In the previous article, we discussed the topic of e-invoices, which will become mandatory in the United Arab Emirates (UAE). The Federal Tax Authority (FTA) is preparing fundamental changes in the way accounting is done in this regard.

From 2026, it will be necessary to transition to digitized accounting. And from July 1, 2027, all VAT-registered companies will be required to keep accounts exclusively in software approved for the EmaraTax system. Failure to comply with this obligation may result in fines.
What does this specifically mean and how to prepare for it?

What is EmaraTax and why is this change occurring?

EmaraTax is the official FTA tax platform, which currently ensures VAT registration, corporate income tax return filing, and payment execution. The novelty is its integration with the accounting and invoicing systems of individual companies.

The main goal is to ensure that VAT data is automatically transmitted directly from accounting software to the FTA system – via API, without the need for manual entry and spreadsheets.

What changes are being introduced?

📅 From 2026:

The voluntary pilot phase begins – an ideal time to test the new system without time pressure.

📅 From July 1, 2027:

Every VAT-registered entity will have a legal obligation to:

• keep accounts in approved software (so-called Accredited Service Provider – ASP),

• issue invoices in a structured format (e.g., UBL/XML),

• ensure direct integration with the EmaraTax API,

• archive all data in accordance with FTA requirements.

Why is this not just a formal change?

Introducing new rules will have a real impact on everyday practice:

• Excel spreadsheets will no longer suffice,

• if audited by the FTA, it will be necessary to have accounting ready in the required format and capable of immediate submission,

• e-invoices will be verified in real-time,

• incorrectly kept accounts may lead to sanctions.

Where to find a list of approved software?

The FTA has published an official list of accounting software providers (ASP) that meet the technical requirements for direct connection to EmaraTax.

🔗 The list is available on the FTA website.

How to prepare without unnecessary stress?

We recommend the following approach:

• Map your current accounting solution – verify if it will still be usable.

• Choose approved software that meets the specific needs of your business.

• Set up the correct accounting structure – VAT codes, templates, export formats.

• Integrate the software with the invoicing system, inventory, or CRM.

• Train your team and create a checklist of steps for a successful transition.

How can we help you?

You don't have to transition to digital accounting alone. We are happy to help you:

• assess whether your current solution meets the new requirements,

• choose approved software that will best meet your company's needs.

Want to get ahead?

The year 2026 is ideal for preparation. In the pilot phase, you can try everything out stress-free, test templates and exports. In 2027, the transition to full operations will run smoothly and without complications.

We are happy to help you navigate the new requirements and prepare a transition plan tailored to your company's needs.