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AE Legislation · UAE Ministry of Finance ·

UAE revises e-invoicing penalties to AED 5,000 a month, capped at AED 50,000 a year

Summary

The Ministry of Finance announced Cabinet Decision No. 173 of 2026, which replaces Cabinet Decision No. 106 of 2025 on e-invoicing violations. Issuers and recipients breaching implementation duties face AED 5,000 for the first breach and AED 5,000 for each further month, up to AED 50,000 in any 12 months; the fine for not reporting a system failure is dropped and only one penalty applies per violation.

What it means for you

UAE entities of Indian groups should complete e-invoicing readiness now, since continuing non-compliance builds up monthly fines.

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This summary is general information, not legal advice. The outcome of any case depends on its facts; read the source and take advice before acting.

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