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Filing
Nil VAT returns in the UAE
The cheapest filing you will ever do is also the one most often forgotten. A dormant quarter still owes the FTA a return, and the penalty for missing it does not care that the boxes were zeros.
- Still due
- 28 days
- Penalty if skipped
- AED 1,000
- Not the same as
- Deregistration
A nil period has exactly the same deadline as a trading one.
Rising to AED 2,000 on a repeat within 24 months.
Dormancy does not end the obligation. Deregistering does.
How it runs
- We confirm the period really is nilNo sales is common. No purchases at all is rare, and recoverable input tax on rent, licences or software makes the return a refund position rather than a nil one.
- Reverse-charge items get checkedA dormant company still paying for foreign software has reverse-charge entries to declare, so the return is not nil after all.
- The return is filed and archivedZeros where zeros belong, and a note on file explaining why the period was quiet.
- We tell you if deregistration is the better answerIf the business has stopped, filing nil returns forever is the expensive way to do nothing.
What we ask you for
- TRN and EmaraTax access
- Bank statements for the period, to confirm there was no activity
- Any supplier invoices paid during the period
What we see go wrong
- Treating "no invoices raised" as nil while rent, licence fees and software subscriptions were still being paid.
- Assuming a dormant company can simply stop filing. The obligation runs until the TRN is cancelled.
- Filing nil for several quarters in a row without asking whether deregistration is now mandatory.
Questions we get asked
Do I have to file a VAT return if I had no sales?
Yes. A nil return is still a return, and skipping it triggers the same fixed penalty as a return with tax due: AED 1,000 for a first offence and AED 2,000 for a repeat within 24 months.
Can I claim input tax on a nil-sales period?
Yes. If you paid VAT on rent, a trade licence, software or professional fees and the recovery conditions are met, the period is a refund position rather than a nil one.
How long can I keep filing nil returns?
Indefinitely, but if the business has stopped supplying and taxable supplies have fallen below AED 187,500 you may be required to deregister rather than continue filing.
General information about UAE VAT, current at 10 August 2026. It is not tax advice and does not create a client relationship — see our disclaimer. Confirm your own position with the FTA, or with us, before acting.
Send the return. We will tell you where it stands.
No charge for the first look. If nothing needs doing we will say so, and if something does you will know what it costs before you decide.