The UAE Ministry of Finance will launch a new Electronic Invoicing System in July 2026, starting with a pilot phase and full adoption by 2027. The move supports UAE’s shift towards digital business compliance and efficiency.

ABU DHABI: The UAE Ministry of Finance (MoF) has confirmed that it will launch the UAE Electronic Invoicing System in a phased rollout beginning July 1, 2026, marking a major step in the nation’s digital transformation agenda.

According to two newly issued Ministerial Decisions, all businesses involved in business-to-business (B2B) and business-to-government (B2G) transactions will be required to issue and process digital invoices and credit notes, with some exclusions. Voluntary compliance is encouraged even in excluded cases.

Under the new framework, companies must work with an Accredited Service Provider (ASP) to issue, share, and report digital invoices. A list of ASPs will be released by the MoF in the coming months. The invoicing process must include specific data fields and meet the standards of the international OpenPeppol framework, allowing UAE businesses to seamlessly integrate with global systems.

The UAE Electronic Invoicing System aims to boost transparency, reduce costs, and streamline compliance. It supports faster, more secure data exchange and reduces human error, benefitting both the private and public sectors.

A pilot programme involving selected taxpayers will kick off on July 1, 2026. Large businesses (with AED50 million or more in annual revenue) must appoint an ASP by July 31, 2026 and begin full compliance by January 1, 2027. Smaller businesses have until March 31, 2027 to appoint an ASP and must comply by July 1, 2027.

Government entities are also included, with a deadline of March 31, 2027 to appoint ASPs and full adoption by October 1, 2027.

The MoF emphasised that the UAE Electronic Invoicing System is part of a wider commitment to global best practices and digital economy goals, aiming to improve ease of doing business across the UAE.