Definition

A Taxable Person is any individual or business required to register for VAT or Corporate Tax in the UAE because they meet the registration threshold or carry out taxable activities.

Key points

• Includes individuals, companies, and partnerships.
• Must register once taxable turnover exceeds AED 375,000.
• Responsible for charging, collecting, and remitting VAT.
• Can also apply voluntarily at AED 187,500 turnover.

Practical example

A freelancer earning AED 400,000 from UAE clients qualifies as a taxable person and must register for VAT.

Why it matters

Identifying as a taxable person is the first step in complying with VAT and Corporate Tax obligations.