# How to get a VAT clearance certificate in the UAE

> Learn what a VAT clearance certificate is in the UAE, when you need one, required documents, and the FTA process step by step.

Source: https://einvoicedirect.ae/uae-vat/vat-clearance-certificate-uae  
Last updated: 2026-06-05  
Publisher: EInvoice Direct (Massive FZCO), UAE e-invoicing software.

## What is a VAT clearance certificate in the UAE?

A VAT clearance certificate in the UAE is an official document issued by the Federal Tax Authority (FTA) confirming that a taxable person has no outstanding VAT liabilities. It proves that all VAT returns have been filed, all payable tax has been settled, and no penalties remain unpaid. The certificate is often required before a business can complete [VAT deregistration in the UAE](https://einvoicedirect.ae/uae-vat/vat-deregistration-uae) or finalize certain government transactions.

The certificate sits within the broader [UAE VAT](https://einvoicedirect.ae/uae-vat) framework established by Federal Decree-Law 8 of 2017. VAT has applied at a 5% standard rate since January 1, 2018, and every registered business must stay compliant before the FTA will confirm a clean tax standing.

## When do you need a VAT clearance certificate?

Not every business interaction requires this certificate. Below are the most common situations where the FTA or a third party will ask for one.

### VAT deregistration

If your taxable supplies and imports fall below the voluntary registration threshold of AED 187,500, or if you stop making taxable supplies entirely, you may apply for deregistration. The FTA will not approve the application until it confirms you owe nothing. A clearance certificate, or the equivalent clearance status within the FTA portal, is part of that check. For a full walkthrough, see our guide on [VAT deregistration fees in the UAE](https://einvoicedirect.ae/uae-vat/vat-deregistration-fees-uae).

### Business sale or transfer

Buyers conducting due diligence on a UAE company acquisition often request a VAT clearance certificate. It protects the buyer from inheriting hidden tax debts. Some free zone authorities and mainland licensing bodies also ask for tax clearance before approving a trade licence transfer.

### Government tenders and contracts

Certain federal and emirate-level procurement processes require bidders to show they are tax-compliant. A clearance certificate serves as proof.

### Bank and finance requirements

Banks or investors may request the certificate during loan applications, credit facility renewals, or fundraising rounds to verify the company has no contingent tax liabilities.

## Eligibility and prerequisites

Before you apply, make sure every item on this checklist is complete. The FTA will reject or delay requests if any obligation is outstanding.

- All VAT returns filed up to the current tax period (returns are due within 28 days of the period end).

- All payable VAT settled, including any voluntary disclosures.

- All administrative penalties paid or under an approved instalment plan.

- No open tax audits or unresolved disputes with the FTA.

- If applying alongside deregistration, a final VAT return covering the last tax period must be submitted.

If you have pending [VAT refund claims as a UAE business](https://einvoicedirect.ae/uae-vat/vat-refund-uae-business), those do not block clearance. However, the FTA may offset any approved refund against outstanding liabilities before issuing the certificate.

## Documents you will need

The FTA does not publish a single universal checklist for the clearance certificate, because requirements can vary by situation. The table below covers the documents most commonly requested.

| Document | Purpose | Where to get it |
| --- | --- | --- |
| Tax Registration Number (TRN) | Identifies your VAT account | FTA portal, registration certificate |
| Filed VAT returns (all periods) | Proves filing compliance | FTA EmaraTax portal |
| Payment receipts or bank statements | Proves all VAT payable has been settled | Your bank or payment gateway |
| Voluntary disclosure forms (if any) | Shows corrections were reported | FTA EmaraTax portal |
| Penalty payment receipts (if any) | Confirms penalties are cleared | FTA EmaraTax portal |
| Trade licence copy | Confirms business identity | Relevant licensing authority |
| Emirates ID or passport of authorised signatory | Identity verification | Personal records |
| Audited financial statements (sometimes requested) | Supports accuracy of declared figures | Your external auditor |

## Step-by-step process to obtain the certificate

The process runs through the FTA's online portal. No in-person visit is required for most cases.

### Step 1: Log in to the FTA portal

Go to [tax.gov.ae](https://tax.gov.ae) and sign in to your EmaraTax account using your registered credentials.

### Step 2: Review your compliance dashboard

Check that every VAT return shows a "filed" status. Confirm that your payable balance is zero. If you see outstanding amounts, settle them before proceeding.

### Step 3: Submit a clearance request

Navigate to the relevant service. If you are requesting clearance as part of deregistration, the clearance check is embedded in the deregistration workflow. For standalone clearance requests, use the "Tax Clearance" or equivalent service option. Attach the supporting documents listed above.

### Step 4: FTA review

The FTA reviews your submission. Processing times vary, but most straightforward cases are handled within 20 business days. Complex cases involving audits or disputes take longer.

### Step 5: Receive the certificate

Once approved, the certificate is available for download from your EmaraTax dashboard. It will state your TRN, business name, and confirmation that no liabilities exist as of the issue date.

## Common reasons for rejection or delay

Understanding why applications stall helps you avoid wasted time.

