The Text Message You Received
If you recently registered for VAT — or if you're a VAT-registered business approaching the end of a tax period — you may have received a text message that looks exactly like this:
Dear Taxable Person,
As per Article (64) of the Cabinet Decision No. (52) of 2017 "A Tax Return must be received by the Authority no later than the 28th day following the end of the Tax Period concerned or by such other date as directed by the Authority", please note that not submitting the Tax Returns will lead to late filing penalty.
Kindly note that your VAT Return for Stagger 3 Period 4 - Jan 2026 to Mar 2026 is available to submit through the EmaraTax portal. Please submit it and settle the payable amount to the Authority. Please ignore this message if you have already submitted your return and paid your outstanding dues.
Best Regards,
Federal Tax Authority
This is a legitimate text message from the FTA. It's not a scam. It's telling you that your quarterly VAT return is now open for filing on EmaraTax and must be submitted before the deadline. Let's break down exactly what every part of this message means.
What "Stagger 3 Period 4" Means — Decoding Your Tax Period
The FTA assigns every VAT-registered business to one of three stagger groups. Each group has different quarterly periods. The stagger group is assigned at registration and determines which three-month cycle your VAT returns follow.
| Stagger Group | Period 1 | Period 2 | Period 3 | Period 4 |
|---|---|---|---|---|
| Stagger 1 | Jan – Mar | Apr – Jun | Jul – Sep | Oct – Dec |
| Stagger 2 | Feb – Apr | May – Jul | Aug – Oct | Nov – Jan |
| Stagger 3 | Mar – May | Jun – Aug | Sep – Nov | Dec – Feb * |
* Note: The periods may vary slightly. The FTA message tells you the exact months — in this case, "Jan 2026 to Mar 2026". That's the quarter you need to file for.
Your stagger group is shown on your VAT registration certificate. If you're not sure which stagger group you're in, log into EmaraTax and check your VAT dashboard — it shows all open and upcoming return periods.
💡 First-time filer? If you just registered for VAT, your first return period may be shorter than a full quarter — it starts from your VAT effective date and ends at the end of the assigned quarter. The FTA message will tell you the exact dates.
Your Deadline — 28 Days After the Quarter Ends
The rule is simple: file and pay within 28 days after the end of the tax period.
| If Your Period Ends… | Your Deadline Is… |
|---|---|
| 31 March 2026 | 28 April 2026 |
| 30 June 2026 | 28 July 2026 |
| 30 September 2026 | 28 October 2026 |
| 31 December 2026 | 28 January 2027 |
Both the filing (submitting the VAT 201 form on EmaraTax) and the payment (settling any VAT payable) must be completed by this date. Not one or the other — both.
AED 1,000 for the first late filing. AED 2,000 for each subsequent late filing within 24 months. This penalty applies even if your return is nil — AED 0 in sales, AED 0 in purchases, AED 0 in VAT. You still must file. Late payment triggers a separate penalty of 2% immediately + 4% monthly on the outstanding amount. Read our nil VAT return guide →
What You Need to File — The VAT 201 Return
The VAT 201 is the standard UAE VAT return form. It covers everything that happened in your business during the quarter from a VAT perspective. Here's what goes where:
| Box | What It Covers | Example |
|---|---|---|
| Box 1 | Standard rated supplies (5%) | Sales of goods/services in the UAE |
| Box 2 | Tax refunds to tourists | Usually zero for most businesses |
| Box 3 | Reverse charge supplies received | Services imported from outside UAE |
| Box 4 | Zero-rated supplies | Exports, international services |
| Box 5 | Exempt supplies | Certain financial services, bare land |
| Box 6 | Goods imported into UAE | Physical goods cleared through customs |
| Box 7 | Adjustments to goods imported | Corrections to import declarations |
| Box 9 | Standard rated expenses | Purchases where you paid 5% VAT (input) |
| Box 10 | Reverse charge purchases | VAT self-accounted on imported services |
| Box 13 | Net VAT due | Output VAT minus input VAT = what you owe (or refund) |
The most important number is Box 13 — Net VAT Due. If it's positive, you owe the FTA and must pay by the deadline. If it's negative, you have excess input VAT and can apply for a VAT refund.
How to File — Step by Step on EmaraTax
Log into EmaraTax
Go to eservices.tax.gov.ae and log in with your credentials. Navigate to your VAT tile on the dashboard.
Open the Return for Your Period
You'll see the open return for the period mentioned in the FTA message (e.g., Jan 2026 – Mar 2026). Click to open the VAT 201 form.
