E-invoicing in the UAE is a mandatory, Peppol-based system run by the Ministry of Finance and the Federal Tax Authority (FTA). Businesses in scope must send B2B and B2G invoices as structured XML through an Accredited Service Provider (ASP), which also reports the tax data to the FTA. As of October 2026, businesses with revenue of AED 50 million or more must appoint an ASP by 30 October 2026 and go live by 1 January 2027.
This guide covers how the programme works, who it applies to, the official timeline and penalties, and what to prepare in your ERP, Odoo or Shopify setup. Dates and fines come from the Ministry’s published decisions. It is not tax advice.
What is e-invoicing in the UAE?
The Ministry of Finance (MoF) describes an e-invoice as structured invoice data that a supplier and buyer exchange electronically and that is reported electronically to the FTA. The legal basis is Ministerial Decision No. 243 of 2025, which sets the scope and obligations, and Ministerial Decision No. 244 of 2025, which sets the phased rollout. Both are published on the MoF eInvoicing page, together with the official UAE Electronic Invoicing Guidelines.
The key word is structured: Decision 243 requires a format that enables automatic processing. A PDF, scan or emailed invoice does not qualify, even if your accounting system produced it.
How the UAE e-invoicing 5-corner (Peppol) model works
The UAE uses a decentralised model the Ministry calls DCTCE (Decentralised Continuous Transaction Control and Exchange). It runs on the Peppol network and has five “corners”:
- Corner 1, the supplier, sends invoice data from its ERP or invoicing system to its ASP.
- Corner 2, the supplier’s ASP, validates the data, converts it into the UAE standard XML format if needed and sends it to the buyer’s ASP. In parallel, it reports the tax data to the FTA.
- Corner 3, the buyer’s ASP, validates the invoice, confirms receipt to Corner 2 and reports the tax data to the FTA.
- Corner 4, the buyer, receives the invoice in the format agreed with its ASP.
- Corner 5, the FTA, receives the tax data and sends confirmations back through the ASPs.
In practice, both sides need an ASP, so you cannot send an e-invoice to a customer who has not onboarded. Each business is identified on Peppol by a participant identifier that the FTA issues during onboarding. The guidelines specify it as 0235 followed by the business’s 10-digit TIN. You start onboarding yourself through EmaraTax, not through the ASP.
UAE e-invoicing timeline and deadlines
Decision 244 set the original phases. In May 2026, Ministerial Decision No. 66 of 2026 moved the ASP appointment deadline for the largest businesses from 31 July 2026 to 30 October 2026. The go-live date did not change. Some guidance documents still show the old July date, so rely on the amended decision.
| Who | Appoint an ASP by | Implement e-invoicing by |
|---|---|---|
| Pilot programme (Taxpayer Working Group, by invitation) | – | From 1 July 2026 |
| Any business, voluntarily | – | From 1 July 2026 |
| Revenue of AED 50,000,000 or more | 30 October 2026 | 1 January 2027 |
| Revenue below AED 50,000,000 | 31 March 2027 | 1 July 2027 |
| Government entities | 31 March 2027 | 1 October 2027 |
“Revenue” here means gross income in your most recent accounting period, based on your financial statements, or other documents the FTA accepts if you have no statements. In late September 2026 the FTA repeated these dates and urged businesses not to wait until the deadline to choose an ASP.
Voluntary adopters must meet the full technical requirements, but penalties only start from their mandatory date, so going live early is a low-risk way to test.
Who is in scope, and what is excluded?
Decision 243 applies to any person conducting business in the UAE, for every business transaction, unless the person or transaction is excluded. It is not limited to VAT registrants. The guidelines put B2B, B2G, G2B and G2G transactions in scope, including supplies made to government entities through procurement portals.
Out of scope, as of October 2026:
- B2C transactions. Sales to individuals who are not in business are excluded, and a business that sells only to consumers is not subject to the system until the Minister decides otherwise.
