The Ministry of Finance has introduced targeted amendments to the ministerial decisions governing the electronic invoicing system after completing an assessment of market readiness and considering feedback from the business sector. The changes provide additional time for larger businesses to select from accredited service providers without shifting the overall implementation timeline for mandatory use. According to a ministry statement, the adjustment seeks to allow for expanded technical options and improved pricing competitiveness available to those subject to the requirements.
The amendment to Ministerial Decision No. 244 of 2025 applies specifically to persons with annual revenues exceeding AED 50 million. These entities now have until Oct. 30, 2026 to appoint an accredited service provider rather than the original July 31 deadline. The mandatory e-invoicing compliance date for such businesses remains Jan. 1, 2027, the Ministry of Finance confirmed in its announcement.
A ministry statement noted that 32 service providers have already secured accreditation while a significant number of additional providers are in the final stages of the approval process. The extension follows business calls for broader choices to support smooth integration with existing systems. The Ministry of Finance indicated the move would facilitate better preparation across affected sectors.
The electronic invoicing initiative represents one of five strategic digital transformation projects led by the Ministry of Finance since its announcement in 2023. Ministerial Decisions 243 and 244 of 2025, issued in September 2025, laid out the phased framework for business-to-business and business-to-government transactions using standardized digital formats. The system builds upon value-added tax implementation by the Federal Tax Authority in 2018 that first required proper invoicing records for compliance.
Ministry of Finance data shows that successful e-invoicing adoption can reduce invoice processing costs by up to 66 percent while helping curb value-added tax leakage. The ministry’s figures further place 82 percent of UAE businesses as micro-enterprises with less than AED 3 million in annual turnover, highlighting the importance of affordable technology access to maintain a level playing field. Such measures according to the ministry are designed to promote automation, simplify procedures and support economic competitiveness through better use of transaction data.
The original framework established a voluntary pilot phase starting in July 2026 for entities meeting technical criteria before mandatory rollout based on revenue thresholds. Businesses below the AED 50 million threshold along with government entities must appoint an accredited service provider by March 31, 2027 with compliance required from July 1, 2027. The Ministry of Finance continues to provide guidance to assist all parties in meeting the phased requirements on schedule.
