FTA-Registered Tax Agents • Same-Day Filing
VAT Deregistration in UAE — Cancel Your VAT Registration from AED 499
Cancel your VAT registration with the Federal Tax Authority through EmaraTax. We handle the full process — from eligibility check and document preparation to filing your final VAT return and delivering your deregistration certificate.
⚠️ Late penalty: AED 1,000/month up to AED 10,000 — Apply within 20 business days
VAT Deregistration — All-Inclusive
Complete FTA deregistration with final return
- Eligibility assessment & compliance check
- EmaraTax portal submission
- Final VAT return preparation & filing
- FTA liaison & follow-up until approval
- Deregistration certificate delivery
- Penalty avoidance guarantee
Overview
What Is VAT Deregistration in the UAE?
VAT deregistration is the formal process of cancelling your business's VAT registration with the UAE Federal Tax Authority (FTA). Once your deregistration application is approved, your Tax Registration Number (TRN) becomes inactive, and you are no longer required to charge VAT at 5% on your supplies or file periodic VAT returns.
The process is conducted entirely online through the EmaraTax portal. Under Federal Decree-Law No. 8 of 2017 on VAT and Cabinet Decision No. 52 of 2017, the FTA requires businesses to apply for deregistration when they cease making taxable supplies, their turnover drops below the threshold, or the business undergoes structural changes such as liquidation or merger. Articles 21, 22 and 23 of the VAT Law define the specific conditions for mandatory and voluntary deregistration.
⚠️ Important: You must apply within 20 business days of becoming eligible for deregistration. Missing this deadline triggers automatic penalties starting at AED 1,000 per month.
Not Sure if You Need to Deregister?
Our VAT experts can assess your eligibility in minutes — no obligation.
💬 Check My Eligibility on WhatsAppKey VAT Registration Thresholds in UAE
| Threshold | Amount (AED) | Action Required |
|---|---|---|
| Below Voluntary Threshold | Below 187,500 | Mandatory deregistration required |
| Between Thresholds | 187,500 – 375,000 | Voluntary deregistration allowed |
| Above Mandatory Threshold | Above 375,000 | Must stay VAT-registered |
Why Fastlane
Why Choose Fastlane for VAT Deregistration in Dubai & UAE?
We make your VAT deregistration fast, compliant, and stress-free. Cancel your VAT registration correctly and avoid FTA penalties.
FTA-Registered Tax Agents
We are approved tax agents registered with the Federal Tax Authority (TRN: 104218042400003). Our team handles complex deregistration cases daily across all emirates.
Same-Day EmaraTax Filing
Submit your application the same day you engage us. No delays, no missed deadlines, no accumulating penalties.
AED 499 All-Inclusive
One transparent fee covers everything — eligibility check, application filing, final VAT return, FTA follow-up, and deregistration certificate.
Penalty Prevention
We ensure your application meets every FTA requirement before submission, preventing rejections and the AED 10,000 penalty.
Need Quick Clarity on VAT Deregistration?
Our VAT experts are available on WhatsApp for instant guidance.
💬 Chat With VAT ExpertEligibility & Scenarios
When Is VAT Deregistration Required in the UAE?
Under UAE VAT law (Articles 21–23), you must apply for VAT deregistration with the FTA within 20 business days if any of the following scenarios apply to your business:
Business Ceased Operations
Your company has permanently stopped making taxable supplies of goods or services in the UAE. This includes businesses that have wound down operations but not yet formally liquidated.
Turnover Below AED 187,500
Your taxable supplies in the past 12 months fell below the voluntary VAT registration threshold of AED 187,500, and you do not expect to exceed this amount in the next 30 days.
Company Liquidation or Dissolution
The business is being formally wound up, dissolved, or undergoing liquidation proceedings. A liquidation audit report and trade licence cancellation are typically required.
Merger or Acquisition
The entity has merged with another business, or ownership has been transferred to a new entity that will register separately for VAT.
