UAE's Major Tax Overhaul: New Rules for Indians & Businesses from 2026

• UAE to implement major tax system changes from January 1, 2026, affecting VAT, excise tax, and tax procedures.
• A 5-year statutory limit for VAT refunds and credits will be enforced, requiring businesses to reconcile old balances before 2026.
• E-invoicing becomes mandatory from January 2027, requiring XML/JSON format invoices via accredited service providers.
• New anti-evasion rules, similar to India's GST, may deny input VAT credit if buyers are aware of supplier tax evasion.
• Personal income tax remains zero, but corporate tax is 9% for most businesses, with new R&D tax credits available.

Why It Matters: New UAE tax rules mean stricter compliance for Indians and businesses.