Value-Added Tax (VAT) is a consumption tax levied on the supply of goods and services within the United Arab Emirates (UAE). VAT registration in Abu Dhabi is a mandatory requirement for businesses that meet the specified threshold of taxable supplies. VAT registration allows a business to collect VAT on behalf of the government and to claim input tax credit on the VAT paid on their purchases. It is a crucial step for businesses operating in Abu Dhabi to comply with the tax laws and regulations of the UAE.