- The UAE has set financial penalties for non-compliance with mandatory e-invoicing, effective from a phased rollout starting July 1, 2026, and completing in October 2027.
- Failing to implement the system or appoint an Accredited Service Provider on time results in a fine of AED 5,000 per month.
- Not exchanging or receiving e-invoices/e-credit notes within the required timeframe incurs a penalty of AED 100 per document, capped at AED 5,000 per month.
- Failure to report system failures or changes in registered data to authorities on time results in a penalty of AED 1,000 per incident.
- Penalties apply only to those subject to mandatory e-invoicing; voluntary participants are exempt, encouraging voluntary compliance during the transition.
Source: vatabout.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
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