Voluntary Deregistration
Turnover is between AED 187,500 and AED 375,000 — you may choose to voluntarily cancel your VAT registration. However, you cannot deregister within 12 months of voluntary registration.
Tax Group Deregistration
The entity no longer meets the financial, economic, or regulatory association requirements to remain in a VAT group. Individual members cannot deregister without dissolving the entire group.
Transition to Exempt Supplies Only
If your business transitions from taxable to fully exempt activities (such as certain financial services or residential property), you may need to deregister since exempt supplies do not count toward the registration threshold.
⚠️ VAT Deregistration Penalties in UAE
Missing the 20 business day deadline for mandatory deregistration triggers automatic FTA penalties under Cabinet Resolution No. 40 of 2017. The penalties accumulate monthly:
| Delay Period | Cumulative Penalty (AED) |
|---|---|
| 1st month late | 1,000 |
| 2nd month | 2,000 |
| 3rd month | 3,000 |
| 6th month | 6,000 |
| 10+ months (maximum) | 10,000 |
Already Past the Deadline?
We can file urgently and help you apply for a penalty waiver through the FTA reconsideration process.
💬 Get Urgent HelpKnow the Difference
Mandatory vs Voluntary VAT Deregistration in UAE
Understanding which type of deregistration applies to your business determines the deadline, process, and potential penalties you must follow.
| Criteria | Mandatory Deregistration | Voluntary Deregistration |
|---|---|---|
| When It Applies | Taxable supplies below AED 187,500 or business ceased entirely | Taxable supplies between AED 187,500 and AED 375,000 |
| Deadline | Within 20 business days of becoming eligible | No fixed deadline |
| 12-Month Restriction | Not applicable | Cannot deregister within 12 months of voluntary registration |
| Penalty for Delay | AED 1,000/month up to AED 10,000 | No penalty for delay |
| FTA Initiated? | Yes — FTA can deregister you if non-compliant | No — initiated by the business only |
| Final VAT Return | Required within 28 days | Required within 28 days |
| Deemed Supply | Applies to remaining assets | Applies to remaining assets |
Not Sure Which Type Applies?
Send us your turnover details and we'll confirm within minutes.
💬 Ask Us on WhatsAppStep-by-Step Guide
How to Deregister for VAT in UAE Through EmaraTax
The VAT deregistration process is completed entirely online through the FTA's EmaraTax portal. Whether you handle it yourself or engage a registered tax agent, here is the complete step-by-step process:
Log In to EmaraTax Portal
Access the EmaraTax portal at eservices.tax.gov.ae using your FTA credentials or UAE Pass. If two-factor authentication is enabled, enter the OTP sent to your registered email and mobile number. If you have forgotten your password, use the "Forgot Password" feature to reset before starting — an incorrect password can lock your account and cause unnecessary delays.
Select Your Taxable Person
From the EmaraTax dashboard, you will see a list of Taxable Persons linked to your profile. Select the entity you wish to deregister and click "View" to access its individual dashboard. If no Taxable Person is linked, you will need to create one first.
Initiate VAT Deregistration
On the VAT tile within the dashboard, click "Actions" and select "Deregister". You will be prompted to either review/update your bank details by clicking "Edit/Review", or proceed directly by clicking "Proceed to De-Registration". Ensure your bank details are current — the FTA uses these for any refund of credit balances.
Complete TRS Deregistration (If Applicable)
If your business is registered under the Tourist Refund Scheme (TRS), you must complete TRS deregistration first. The FTA will not process your VAT deregistration until TRS cancellation is confirmed. This adds approximately 30–45 days to the overall timeline, so plan ahead.
Select Deregistration Basis and Dates
Choose the reason for deregistration from the dropdown — such as business closure, turnover below threshold, or liquidation. Based on your selection, the system will display relevant input fields. Enter the date from which you became eligible. EmaraTax automatically calculates the effective deregistration date, although you can request an alternative date with a valid justification.
