Retail & Consumer Legal Advisory
Protecting Retail Businesses. Resolving Consumer Challenges.
Retail and Consumer law
Retail and consumer services in the UAE includes the delivery of goods and services to individual and business customers, such as supermarkets and fashion outlets, electronics stores, FMCG (Fast-Moving Consumer Goods) distribution, e-commerce platforms, wholesalers and consumer goods operations.
At Moores Rowland, we provide practical advice on VAT compliance, Corporate Tax, accounting and regulatory requirements under UAE Federal laws to such businesses operating in Dubai, Abu Dhabi and all Emirates.
Under the new rules, all retail businesses with taxable supplies exceeding AED 375,000 will be required to register for VAT at the standard rate of 5%. The self-invoicing requirement on imports is removed by Federal Decree-Law No. 16 of 2025, effective from January 1, 2026, simplifying the reverse charge mechanism and helping retailers to manage stock and supply chains more effectively.
Our committed team consists of lawyers from various practice areas and is equipped to support clients in all critical aspects of their business, ranging from foreign investor partnerships and new market expansions to commercial and distributorship/reseller relationships, regulatory compliance, and intellectual property. We frequently address the legal and commercial challenges faced by both multinationals and smaller retailers and suppliers, providing them with top-notch advice.
Our Comprehensive Services for Retail & Consumer Sector
We provide full support that goes beyond the basics for your retail and consumer business:- Tax Advisory and Compliance
- VAT Services: Full VAT registration, filing, VAT refunds and compliance. We handle 5% standard rates, zero-rated supplies (for example exports) and input tax recoveries. We ensure that you comply with the new VAT refund and credit rules introduced through Federal Decree-Law No. (16) of 2025 around refunds and credits for risk-free profitability.
- Corporate Tax: 9% corporate tax (on taxable income of up to AED 375,000), group relief and transfer pricing for retail conglomerates.
- Excise Tax & Other Taxes: provide guidance for products like soft drinks and tobacco.
- Ongoing support to keep you ahead of deadlines and audit risks from the FTA.
- Audit and Assurance
- Accounting and Bookkeeping
- Daily bookkeeping, payroll for your staff and management accounts.
- Retail-specific inventory tracking, cost control and profit analysis.
- Cloud-based systems for real-time visibility across multiple stores.
- Legal and Corporate Services
- Company set up, licenses and 100% foreign ownership options in most retail activities.
- Agreements with suppliers, landlords and franchise agreements.
- Compliance with consumer protection laws according to Federal Law No. (15) of 2020 and its executive regulations. This law protects buyers on quality, pricing, safety and refunds.
- Business Advisory & Growth Support
- Strategic planning for expansion, e-commerce or new store openings.
- Risk management, due diligence for buying or selling businesses (M&A).
- Sustainability and climate reporting under new UAE laws (Federal Decree-Law No.11 of 2024 on effects of climate change).
- Advice on HR and employment law in the UAE under the UAE Labour Law for your retail employees.
Step-by-Step Support for Retail & Consumer Businesses by Moores Rowland in Dubai
- VAT Compliance – Moores Rowland helps with VAT registration (mandatory if AED above 375,000.00 or voluntary from 187,500.00), preparation and filing on monthly or quarterly basis, input tax recovery on inventories and imports, as well as POS system integration.
- Corporate tax management – Our Corporate tax team reviews the eligibility of their clients for the Small Business Relief (revenues of less than or equal to AED 3 million for current and all previous tax periods up to 31 December 2026). Businesses eligible for the Small Business Relief are deemed to have ‘zero’ taxable income effectively avoiding the 9% rate on taxable income above AED 375,000.
- Consumer Protection – Our team provides guidance on compliance with Federal Law No. 15 of 2020 (as amended) on the display of price to consumer, unit price, detailed invoice, and rules for goods that are essential for consumers (cooking oil, rice, sugar, dairy products, eggs, poultry, fish and poultry, meat etc.). Support is also given in real time alignment with the MOET Essential Goods Prices Platform.
- Accounting, Bookkeeping & Audit Readiness – Our Audit team manages daily records, inventory tracking, payroll and reviews to prepare for FTA audits and stakeholder needs.
- Business Advisory – we advise on e-commerce VAT compliance, multi-store management, promotion and growth in the expanding UAE retail ecosystem.
Who we work with
Our retail and consumer practice works with businesses in:- Fashion, footwear and accessories retail
- Supermarkets, hypermarkets and grocery chains
- Electronics and consumer durables
- Beauty, personal care and pharmacy retail
- Food and beverage (restaurants, cafés, cloud kitchens)
- Jewellery, watches and precious metals dealers
- E, quick-commerce platforms
- FMCG manufacturers, importers and distributors
- Franchise operators and master franchisees
- Mall-based and independent standalone retailers
Why Retail & Consumer Businesses Choose Moores Rowland in Dubai
Retail and consumerism in the UAE moves quickly. Consumers need great value, fast service and reliable brands. Meanwhile, rules on taxes, consumer rights and how you run your business are changing. With practical experience of working with businesses like yours, our team understands the local market, speaks your language, delivers clear answers that save you time and money.We understand the daily challenges you face:- Managing high sales volumes and inventory
- Handling VAT on every sale
- Meeting strict consumer protection rules
- Staying compliant with corporate tax
- Expanding online or opening new stores
Frequently Asked Questions (FAQs)
Q1. What is the Corporate Tax rate for retail businesses in the UAE?
A retail business must pay (at a rate of):
- 0% Corporate Tax on taxable income of up to AED 375,000
- A 9% corporate tax will apply to taxable income exceeding AED 375,000
This extends to every Emirates and all retail activities from supermarkets to fashion stores, e‑commerce and consumer goods distributors.
Q2. Do free zone retail companies get 0% Corporate Tax?
Only on qualifying income. Even in a free zone, income arising from Retail sales made directly to customers falls under an Excluded Activity pursuant to Ministerial Decision No. 229 of 2025 and is therefore subject to tax at the rate of 9%.
Q3. What VAT rate applies to retail goods in the UAE?
Under Federal Decree‑Law No. 8 of 2017, VAT is set at 5% for most retail goods.
Q4. Is e-invoicing mandatory for retailers?
Yes. E‑invoicing will start in phases. It applies to large businesses first from early 2027, and in the same year others registered for VAT will have to comply.
Q5. Do I still need to file Economic Substance Regulations reports?
No. Cabinet Decision No. 98 of 2024 exempted from ESR reporting if the financial year starts on or after 1 January 2023.