Xero describes it as coming soon. Businesses can use Maaliya's live integration to automate UAE VAT treatment and return preparation while maintaining Xero as the ledger.
It is a useful working paper, but not a substitute for reviewing the UAE VAT return classification. The figures still need to be reconciled and mapped to the correct FTA return boxes before filing.
Yes. Xero can be used by UAE businesses to record transactions, apply tax rates and maintain VAT-related accounting information. Xero is also currently listed on the UAE Federal Tax Authority's Tax Accounting Software Vendor register. However, as of August 2026, Xero says its dedicated UAE VAT return workflow and FTA-ready mapping features are still coming soon.
No. The cash effect can be nil when the same VAT is fully recoverable, but partial or blocked input-tax recovery can create a real VAT cost.
No. The treatment depends on what was supplied, the place-of-supply rules, the recipient's VAT status and any specific exception. Foreign supplier location is a trigger for review, not an automatic conclusion.
Do not use No Tax merely because the supplier did not charge UAE VAT. If reverse charge applies, the transaction needs a treatment that records and reports the recipient's VAT obligation correctly.
The FTA states that VAT returns and related payments are generally due within 28 days from the end of the tax period. Check EmaraTax for the actual due date applying to a specific return.
Box 6 contains goods imported into the UAE, Box 7 is used for relevant adjustments to imported-goods information, and recoverable VAT accounted for under reverse charge can be claimed through Box 10 to the extent permitted.
Usually not, just for the sake of the VAT percentage. Xero's tax-rate system should carry the tax classification. Create separate ledger accounts when the underlying financial category itself needs separate reporting.
No. Both may result in 0% VAT being charged, but their UAE VAT treatment is different. Zero-rated supplies remain taxable supplies at a 0% rate, while exempt supplies have different VAT and input-tax recovery consequences. They should therefore normally be tracked separately.
No. Xero can calculate the tax rate selected and apply defaults, but the business still needs to determine the correct UAE VAT treatment for each transaction.