VAT Deregistration in UAE

If your company is no longer making taxable supplies or your turnover has dropped below the mandatory VAT threshold, you may need to register for VAT Deregistration in UAE.
It’s a process that formally cancels your VAT registration with the Federal Tax Authority (FTA) so you’re no longer legally required to charge or recover VAT on your sales.

At VAT Registration UAE, our experts offer FTA VAT deregistration that is simple, accurate, and comprehensive in accordance with UAE VAT Law, so you can avoid unwanted penalties or delays.

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VAT Registration in UAE

What Is VAT Deregistration in UAE?

VAT Deregistration is the process of deregistering your business from the FTA’s VAT register in a formal way. Once approved, your business is no longer a VAT-registered business and cannot issue VAT invoices or reclaim input VAT.

Businesses can apply for deregistration when:

  • They stop trading or cease operations.
  • Annual taxable turnover falls below AED 187,500 (the voluntary threshold).
  • They join or form a VAT group or change business structure.
  • The business merges, sells, or transfers an ownership.

The FTA VAT deregistration process must be completed online within 20 business days from the date you become eligible or you may incur penalties.

Applicability of UAE Corporate Tax

When Should You Apply for VAT Deregistration in UAE?

You are required to register for VAT deregistration UAE when your business meets any of the following conditions:

  • Business Closure: When your business is closed or ceases taxable activities.
  • Turnover Falls Below Threshold: When your annual taxable turnover drops below AED 187,500.
  • Change in Legal Status: When your company merges, sells, or transfers to another company.
  • Change in UAE Residency or Location: When your business relocates or no longer operates in the UAE.
  • FTA Instruction: On the instruction by the FTA under specific compliance or restructuring cases.

Our UAE VAT consultants complete your deregistration smoothly, with compliance at every step.

VAT Registration in UAE

The VAT Deregistration Process in UAE

FTA VAT deregistration application is a step-by-step process of meticulous steps for its approval without issue.

is the process:

Determine Eligibility

Check if your business is eligible for VAT deregistration under FTA rules and turnover.

Prepare Outstanding Returns

File all pending VAT returns and settle any outstanding tax liabilities or penalties.

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Applicability of UAE Corporate Tax

Documents Required for VAT Deregistration

When applying for VAT deregistration in UAE, you’ll need:

  • Copy of Trade License
  • VAT registration certificate
  • Last filed VAT return and payment proof
  • Details of sales turnover and taxable supplies
  • De-registration reason letter signed by management

Our VAT team scrutinizes and prepares all the documents to be submitted to the FTA for smooth approval.

VAT Registration in UAE

FTA VAT Deregistration Deadlines and Penalties

Deregistration is required to be completed within 20 business days from the date a business becomes eligible.

Delayed application can lead to an administrative penalty of AED 1,000, with an additional AED 1,000 per month (with a maximum of AED 10,000).

On-time deregistration maintains full compliance for you and prevents FTA penalties or audit problems in the future.

Common Problems in VAT Deregistration

Common Problems in VAT Deregistration

Despite a simple process, the majority of businesses face problems in deregistration, such as:

  • Pending VAT returns or tax amounts due.
  • Incomplete or incorrect supporting documents.
  • Technical problems in the FTA portal.
  • Undisclosed input/output VAT adjustments.
  • Errors in deregistration reason or eligibility claim.

Our experienced VAT consultants in Dubai identify and resolve these issues before submission, ensuring your deregistration is approved the first time.

VAT Registration in UAE

Why Choose VAT Registration UAE for Deregistration Services

At VAT Registration in UAE, we’ve helped hundreds of businesses across industries successfully deregister their VAT accounts without delays.

Here’s what makes us stand out:

  • End-to-end assistance with FTA VAT deregistration
  • Expert VAT consultants in UAE with real experience handling complex cases
  • Prompt turnaround times — applications filed and followed up in a timely manner
  • Complete review for compliance before filing
  • Affordable, transparent service packages

Whether your business is closing down, restructuring, or no longer meets the VAT threshold, we ensure that your FTA VAT deregistration is fast, compliant, and stress-free.

Applicability of UAE Corporate Tax

Frequently Asked Questions (FAQs)

What happens if I don't apply for VAT deregistration in time?

You'll incur an FTA penalty of AED 1,000, which increases every month until you complete the deregistration process.

Can I register for VAT again?

Yes. You may register for VAT again if your taxable turnover again crosses the mandatory registration threshold of AED 375,000.

Do I need to clear all VAT dues before deregistration?

Yes. All VAT returns and payments payable must be cleared before applying for deregistration.

How long does FTA VAT deregistration take?

It usually takes 15–20 working days, depending on the accuracy of your documents and FTA approval times.

Can a VAT group deregister?

Yes. A VAT group can apply for deregistration if it no longer meets group eligibility criteria or members wish to register separately.

End Your VAT Registration the Right Way – With Expert Help

Steer clear of penalties or rejected applications.

Let our professionals handle your VAT deregistration in UAE from start to finish accurately, fast, and 100% FTA-compliant.

Contact VAT Registration in UAE today to get started.

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