- **Unfiled returns.** Even a single missing return blocks clearance. Double-check every period, including any short periods created by a change in tax period length.

- **Unpaid penalties.** Late filing and late payment penalties under Cabinet Decision 106 of 2025 range from AED 2,500 to AED 50,000 per violation. These must be settled first.

- **Open audit.** If the FTA has initiated a tax audit, clearance is paused until the audit concludes.

- **Incorrect bank details.** If you have a pending refund and the FTA cannot verify your bank account, the process stalls.

- **Mismatch in declared figures.** Discrepancies between your returns and your financial records may trigger additional information requests.

## How long is a VAT clearance certificate valid?

The FTA does not specify a universal validity period. In practice, most third parties accept a certificate that is less than 3 months old. If you need the certificate for a specific transaction, request it close to the date you plan to use it. A certificate only confirms your status on the date of issue. New liabilities arising after that date are not covered.

## VAT clearance vs. tax residency certificate

These two documents are different. A VAT clearance certificate confirms you owe no VAT. A tax residency certificate, issued by the [Ministry of Finance (MoF)](https://mof.gov.ae), confirms that a person or entity is a tax resident of the UAE for the purposes of double taxation agreements. Businesses sometimes confuse the two, but they serve separate purposes and are obtained through different channels.

## Tips for a smooth clearance process

These practical steps reduce delays.

- **File returns on time, every period.** VAT returns are due within 28 days of the tax period end. Consistent filing means no backlog when you need clearance.

- **Reconcile before you apply.** Match your VAT return figures to your accounting records. Fix errors through voluntary disclosure before requesting clearance.

- **Keep payment proof.** Store bank confirmations for every VAT payment. The FTA may ask for them.

- **Resolve disputes early.** If you disagree with an FTA assessment, file a reconsideration request promptly. Unresolved disputes block clearance.

- **Plan ahead.** If you know you will need clearance for a business sale or deregistration, start preparing at least 2 months in advance.

## Related VAT processes

A clearance certificate often comes up alongside other VAT procedures. These guides cover the related topics in detail:

- [VAT refund for UAE tourists](https://einvoicedirect.ae/uae-vat/vat-refund-uae-tourists) covers the refund scheme for visitors.

- [VAT refund for new residential properties in the UAE](https://einvoicedirect.ae/uae-vat/vat-refund-uae-new-residential-properties) explains how UAE nationals reclaim VAT on newly built homes.

- Our [UAE VAT](https://einvoicedirect.ae/uae-vat) hub links to every topic in the VAT cluster, from registration to returns to penalties.

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If your business is preparing for VAT clearance, deregistration, or the upcoming UAE e-invoicing mandate, EInvoice Direct can help you stay compliant. [Get UAE e-invoicing pricing](https://einvoicedirect.ae/for-businesses#contact) and see how EInvoice Direct works for your finance team.

## Frequently asked questions

### What is a VAT clearance certificate in the UAE?

A VAT clearance certificate is an official document from the Federal Tax Authority confirming that a business has no outstanding VAT liabilities. It shows all returns are filed, all tax is paid, and no penalties remain. It is commonly required for VAT deregistration, business sales, and government contracts.

### How do I get a VAT clearance certificate from the FTA?

Log in to the FTA's EmaraTax portal at tax.gov.ae. Ensure all VAT returns are filed and all payable amounts are settled. Submit a clearance request or initiate it through the deregistration workflow. Attach supporting documents such as payment receipts and your trade licence. The FTA typically processes straightforward requests within 20 business days.

### How long does it take to get a VAT clearance certificate in the UAE?

Most straightforward requests are processed within 20 business days. Cases involving open audits, unresolved disputes, or missing returns take longer. You can speed up the process by ensuring all returns are filed and all liabilities are paid before you apply.

### Is a VAT clearance certificate required for deregistration in the UAE?

Yes. The FTA checks that you have no outstanding VAT obligations before approving a deregistration application. This clearance check is built into the deregistration process on the EmaraTax portal. You must file a final VAT return and settle all amounts owed before the FTA will approve your request.

### How long is a UAE VAT clearance certificate valid?

The FTA does not set a fixed validity period. In practice, most third parties such as banks, buyers, and licensing authorities accept a certificate that is less than 3 months old. The certificate only confirms your compliance status on the date it was issued.

### What happens if my VAT clearance certificate application is rejected?

Rejection usually means you have unfiled returns, unpaid tax, outstanding penalties, or an open audit. Review the FTA's feedback, resolve the issue, and resubmit. Common fixes include filing missing returns, paying penalties ranging from AED 2,500 to AED 50,000 per violation, or waiting for an audit to conclude.

### Is a VAT clearance certificate the same as a tax residency certificate?

No. A VAT clearance certificate confirms you owe no VAT. A tax residency certificate, issued by the Ministry of Finance, confirms UAE tax residency for double taxation agreement purposes. They serve different functions and are obtained through different channels.


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This content is informational and is not tax, legal, or financial advice.
For UAE e-invoicing pricing, see https://einvoicedirect.ae/for-businesses#contact