VAT Filing Guide 2026 – Ras al Khaimah (UAE)
Value Added Tax (VAT) in the UAE is regulated at the federal level, but businesses operating in Ras al Khaimah (RAK) must ensure they meet all compliance requirements set by the Federal Tax Authority (FTA).
Whether you run a mainland company, free zone entity, or small trading business in RAK, timely and accurate VAT filing is essential to avoid penalties and maintain good standing.
This guide explains everything you need to know about VAT filing in Ras al Khaimah.
1️⃣ Understanding VAT in the UAE
VAT was introduced in the UAE on 1 January 2018 at a standard rate of 5%. It applies to most goods and services, with some supplies being:
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Zero-rated (0%) – e.g., exports, international transportation
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Exempt – e.g., certain financial services, residential real estate
All VAT matters are administered by the Federal Tax Authority through its online portal.
2️⃣ Who Must Register for VAT in Ras al Khaimah?
Businesses in Ras al Khaimah must register for VAT if:
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Mandatory Registration:
Taxable supplies exceed AED 375,000 per year. -
Voluntary Registration:
Taxable supplies or expenses exceed AED 187,500 per year.
This applies to:
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Mainland companies
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Free zone companies (including RAK Free Zone entities)
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Sole establishments
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E-commerce businesses
3️⃣ VAT Filing Frequency in RAK
Most businesses are required to file VAT returns:
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Quarterly (standard for SMEs)
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Monthly (for larger businesses, as assigned by FTA)
Your tax period is specified in your VAT certificate issued by the Federal Tax Authority.
4️⃣ Documents Required for VAT Filing
Before submitting your VAT return, ensure you have:
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Sales invoices (tax invoices issued)
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Purchase invoices (input VAT)
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Credit notes & debit notes
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Import/export documentation
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Customs documents (if applicable)
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Bank statements
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Accounting records
Accurate bookkeeping is critical to avoid misreporting output and input VAT.
5️⃣ How to File VAT Return in Ras al Khaimah
VAT returns are submitted online via the FTA portal:
Step-by-Step Process:
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Log in to the FTA e-Services portal
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Select the relevant tax period
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Enter:
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Output VAT (sales)
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Input VAT (purchases)
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Review the summary
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Submit the return
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Pay VAT liability (if applicable) before the deadline
Deadline:
VAT returns must be filed and paid by the 28th day following the end of the tax period.
Example:
If your quarter ends on March 31 → Filing deadline is April 28.
6️⃣ VAT Payment Methods
Businesses in Ras al Khaimah can pay VAT through:
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e-Dirham
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Credit card (via FTA portal)
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Bank transfer (GIBAN)
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UAE local bank transfer
Late payment results in penalties.
7️⃣ Penalties for Late VAT Filing
The FTA imposes strict penalties:
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AED 1,000 for first late submission
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AED 2,000 for repeated late submission within 24 months
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Additional penalties for late payment
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Percentage-based penalties on unpaid tax
Staying compliant helps avoid unnecessary financial losses.
8️⃣ VAT Compliance Tips for RAK Businesses
✔ Maintain organized bookkeeping
✔ Reconcile VAT monthly (even if filing quarterly)
✔ Verify TRN of suppliers
✔ Keep records for at least 5 years
✔ Conduct periodic VAT health checks
Businesses operating in RAK Free Zone must also check whether they qualify as a Designated Zone, as VAT treatment may differ.
9️⃣ Why Professional VAT Assistance Matters in RAK
VAT errors can lead to audits, fines, and reputational risk. Professional tax consultants in Ras al Khaimah can help with:
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VAT registration
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Return filing
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VAT refund claims
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FTA audit support
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VAT deregistration
Especially for growing SMEs and trading companies in RAK, expert guidance ensures peace of mind.
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FMA Accounting and Auditing LLC
Email: info@fmaaudit.com
Phone: +971 52 276 2124
Location: Ras Al Khaimah, UAE
RAKEZ Approved Auditors
Website: https://www.fmaaudit.com