TOOLS · VAT · PARTIAL EXEMPTION

Partial exemption calculator (input VAT apportionment)

Make any exempt supplies and your input VAT stops being all-recoverable. Three pots, one ratio, an annual true-up — computed here.

Input VAT attributed to taxable supplies (AED)Input VAT attributed to exempt supplies (AED)Residual input VAT — overheads (AED)

Recovery ratio

80%

Total recoverable

AED 60,000.00

VAT lost

AED 15,000.00

The standard method: attributed-to-taxable recovers in full, attributed-to-exempt is lost, and the residual recovers at the ratio of recoverable attributed input tax to total attributed input tax (80% here, rounded). Don't skip the annual wash-up — recompute the year as a whole and adjust the difference in the prescribed period.

Illustrative figures computed in your browser — nothing is uploaded, stored or sent anywhere. Not accounting or tax advice; verify treatment with your advisor.

Read the guide: Partial exemption in UAE VAT: apportioning input tax when you make exempt supplies →See Orbit run it for real