Enter Taxable Supplies and Expenses
Provide your taxable supplies and expenses to support the application. You can enter figures manually or download and complete the Excel template provided by EmaraTax. All figures must be in UAE Dirhams (AED). Break down your supplies by taxable, zero-rated, and exempt categories for the relevant 12-month period.
Upload Supporting Documents
Upload all required documents in PDF, JPG, or PNG format (maximum 5 MB per file). This includes your trade licence copy, financial statements, board resolution, signed declaration letter, and any other supporting evidence. Incomplete documentation is the primary reason for application rejection.
Verify Authorised Signatory and Submit
Verify the authorised signatory details shown in the application. Use the "Previous" and "Next" buttons to review all entered information across every section. Once satisfied, accept the declaration terms and click "Submit". You will receive an automatic acknowledgment email with a unique reference number — save this for tracking.
Respond to FTA Queries
The FTA reviews applications within approximately 20 business days. During this period, they may request additional documents or clarification via email. Common requests include detailed turnover breakdowns, explanations for discrepancies between declared figures and filed returns, or additional evidence of business cessation. The processing timeline resets from the date you provide requested materials.
File Final VAT Return and Settle Liabilities
Once the FTA pre-approves your deregistration, a final VAT return is generated on EmaraTax. You must submit this return and settle all outstanding liabilities — including deemed supply output VAT on remaining business assets — within 28 days from the effective deregistration date. If your account shows a credit balance, initiate the refund through the EmaraTax portal.
Don't Want to Navigate EmaraTax Yourself?
Let our FTA-registered tax agents handle every step — from login to certificate delivery.
Track Your Application
FTA VAT Deregistration Application Status — What Each Stage Means
After submitting your VAT deregistration application on EmaraTax, you can monitor its progress on your dashboard. Here is what each status means:
Under Review
Your application is being actively examined by FTA officials. This may include audit procedures or cross-checking your declared turnover against filed VAT returns.
Pending Information
The FTA requires additional documentation or clarification. Check your registered email for specifics and respond promptly — the 20-day processing clock resets from your response date.
Pre-Approved
Your application has been accepted. A final VAT return will be generated — you must file it and settle all liabilities within 28 days to complete the deregistration.
What You Need
Documents Required for VAT Deregistration in UAE
The FTA requires substantial documentation to verify your eligibility and tax compliance. Requirements vary by deregistration reason, but the following represent the standard necessities. When you engage Fastlane, you only provide 2 items — we prepare everything else.
Trade Licence Copy
Your current trade licence — or cancelled trade licence if the licence has been revoked or the company is being liquidated.
EmaraTax Login Details
Your EmaraTax portal credentials (username & password) or UAE Pass access so we can submit the deregistration application on your behalf.
Latest Financial Statements
Trial Balance, Profit & Loss Statement, or Balance Sheet — audited or unaudited. These verify your turnover figures. Need help? Our accounting team can prepare these.
Board Resolution
A board resolution authorising the VAT deregistration, signed by all directors or shareholders. We prepare this document for your signature.
Signed Declaration Letter
An official letter (signed and sealed) declaring the absence of any business activity within the UAE. We draft this for you.
Liquidation Letter (If Applicable)
If the company is being liquidated, a formal liquidation letter from the relevant free zone or DED authority is required.
Geographical Chart (If Requested)
A chart showing the geographical location of your suppliers and customers. The FTA may request this for businesses with cross-border transactions.
Taxable Supplies/Expenses Sheet
The EmaraTax-generated Excel template showing taxable, zero-rated, and exempt supplies for the relevant period, completed in AED.
✅ When you engage Fastlane: You only provide your trade licence and EmaraTax login. We prepare all declarations, board resolutions, financial summaries, and supporting documents — shared with you for signature before filing.
Need Help Gathering Documents?
We handle it all. Just share your trade licence and portal access.
