Ministerial Decision Ministerial Decision No. 26 of 2023 Ministry of Finance

MD 26/2023 — When a supply counts as electronic commerce for VAT records

Ministerial Decision No. 26 of 2023 on Criteria and Conditions for Electronic Commerce for Purposes of Keeping Records of the Supplies Made

In force Issued 22 February 2023

Official Arabic text (opens in a new tab) English translation (unofficial) (opens in a new tab)

Official Arabic title
قرار وزاري رقم (26) لسنة 2023 — معايير وشروط التجارة الإلكترونية لغايات الاحتفاظ بسجلات التوريدات المقدّمة
Document type
Ministerial Decision
Number
26
Issued by
Ministry of Finance
Administered by
Federal Tax Authority
Issued
22 February 2023
Entry into force
In force from the date of its publication in the Official Gazette (Art. 4); issued 22 February 2023.
Applies to
Suppliers that sell Goods or Services through websites, platforms, marketplaces, apps or social media stores.
Current position
In force. Issued 22 February 2023 by the Minister of State for Financial Affairs for the purposes of Art. 72(5) of the VAT Executive Regulation.
Topics
VAT ·
Official text
Official Arabic text · English translation (unofficial)

Factual summary

Defines an Electronic Commerce Medium and sets the conditions for a supply to count as an electronic commerce supply: the Goods or Services are listed or advertised on the medium and ordered through it (online payment not required); in addition, Goods are delivered to a customer-specified location not owned or operated by the supplier, and Services are delivered with minimal or no human intervention. It serves the record-keeping clause of the VAT Executive Regulation.

What it means in practice Professional insight

Who: online sellers, marketplaces and app-based service providers. What to check: whether each sales channel meets the two common conditions and the condition for Goods or for Services, and that the related supply records are kept as the VAT Executive Regulation requires.

Key provisions

  • Art. 1 Electronic Commerce Medium: a website, portal, gateway, interface, platform, marketplace, programme interface (API) or similar application that facilitates the sale of Goods or Services, including electronic means, an electronic platform, a store in social media and electronic applications.
  • Art. 2 Sets out the criteria and conditions for electronic commerce under Clause 5 of Article 72 of the VAT Executive Regulation.
  • Art. 3 A supply of Goods and Services is an electronic commerce supply made via an Electronic Commerce Medium only if all conditions are met: (a) listed or advertised on the medium; (b) ordered through it, whether or not payment is made online; (c) for Goods, delivered to a location specified by the customer that is not owned or operated by the supplier; (d) for Services, provided or the right to receive them granted with minimal or no human intervention.
  • Art. 4 Published in the Official Gazette; in force from the date of its publication.

What changed

  1. 22 February 2023 Issued
  2. Entry into force: In force from the date of its publication in the Official Gazette (Art. 4); issued 22 February 2023.

Relationship chain

Law → decisions made under it → amendments → guidance and announcements; oldest first within each level.

