Is VAT charged on commercial property in the UAE (purchase and lease)?

Yes — the supply of commercial property in the UAE is generally subject to VAT at the standard 5% rate, administered by the Federal Tax Authority (FTA), on both sale and lease. Commercial means non-residential real estate — offices, shops, warehouses, hotels; residential property is treated separately. A VAT-registered seller or landlord charges the 5% and accounts to the FTA; a VAT-registered buyer or tenant using the property for taxable business may recover it as input tax. Before signing, confirm both parties' VAT registration, insist on a proper tax invoice, and check special treatments (going concern, designated zone) with the FTA or a tax adviser. Full guide: UAE commercial property VAT. You can compare verified UAE legal and tax professionals on LEXAI.