- Sovereign government activity that does not compete with the private sector.
- Airline passenger tickets and related ancillary documents for international passenger transport.
- International air cargo with an airway bill, for 24 months after the system takes effect.
- Financial services that are VAT-exempt or zero-rated under Article 42 of the VAT Executive Regulation.
UAE e-invoicing requirements: format, data and storage
Format and data fields
UAE e-invoices are XML documents built to the Peppol PINT AE specification. They do not carry a QR code or barcode. The MoF publishes the mandatory fields, and the PINT AE specification sets how they change by scenario. The guidelines list six invoice categories, including electronic tax invoices, self-billed invoices, commercial invoices and credit notes. There is no category for provisional invoices: those are issued as e-invoices and corrected later.
Timing and reporting
- Issue and send each e-invoice or e-credit note within 14 days of the transaction date, and within the VAT law deadline if you are a VAT registrant.
- Issue an e-credit note when a transaction is cancelled, the price is reduced, consideration is returned or there is an error.
- Both issuer and recipient report e-invoices to the FTA through their ASPs.
- Notify the FTA of a system failure within 2 business days.
- Tell your ASP about changes to your FTA-registered details within 5 business days of the FTA confirming them.
Storage
Keep records for the Tax Procedures law periods: generally five years after the tax period for taxable persons, longer for real estate records or during audits. The guidelines accept storage inside or outside the UAE if records keep their integrity and can be produced promptly and in full for the FTA.
UAE e-invoicing penalties
Fines are set by Cabinet Decision No. 106 of 2025. They do not apply to voluntary adopters before their mandatory date.
| Violation | Penalty |
|---|---|
| Not implementing the system, including not appointing an ASP, on time | AED 5,000 for each month or part of a month of delay |
| Not issuing and sending an e-invoice on time | AED 100 per invoice, capped at AED 5,000 per calendar month |
| Not issuing and sending an e-credit note on time | AED 100 per credit note, capped at AED 5,000 per calendar month |
| Issuer or recipient not notifying the FTA of a system failure on time | AED 1,000 for each day or part of a day |
| Not notifying your ASP of changes to FTA-registered data on time | AED 1,000 for each day or part of a day |
How to choose an Accredited Service Provider (ASP)
Only providers accredited under Ministerial Decision No. 64 of 2025 can carry e-invoices. The MoF publishes the official list of ASPs, with contact details, on its eInvoicing page and updates it as providers complete accreditation. When the extension was announced in May 2026, the Ministry said 32 providers were already approved. When comparing them, ask:
- How does your ERP send data: a native connector, an API, file upload or a portal?
- Will they take your existing invoice data and convert it to PINT AE, or must your system produce the XML?
- How are validation errors returned, and who fixes them?
- What does pricing look like at your volume, including received invoices?
- Where is data stored and for how long, and how do you export it if you switch?
What it means for Odoo, ERP and Shopify businesses
Odoo and other ERPs
Your ERP stays the source of the invoice. What changes is that every in-scope invoice must leave with clean, complete data: correct TRNs and TINs, the buyer’s Peppol identifier, tax codes for each line and proper credit notes instead of edited invoices. Whether your Odoo version can produce PINT AE natively, through a connector module or only through your ASP’s API is something to confirm with your ASP and your Odoo partner. Invoices created outside the ERP, in spreadsheets or separate billing tools, should be brought into one flow first. Our ecommerce ERP integration guide covers how to decide which system owns which data.
Shopify stores
If your Shopify store sells only to consumers, those sales are B2C and outside e-invoicing for now. Wholesale orders and invoices to companies are in scope. If Shopify orders flow into Odoo or another ERP, generate e-invoices there rather than in Shopify, so there is one record per sale. Our Shopify–Odoo integration guide explains how orders, refunds and credit notes move between the two. If your business is mixed or sells only B2C, ask your tax adviser to confirm whether any of your transactions bring you into scope.