  1. 23 August 2017 Federal Decree-Law FDL 8/2017 — VAT Law In force — amended
    1. 26 November 2017 Cabinet Decision CD 52/2017 — VAT Executive Regulation — Executive Regulation of this law In force — amended
      1. 24 July 2018 Cabinet Decision CD 41/2018 — Introducing the VAT refunds for tourists scheme — Made under Art. 68 In force
        1. 29 August 2018 FTA Decision FTA Decision 1/2018 — Retailer requirements for the VAT refunds for tourists scheme — Made under it In force
        2. 28 April 2019 FTA Decision FTA Decision 1/2019 — AED 7,000 cap on cash VAT refunds to tourists (repealed) — Made under it Repealed
        3. 26 May 2022 FTA Decision FTA Decision 4/2022 — One-year time limit for tourists to claim VAT refunds — Made under it In force
        4. 21 July 2022 FTA Decision FTA Decision 6/2022 — AED 35,000 cap on cash VAT refunds to tourists — Made under it In force
      2. 6 November 2018 FTA Decision FTA Decision 2/2018 — VAT refunds for tourists (consolidated 2026) — Made under Art. 68 In force — amended
      3. 17 December 2018 FTA Decision FTA Decision 4/2018 — No tax invoice for supplies through vending machines — Made under Art. 59(7) In force
      4. 26 May 2019 FTA Decision FTA Decision 7/2019 — Combined tax invoice/credit note and mailing addresses — Made under Arts. 59, 60 In force
      5. 22 February 2023 Ministerial Decision MD 26/2023 — When a supply counts as electronic commerce for VAT records — Made under Art. 72(5) In force
      6. 14 July 2026 Directive on Tax Transactions DTT 4/2026 — VAT on fees within life insurance contracts — Made under Art. 42 In force
      7. 1 September 2026 Cabinet Decision CD 149/2026 — VAT Regulation amendments — Amends Arts. 4, 29, 41, 52, 53, 54, 55, 57, 60 In force
      8. 9 September 2026 FTA Decision FTA Decision 17/2026 — Input tax on employee expenses — Made under Art. 53(1)(c) In force
    2. 28 December 2017 Cabinet Decision CD 55/2017 — Charities that may recover input tax (list as amended to Dec 2024) — Made under it In force — amended
    3. 28 December 2017 Cabinet Decision CD 56/2017 — Zero-rated medications and medical equipment — Made under it In force
    4. 28 December 2017 Cabinet Decision CD 59/2017 — Designated Zones for VAT (with the FTA list) — Made under it In force — amended
    5. 22 May 2018 Cabinet Decision CD 26/2018 — VAT refund on exhibition and conference services — Made under it In force
    6. 22 May 2018 Cabinet Decision CD 25/2018 — VAT on gold and diamonds between registrants (repealed) — Made under it Repealed
    7. 2 January 2020 Cabinet Decision CD 1/2020 — VAT refund for Expo 2020 Dubai official participants — Made under it In force
    8. 1 September 2020 Cabinet Decision CD 9/12 O of 2020 — Temporary zero rate on COVID-19 protective equipment — Made under it Spent
    9. 16 August 2022 Cabinet Decision CD 82/2022 — Refund of input tax on building and operating mosques — Made under it In force
      1. 29 October 2022 Ministerial Decision MD 162/2022 — Deadlines for mosque input tax refund requests — Made under it In force
    10. 25 August 2023 Cabinet Decision CD 91/2023 — Reverse charge on mobile phones, computers and tablets — Made under it In force
      1. 25 October 2023 Ministerial Decision MD 262/2023 — Which parts and pieces of electronic devices fall under the reverse charge — Made under it In force
    11. 1 November 2024 FTA Decision FTA Decision 8/2024 — Correcting VAT return errors that do not change the tax due — Made under it In force
    12. 16 December 2024 Cabinet Decision CD 127/2024 — Reverse charge on gold, precious metals and precious stones — Made under it In force
    13. 12 September 2025 Ministerial Decision MD 243/2025 — E-invoicing system — Made under e-invoicing provisions In force — amended (see E-Invoicing)
    14. 4 November 2025 Cabinet Decision CD 153/2025 — Reverse charge on metal scrap between registrants — Made under it In force
    15. 8 July 2026 Directive on Tax Transactions DTT 1/2026 — VAT on judicial expert services — Made under Art. 13 In force
    16. 8 July 2026 Directive on Tax Transactions DTT 2/2026 — VAT adjustments after leaving a Tax Group — Made under it In force
    17. 14 July 2026 Directive on Tax Transactions DTT 3/2026 — Converting digital-currency consideration to AED — Made under it In force
    18. 20 July 2026 Directive on Tax Transactions DTT 5/2026 — Valuing deemed supplies of services — Made under Art. 37 In force
    19. 22 July 2026 FTA Decision FTA Decision 13/2026 — Verifying suppliers before deducting input tax — Made under it In force

Official sources

Official Arabic text (opens in a new tab) English translation (unofficial) (opens in a new tab)

Related services: VAT Services · VAT Health Check

Last verified against official sources: 26 October 2026 · اقرأ بالعربية

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General information, not tax advice. Each record is checked against the official source; where they differ, the official Arabic text prevails.