Published: March 2026
The UAE Ministry of Finance has announced a temporary grace period for intra-group transactions within VAT groups under the Electronic Invoicing System. Effective from 1 January 2027, a 24-month transition period will apply to business transactions conducted between members of the same VAT group.
During this period, e-invoicing obligations under Ministerial Decision No. 243 of 2025 will not be required for intra-group transactions. However, these transactions remain within the scope of the Electronic Invoicing System; the measure affects only the timing of compliance and does not constitute a permanent exclusion.
The grace period aims to support implementation readiness, recognizing that VAT group structures often involve high volumes of recurring intercompany transactions and centralized accounting systems that require additional technical alignment.
Upon expiry of the grace period, e-invoicing requirements will apply in full to intra-group transactions in accordance with the applicable mandatory implementation phase.
