2025-10-29
UAE e-Invoicing: A Digital Step Ahead in Tax Adherence
2025-10-09
A significant leap was taken towards the fully digital tax realm, as announced via Ministerial Decisions No. 243 and 244 of 2025 by the UAE Minister of Finance and the Federal Tax Authority. The electronic invoicing (or e-invoicing) system is now officially approved, with a phased rollout starting in July 2026.
e-Invoicing isn’t all about scanning or emailing PDF invoices and records. It also defines creating, exchanging and storing invoicing in a structured digital format that allows for automated validations and a seamless exchange between buyer and supplier systems. The e-Invoicing is co-related with business softwares via approved service providers (or ASPs) using the OpenPeppol framework to enforce integration, accuracy and trackability.
The UAE e-Invoicing Programme is to:
This is very symbolic of the digital tax transformation occurring in leading economies and additionally will position the UAE as a regional leader in smart governance and efficient fiscal processes. Many reputed tax consultants in Dubai are also adapting to these advancements to better serve businesses in the evolving financial landscape.
| Phase | Description | Deadline |
| Pilot Programme | Testing on selected taxpayers | From 1 July 2026 |
| Phase 1 | All businesses with revenue ≥ AED 50 million must sign up with an ASP | By 31 July 2026, live 1 January 2027 |
| Phase 2 | All businesses with revenue < AED 50 million | By 31 March 2027, live 1 July 2027 |
| Government Entities | Mandatory use | By 31 March 2027, Live use 1 October 2027 |
(Ref: Article 5, Ministerial Decision ‘244 of 2025)
Everyone covered under UAE VAT (B2B/B2G) is required to comply with these rules, apart from those that only engage in Business-to-Consumer (B2C) transactions, as those will be brought under the system at a future date chosen by either the FTA or a separate decision.
To relate to Decentralized Continuous Transaction Control and Exchange (DCTCE):
Understand the e-Invoicing data requirements (according to the UAE-PINT standard).
Currently, invoices issued to customers outside of the UAE are not subject to the e-Invoicing system. Therefore, invoices can continue to be issued via the existing invoicing process until clarified further or expanded.
It is important to remember that e-invoicing requirements apply to UAE businesses when acting as suppliers. Therefore, regardless of whether invoices are issued to customers outside of the UAE, the UAE company must comply with the requirements of e-Invoicing and report the invoices through an Accredited Service Provider, while the customer has no obligation.
e-Invoicing is not simply an alignment obligation; it is an opportunity for digitization. e-Invoicing adds more trust to business reporting, eliminates operating inaccuracy or discrepancies, and positions UAE businesses in an internationally recognized digital tax network.
An accounting firm in Dubai, supports organizations to determine their readiness, identify accredited service providers, and ensure seamless integration across finance, ta,x and ERP systems.
With over 25 years in Dubai and nearly 30 years as a Chartered and Management Accountant, Hemant has extensive experience across manufacturing, services and technology sectors. He has worked with major corporate groups including Al Tayer, Saif Al Ghurair, Dhabi, and Aditya Birla. Hemant specializes in profitability and cost management, debt restructuring, contract management, and regulatory compliance, having generated approximately USD 47.5 million in savings and profit growth. A confident public speaker and Distinguished Communicator, he lives by the quote: “You get what you reward for. If you want ants to come, you put sugar on the floor” (Charlie Munger), embodying his belief that “Profit has its own intelligence.”
With over 25 years in Dubai and nearly 30 years as a Chartered and Management Accountant, Hemant has extensive experience across manufacturing, services and technology sectors. He has worked with major corporate groups including Al Tayer, Saif Al Ghurair, Dhabi, and Aditya Birla. Hemant specializes in profitability and cost management, debt restructuring, contract management, and regulatory compliance, having generated approximately USD 47.5 million in savings and profit growth. A confident public speaker and Distinguished Communicator, he lives by the quote: “You get what you reward for. If you want ants to come, you put sugar on the floor” (Charlie Munger), embodying his belief that “Profit has its own intelligence.”
Archana Mundhra is a qualified Chartered Accountant with over 15 years of experience in multinational corporations. Her proficiency lies in financial planning and business intelligence. Her deep financial understanding and profound analytical skills empower her to assist management in realizing their objectives effectively.
Rinkle Jain is a qualified Chartered Accountant and Fellow Member of the Institute of Chartered Accountant of India. A results-driven Chartered Accountant with a distinguished career marked by proficiency in management, financial planning, and catalyzing overall company development.Demonstrates a unique blend of financial acumen, strategic insight, and leadership prowess, contributing significantly to organizational success.
