UAE Issues Decision No. 13 of 2026 on Supplier Verification for VAT Recovery

The UAE Federal Tax Authority (FTA) has issued FTA Decision No. 13 of 2026, introducing extensive new supplier and supply verification obligations for VAT-registered businesses, according to Meyer-Reumann & Partners.

Taking effect on 1 October 2026, the decision establishes a mandatory due-diligence framework requiring taxable persons to verify supplier identities and business legitimacy prior to recovering input tax. Companies are required to verify corporate registration documents and authorised representatives.

Under the new rules, businesses must inspect transactions against statutory risk thresholds set at AED 100,000 and AED 375,000. Initial verification must take place during supplier onboarding and must be refreshed at least once every 12 months.

Meyer-Reumann & Partners noted that failure to implement and maintain these verification records grants tax authorities the right to reject input VAT recovery claims.