How to do your VAT registration
VAT is a (5%) tax charged on the sale of goods or services. Unless an exemption applies, transportation services are subject to VAT.
If you’re new to VAT, this page walks you through the basics of your registration process. Expect the registration to take 20 business days.
Consult a tax advisor for more details on criteria and requirements that apply to you.
What your registration entails
VAT collected from providing services
The VAT you collect from selling your transportation services to Riders is payable to the Tax Authority, if these services can be considered pleasure trips. If not, the transportation services are exempt from VAT. More on pleasure trips will follow later.
VAT on business expenses
Besides collecting VAT, VAT can also be charged to you by several parties. For example on business expenses such as fuel, car repairs and the Uber Service Fee. When you are VAT registered, you may be able to deduct this from your collected VAT.
Please note that you will not be able to deduct VAT related to exempt services. See the concerning FAQ below for more information.
Criteria and Requirements
You are obliged to register for VAT when your annual taxable turnover has reached the registration threshold of AED 375,000 in the last 12 months, or you expect it to reach this threshold in the next 30 days.
When your turnover has reached AED 187,500 in the last 12 months, or you expect it to do so in the next 30 days, you can opt to register for VAT voluntarily.
Please note that your taxable turnover does not include the regular transportation services, since they are VAT exempt. Pleasure trips, however are taken into account for the determination of your taxable turnover.
The registration is done online. The registration guidelines can be downloaded from this page.
Your Uber Profile
To complete your Uber Profile, please carry out the following 6 steps:
- Select “Profile” from Menu;
- Add the Commercial Title of your limousine company to the first line in the address bar;
- Add the address of your limousine company to the second line in the address bar;
- Complete the fields regarding City, Country and Postal code;
- Add the Tax Office and Tax Registration Number of your Company;
- Click update.
- Does Uber pay VAT on my behalf?
No. Since Uber is only providing you with a tool to connect with your customers, and you, as an independent contractor, are the one providing the transportation services to these customers (passengers), you are solely liable for reporting and paying VAT to the UAE Federal Tax Authority (FTA).
- What is the applicable VAT rate?
The VAT rate for taxable services is 5%, but as indicated earlier the services you render in transporting your customers (passengers) may be exempt.
- Can I claim/deduct VAT?
In some cases, you can deduct the VAT you have paid on purchases of goods or services (“Input VAT”) required for your business. Such Input VAT may be deducted from the VAT you charge on the transportation services rendered to your customers (passengers) for pleasure trips. Please note that the input VAT is not deductible if you only render passenger transportation services which are not pleasure trips.
You cannot deduct the Uber service fee itself for VAT purposes; only VAT due on this Uber service fee can be deducted if your services are taxable (i.e. not exempt). You would then need to pay the difference to the Tax Authorities, and report these amounts in your periodic VAT returns.
Please be informed that VAT on certain expenses may not be deducted. These include entertainment expenses. Entertainment expenses cover hospitality of any kind, including the provision of accommodation, food and drinks which are not provided in a normal course of a meeting, access to shows or events, or trips provided for the purposes of pleasure or entertainment. However, VAT on entertaining employees may however be deductible if required by law or if there is a contractual obligation to incur such expenses on employees and it is normal business practice to do so in the course of the employment.
Please contact your local Tax Authorities or tax advisor to understand if you can deduct VAT or get a VAT refund.
- Will Uber generate invoices to my customers on my behalf?
Uber does not generate invoices on your behalf for transporting your customers (passengers) from one place in the UAE to another place in the UAE.
- How can I issue a tax compliant invoice to my customers for the transportation services provided?
You will not be required to issue a Tax Invoice if your (transportation) service is exempt.
If you are registered for VAT and your service is not exempt, then you would be required to issue a Tax invoice. In this case, since the invoice is likely to be less than AED 10,000, you may issue a simplified tax invoice containing the following details:
- The display of the words “Tax Invoice”
- The date of the invoice
- The name, address and tax registration number of the supplier.
- A description of the goods or services supplied.
- The total amount of the consideration and the tax charged.
- Where can I find the invoices issued by Uber BV to me for the Uber Service Fee?
You can find any invoice issued for you on partners.uber.com on your partner profile.
- How and when do I file VAT returns?
Once registered for VAT, you must file VAT returns to the FTA. Taxpayers can only submit their VAT returns electronically.
The taxation period for VAT purposes is three months and a VAT return should be filed by the 28th day of the month following the period in which the taxable supply took place and the tax should be paid on 28th day of the same month. Should you require more detailed guidance and update on the application of VAT in the UAE, you might want to sign up to the Tax Authority website. Please review the following link: eservices.tax.gov.ae.
Every Partner is unique and so are their specific tax circumstances. As such, the information on this page may not cover your tax needs and it should not be relied upon to replace you seeking independent tax advice. Uber can’t provide you with tax advice for your individual situation, and therefore we strongly recommend speaking with a professional tax advisor to get tailored help and advice for your specific circumstances. The purpose of this page is solely to provide general information and is not construed to be exhaustive. This page is for audiences in the United Arab Emirates only.
Last update: 10.12.2019