The Federal Tax Authority is a government entity responsible for administering, collecting and enforcing federal taxes.

Vision - A world-leading tax authority in collecting tax revenues and instilling a culture of voluntary compliance to support financial sustainability
Mission - Administering, collecting and enforcing federal taxes, applying tax procedures efficiently and effectively, and increasing voluntary compliance and tax awareness.

The introduction of taxes in the UAE is part of a GCC-wide initiative to diversify regional economies. Given the overall reduction in oil prices in recent years, it has been necessary for the GCC member states to explore other revenue raising measures and reduce dependency on hydrocarbons as the key contributor to the public purse. As a result, the GCC member states have agreed to sign unified framework agreements for the implementation of VAT and Excise taxes. Member states will also implement their own domestic legislation that will govern the introduction of these taxes.