Enter Your Output VAT (Sales)
Fill in Boxes 1–7 with your sales data: standard rated supplies, zero-rated supplies, exempt supplies, and any imports. The VAT amounts are auto-calculated for standard-rated entries.
Enter Your Input VAT (Purchases)
Fill in Boxes 9–10 with your purchase data: standard rated expenses (the 5% VAT you paid to suppliers) and any reverse charge purchases. Make sure every invoice has a valid supplier TRN.
Review Box 13 — Net VAT
The form auto-calculates your net VAT position. Positive = you owe the FTA. Negative = refund position. Zero = nil return. Verify this matches your own records.
Submit & Pay
Submit the return. If VAT is payable, proceed to payment through EmaraTax (bank transfer, e-Dirham, or credit card). Both filing and payment must be done by the 28th.
Don't Want to Deal with This? We'll File It for You
Fastlane handles your quarterly VAT return filing — from AED 199/month for standalone VAT filing. No missed deadlines, no penalties.
What If You Had Zero Activity This Quarter?
No sales. No purchases. No VAT. You still must file.
A nil return — with zeros in every box — must be submitted by the same deadline. The FTA doesn't care that your business was inactive. If you're VAT-registered, you file. Period.
Not filing a nil return triggers the exact same AED 1,000 penalty as not filing a return with AED 100,000 in output VAT. We see this mistake constantly — business owners assume "no activity = no obligation." That assumption costs AED 1,000 per quarter.
If you've been filing nil returns for multiple quarters and your business has genuinely stopped making taxable supplies, you should consider VAT deregistration to stop the filing obligation entirely. Read our guide on nil VAT returns and when to deregister →
What Information You Need to Prepare Before Filing
Before you sit down to fill the VAT 201, have these ready:
Sales records: All invoices issued during the quarter — sorted by standard rated (5%), zero-rated (exports), and exempt. Each invoice must show the VAT amount separately.
Purchase records: All supplier invoices received during the quarter. Each must have the supplier's valid TRN. For invoices above AED 10,000, your buyer TRN must also appear.
Bank reconciliation: Ensure your recorded transactions match your bank statements. Discrepancies create audit risk.
Credit notes: Any credit notes issued or received must be reflected in the return — they reduce output or input VAT accordingly.
Import documents: Customs declarations for any goods imported during the quarter.
We recommend filing at least 5 days before the deadline. EmaraTax can experience slowdowns near deadline dates. Payment processing may take 1–2 business days for bank transfers. If you submit on the 28th and the payment clears on the 29th — that's a late payment penalty. Give yourself a buffer.
Penalty Summary — What's at Stake
| Violation | Penalty | Notes |
|---|---|---|
| Late filing (1st offence) | AED 1,000 | Even for nil returns |
| Late filing (repeat within 24 months) | AED 2,000 | Per occurrence |
| Late payment — immediate | 2% of unpaid amount | Applied on day 1 after deadline |
| Late payment — ongoing | 4% per month | On the outstanding balance |
| Late payment — annual cap | 300% of tax due | Maximum cumulative penalty |
The late filing penalty is fixed — AED 1,000 regardless of how much VAT is due. The late payment penalty is proportional — it grows with the outstanding amount and the delay. Both are auto-applied by the FTA system. No warnings, no grace periods.
Is This Your First VAT Return? Here's What New Registrants Need to Know
If you recently completed VAT registration, this might be your very first return. A few things to be aware of:
Your first period may be shorter than a quarter. If you registered effective 15 February 2026 and your stagger period ends 31 March 2026, your first return covers only ~6 weeks. The deadline is still 28 April 2026.
You can claim input VAT from before registration. If you incurred VAT on purchases up to 5 years before your registration date (for goods still held) or services received up to 6 months before registration, you may be able to claim these as input credit on your first return. Talk to your tax agent before filing.
Set up your accounting now, not later. The worst time to organise receipts and invoices is the 25th of the month after the quarter ends. Monthly accounting from AED 499/month ensures your books are always ready when filing time comes.
First VAT Return? Let Fastlane Handle It Right
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💬 Get VAT Filing HelpWritten & Reviewed by Nithin — FTA-Registered Tax Agent (TRN: 104218042400003)
Nithin has filed over 4,000 VAT returns for UAE businesses. This guide is based on the actual FTA notification SMS and the current VAT 201 filing process on EmaraTax as of 2026.