Is VAT charged on commercial property rent in the UAE?

Yes. The lease of commercial property in the UAE is normally a taxable supply at the standard VAT rate of 5%, so a VAT-registered landlord adds 5% to the rent and issues a tax invoice. This applies to offices, shops, warehouses and similar non-residential premises. The landlord accounts for the VAT to the Federal Tax Authority (FTA), and a VAT-registered tenant using the premises for taxable business activity can usually recover that VAT as input tax on its return, subject to the FTA's conditions. By contrast, leasing an existing residential property is generally exempt, so no VAT is added to home rent. Service charges and other amounts billed alongside commercial rent may also carry VAT depending on how they are supplied. Review your tenancy contract to see whether quoted figures are VAT-inclusive or exclusive, keep the landlord's tax invoices for your records, and confirm the landlord is genuinely VAT-registered before paying VAT. For a long lease or a disputed VAT charge, you can compare verified UAE legal and tax professionals on LEXAI, and confirm treatment with the FTA.