💬 WhatsApp UsImportant Rule
Deemed Supply — VAT on Remaining Business Assets at Deregistration
One of the most commonly overlooked aspects of VAT deregistration in the UAE is the deemed supply rule. Under Article 16 of Federal Decree-Law No. 8 of 2017, any business assets or goods remaining on the date of deregistration are treated as if they were supplied (sold) at market value.
This means you must account for output VAT at 5% on the market value of remaining inventory, equipment, vehicles, and any other taxable goods still held by the business in your final VAT return. This includes:
Inventory & Stock
All unsold goods and raw materials at market value on the deregistration date.
Equipment & Machinery
Office equipment, computers, vehicles, and any capital assets where input VAT was previously recovered.
Other Taxable Assets
Furniture, fixtures, and any other tangible business assets with remaining value.
Exemption: Deemed supply does not apply to assets where input tax was not recovered at the time of purchase, or where the total value of remaining assets does not exceed AED 10,000.
Fastlane calculates your deemed supply liability as part of our AED 499 package, ensuring your final VAT return is accurate and complete.
💬 Get Deemed Supply Calculation HelpHow It Works
Our VAT Deregistration Process — From Engagement to Certificate
A streamlined 4-step approach to get your VAT deregistration approved through EmaraTax, fully managed by Fastlane.
Eligibility Review
We assess your turnover, VAT return history, and outstanding liabilities to confirm you qualify for deregistration.
Document Collection
We collect your trade licence and EmaraTax login, then prepare all declarations, board resolutions, and supporting documents for your signature.
EmaraTax Submission
We complete and submit your VAT deregistration application on the FTA portal with accurate data, financial figures, and all supporting files.
Approval & Certificate
We handle FTA queries, file your final VAT return within 28 days, calculate deemed supply, and deliver your official deregistration certificate.
Who Needs It
VAT Deregistration for Different Business Types in UAE
The deregistration process applies to all VAT-registered entities, but specific considerations vary depending on your business structure and location.
🏢 Mainland (DED) Companies
Mainland companies registered with the Department of Economic Development follow the standard EmaraTax deregistration process. If the company is being closed, ensure DED trade licence cancellation and Ministry of Labour clearance are completed alongside VAT deregistration. Outstanding employee end-of-service benefits and visa cancellations should also be settled.
🏗️ Free Zone Companies
Free zone entities (IFZA, JAFZA, DMCC, DAFZA, RAKEZ, etc.) must coordinate VAT deregistration with their free zone authority's own cancellation process. If the company qualifies as a Qualifying Free Zone Person (QFZP) for corporate tax, VAT deregistration does not affect your CT status — these are separate obligations.
👤 Freelancers & Self-Employed
Freelancers and sole proprietors who voluntarily registered for VAT can deregister if their taxable income drops below AED 187,500 for 12 consecutive months. The same EmaraTax process and 20 business day deadline apply. If income increases again above AED 375,000, re-registration becomes mandatory.
👥 VAT Groups
Individual members of a VAT group cannot deregister separately without dissolving the entire group, unless a member ceases to qualify through business closure or sale. VAT group deregistration is managed from the "Tax Group" area in EmaraTax with specific actions and steps. All remaining members will need individual VAT registration if the group dissolves.
Need Deregistration for a Specific Entity Type?
Tell us your business type and we'll guide you through the exact requirements.
💬 WhatsApp UsTransparent Pricing
VAT Deregistration in UAE — All-Inclusive AED 499
One package. No hidden fees. Includes final VAT return filing.
VAT Deregistration Package
Complete deregistration & final return filing
- Full eligibility assessment
- EmaraTax application submission
- Final VAT return preparation & filing
- All declarations & documents prepared for you
- Deemed supply calculation
- FTA liaison & query responses
- Outstanding liability settlement guidance
- Official deregistration certificate delivery
💡 Need corporate tax deregistration too? Bundle with CT deregistration from AED 399. Combined package available at AED 799.
Client Feedback
What Our Clients Say About Our VAT Deregistration Service
"Fastlane handled our VAT deregistration smoothly. They submitted everything on EmaraTax within a day and we got our deregistration certificate in under 3 weeks. Highly recommend."
