UAE issues Cabinet Resolution on electronic invoicing fines

December 08, 2025 / 6:55 PM

Sharjah 24 – WAM: The Ministry of Finance (MoF) announced the issuance of Cabinet Resolution No. (106) of 2025 concerning violations and administrative fines arising from non-compliance with the legislation regulating the Electronic Invoicing System. This initiative supports the UAE’s digital transformation journey and reinforces tax compliance in line with global best practices.

Scope of the resolution

The resolution applies to all entities required to implement the Electronic Invoicing System in accordance with Ministerial Decision No. (243) of 2025. Entities voluntarily applying the system are exempt from the resolution and will not incur fines until they become mandatorily subject to the system.

Administrative fines for violations

To ensure effective compliance, the resolution outlines fines for various violations, including:

AED5,000 per month for failing to implement the Electronic Invoicing System or to appoint an approved service provider within the timeframe specified in Ministerial Decision No. (244) of 2025.
AED100 per electronic invoice not issued or sent within the specified timeframe, with a maximum of AED5,000 per month.
AED100 per electronic credit note not issued or sent on time, with a maximum of AED5,000 per month.
AED1,000 per day for failing to notify the Federal Tax Authority of any system malfunction within the specified timeframe.
AED1,000 per day for failing to notify the appointed approved service provider of any modification to the registered data within the specified timeframe.

Strengthening the UAE’s digital transformation

This resolution is a pivotal step in the UAE’s digital transformation journey, reflecting the government’s commitment to applying international best practices in transitioning to an integrated digital economy.