At Waslio Connect we build Odoo and ERP integrations, including the data flows between Shopify, your ERP and third-party services. We are not an ASP. We can help get your invoice data ready for the ASP you choose.
A related note for businesses that also sell into Saudi Arabia: Saudi Arabia runs its own ZATCA e-invoicing system, which is separate from the UAE programme. Our Waslio ZATCA E-Invoicing app for Shopify is coming soon.
UAE e-invoicing readiness checklist
- Confirm your band. Check revenue in your latest financial statements against AED 50 million and note your two deadlines.
- Map your transactions. Separate B2B, B2G and B2C sales, and flag any exclusions such as exempt financial services.
- Find every place invoices are created. List the ERP, POS, billing tools, spreadsheets and anything else that creates invoices or credit notes.
- Clean master data. Fix customer and supplier TRNs, addresses and tax codes. Start collecting your B2B customers’ Peppol identifiers.
- Shortlist and appoint an ASP from the Ministry’s list before your deadline, and onboard through EmaraTax.
- Plan the integration. Agree how data moves from your ERP to the ASP and who handles rejected invoices.
- Test end to end. Use the voluntary phase to send and receive real e-invoices before your mandatory date.
- Write the procedures. Cover credit notes, the 14-day window, system-failure notices and record retention.
Getting your ERP ready for e-invoicing?
If your invoices start in Odoo, Shopify or several systems at once, we can help you connect them cleanly to your chosen ASP.
Talk to us about your Odoo or ERP integration →
Frequently asked questions
Is e-invoicing mandatory in the UAE?
Yes, for businesses in scope. Ministerial Decisions No. 243 and No. 244 of 2025 make it mandatory in phases for B2B and B2G transactions. As of October 2026, businesses with revenue of AED 50 million or more must go live by 1 January 2027, smaller businesses by 1 July 2027 and government entities by 1 October 2027.
What is the UAE e-invoicing deadline for appointing an ASP?
As of October 2026, businesses with revenue of AED 50 million or more must appoint an Accredited Service Provider by 30 October 2026, after Ministerial Decision No. 66 of 2026 moved the date from 31 July 2026. Businesses below AED 50 million and government entities must appoint one by 31 March 2027.
What are the penalties for UAE e-invoicing non-compliance?
Under Cabinet Decision No. 106 of 2025, failing to implement the system or appoint an ASP on time costs AED 5,000 for each month or part of a month. Late e-invoices and e-credit notes cost AED 100 each, capped at AED 5,000 per calendar month. Late notification of a system failure, or of changes to FTA-registered data, costs AED 1,000 per day.
Does UAE e-invoicing apply to B2C or Shopify retail sales?
Not for now. B2C transactions with individuals who are not in business are outside the system, and a business that sells only to consumers is not subject to it until the Minister decides otherwise. B2B sales, such as wholesale orders or invoices to companies, are in scope even if they come through a Shopify store.
Is a PDF invoice sent by email an e-invoice in the UAE?
No. A UAE e-invoice is structured XML data built to the Peppol PINT AE specification and exchanged through Accredited Service Providers, which also report it to the FTA. A PDF, scan or emailed invoice does not meet the definition.
Where can I find the list of ASPs for e-invoicing in the UAE?
The Ministry of Finance publishes the official list of Accredited Service Providers, with contact details, on its eInvoicing page and updates it as providers are accredited. Check that a provider appears on that list before you sign with it.
This guide is general information, not tax or legal advice. Dates, thresholds and penalties reflect Ministry of Finance and Federal Tax Authority publications reviewed in October 2026; rules and guidance change, so confirm your obligations with the FTA, your Accredited Service Provider or a tax adviser. Waslio Connect is not an Accredited Service Provider and is independent of, and not affiliated with or endorsed by, the Ministry of Finance, the FTA, OpenPeppol, Odoo or Shopify.