Ahmed K.
Trading Company • Dubai
"We were worried about penalties since we were almost past the 20-day deadline. Fastlane filed the application urgently and saved us from the AED 10,000 fine. Excellent service."
Sarah M.
E-Commerce Business • Abu Dhabi
"Professional team that knows the FTA process inside out. They prepared all documents, filed the final VAT return, and handled every FTA query. The AED 499 price is unbeatable."
Raj P.
IT Services • DMCC Free Zone
Post-Deregistration
What Happens After VAT Deregistration in UAE?
Once the FTA approves your deregistration, there are important obligations and effects to be aware of under Federal Decree-Law No. 8 of 2017.
Final VAT Return Filing
You must submit your final VAT return and settle all outstanding liabilities within 28 days from the effective deregistration date. The FTA generates this return on EmaraTax after pre-approval.
TRN Becomes Inactive
Your Tax Registration Number is deactivated. Your EmaraTax account remains accessible, but the VAT status changes to "Deregistered". You can no longer charge VAT or claim input tax.
Record Retention — 5 Years Minimum
Maintain all VAT invoices, receipts, and FTA correspondence for at least 5 years. Capital asset records must be kept for 10 years, and real estate records for 15 years.
Stop Charging VAT Immediately
Once deregistered, you cannot charge VAT on sales. This may lower your prices for non-VAT-registered customers, but you can no longer reclaim input VAT on purchases.
Tourist Refund Scheme (TRS)
If registered under TRS, complete TRS deregistration before the FTA will fully process your VAT deregistration.
Re-Registration Is Possible
You can submit a fresh VAT registration application and obtain a new TRN in the future. Your previous VAT number cannot be reactivated.
Avoid These Pitfalls
Common Reasons FTA Rejects VAT Deregistration Applications
These are the most common errors businesses make when applying for VAT deregistration. Fastlane ensures none of these apply to your application.
❌ Unfiled VAT Returns
All pending VAT returns must be submitted before the FTA will accept your application. Even zero returns must be filed.
❌ Outstanding Tax Liabilities
Any unpaid VAT, penalties, or administrative fines must be fully settled. The FTA will not approve deregistration with an outstanding balance.
❌ Missed 20-Day Deadline
Failing to apply within 20 business days triggers penalties of AED 1,000/month up to AED 10,000 under Cabinet Resolution No. 40 of 2017.
❌ Incorrect Deregistration Basis
Selecting the wrong reason or providing inaccurate turnover figures leads to FTA queries, delays, or outright rejection.
❌ Applying Within 12 Months
If you voluntarily registered, you cannot deregister within 12 months of registration per Article 23 of the VAT Law.
❌ Incomplete Documentation
Missing trade licence, unsigned declarations, or incorrect financial data will cause FTA to request additional information, delaying the process.
What to Do If Your Application Is Rejected
If the FTA rejects your deregistration application, don't panic. Log in to EmaraTax and review the specific rejection reason. Resolve the identified issue — whether it is unfiled returns, unpaid penalties, or missing documents — and resubmit the corrected application. Engaging an FTA-registered tax agent at this stage can prevent a second rejection and additional delays.
Application Already Rejected?
We fix the issues and resubmit — correctly the first time.
💬 Get Help With ResubmissionCommon Questions
FAQ — VAT Deregistration in UAE
Related VAT & Business Services
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👤 Reviewed by Fastlane VAT Advisory Team — Our team of FTA-registered tax agents (TRN: 104218042400003) with 8+ years of UAE tax compliance experience has reviewed this content for accuracy and completeness. This page reflects the latest UAE VAT law requirements as of April 2026, including Federal Decree-Law No. 8 of 2017 on VAT, Cabinet Decision No. 52 of 2017, Cabinet Resolution No. 40 of 2017 on Administrative Penalties, and the latest FTA EmaraTax portal procedures.