Delivered to your inbox
Keep up with the latest through our Monthly Newsletter
Federal Tax Authority Releases Updated UAE VAT Profit Margin Scheme Guide
07/01/2026The Federal Tax Authority has released updated guidance on the UAE VAT Profit Margin Scheme, providing clearer direction on eligibility, VAT calculation, and practical application.
The update is particularly relevant for businesses trading in used goods and for asset disposals where input VAT was not recoverable. Where the conditions are met, VAT is calculated solely on the profit margin, rather than the full selling price, supporting cash flow efficiency while remaining fully compliant.
Read our detailed analysis and insights in our article.