Tax Invoice Format Template UAE

What is the Tax Invoice Format?

The UAE tax invoice is an official document issued by a VAT-registered business to its customer to show the goods or services supplied, the taxable amount, and the VAT charged, in accordance with the UAE Federal Tax Authority (FTA) regulations.

Every business in the UAE must comply with the UAE VAT Law (Federal Decree-Law No. 8 of 2017) on tax invoices with its customers. The invoice must include the supplier's details of name, address, and TRN (Tax Registration Number). As well as the customer's full information, including name, address, and TRN.

What Are the Elements of the Tax Invoice Format in the UAE?

The elements of the Tax Invoice Format UAE must be clear and comply with the Federal Tax Authority. The invoice elements are divided into groups, starting with the invoice number and date; after that, the company and customer details. Let’s discover in detail the elements and why it is important to include them:

1. Invoice number and date: Every invoice must have a unique number and date. The invoice number is important to prevent duplication or confusion between transactions.
2. Supplier and customer details: Name, address, and TRN (required by the UAE Federal Tax Authority).
3. Description of products and services: must include a clear description of the items, quantity, unit price, and total value.
4. Taxable amount and VAT rate: mention the price before VAT, the VAT rate, and the VAT amount charged.
5. Total amount payable: total amount including the VAT.
6. Currency: In the UAE, invoices must be in AED; if they are in another currency, they must be converted to AED.
7. Credit/Debit Notes: If adjustments are needed, returns, discounts, or errors, a credit or debit note must follow FTA guidelines and reference the original invoice.

Why is the UAE Tax Invoice Format important?

The UAE Tax Invoice is important to prove the transaction between the supplier and customer to save both rights, and it must comply with the UAE VAT Federal Law to avoid penalties. As well, providing clear documentation helps in creating clear audits, besides simplifying the verification of sales and VAT collected.

1. The uae are moving to mandating e-invoices, so it is important to use a correct format to ensure smooth electronic submissions.
2. The standardized details like the supplier, customer, product descriptions, and VAT amounts built a trust between both parties and reduced the disputes.
3. The invoice is considered legal proof in case of payment or delivery disputes.
4. Following a standard and correct format reflects business professionalism and strengthens it.
5. Clear invoice details help customers process payments accurately and on time.
6. The invoice helps to build trust between supplier and customer.
7. Simplifies VAT reporting and audit compliance.

How To Fill Out Your Google Sheet Invoice

1- Fill in the invoice number and date.

[Tax Invoice # ]

[Invoice Date]

[Due Date]

2- Fill in the company tab

[Your Company Name]

[Address] 

TRN: [Tax Registration Number] 

3- Fill in the client's details

[Client Business Name]

[Client Business Address] 

TRN: [Tax Registration Number]

4- Fill the Description table

[Products or Services]

[QTY]

[Unit Price]

[Subtotal]

[VAT]

5- Automatically, the total will be calculated

[SUBTOTAL]

[VAT]

[Total]

6- Fill in the payment method at the end

7- Share the invoice with the client via email or print it and deliver it by hand

Who uses the Tax Invoice Format in Google Docs and Sheets?

The UAE Tax Invoice Format in Google Docs and Sheets is used by small businesses to create a quick and standard invoice, as well as by freelancers to bill the client professionally, or anyone who needs custom and editable invoices to comply with the UAE Federal Tax Authority.

Why using daftra to generate a tax invoice?

Using Daftra streamlines your entire invoicing process, whether you work alone or run a large business, which helps you to reduce manual effort and mistakes as well as save time in creating and sending tax invoices from mobile or desktop.

Daftra lets you customize invoices and design your logo, brand colors, and custom fields, and it offers full compliance with UAE Federal Tax Authority (FTA) regulations.

With Daftra, you can set reminders so you get paid faster, and it offers a variety of online and offline payment options. Besides, you can easily track sales and payments.