VAT on Cryptocurrency Mining in the UAE: What Every Miner & Business Should Know (+ VAT Refund Advisory UAE)
Cryptocurrency mining is booming worldwide and the United Arab Emirates (UAE) has become one of the most attractive hubs for crypto activity. With rapid adoption and clear regulatory moves, miners and businesses need to understand how Value Added Tax (VAT) applies to mining operations in the UAE, especially after the UAE Federal Tax Authority (FTA) published VAT Public Clarification VATP039 in January 2025. Now, we’ll see the VAT rules around cryptocurrency mining, how they impact you, and what you need to know about Vat Refund Advisory UAE to optimize your tax position. What Is Cryptocurrency Mining? At its core, cryptocurrency mining uses high-powered computer rigs to validate transactions on a blockchain network. Miners earn digital assets (like Bitcoin or Ether) as rewards for contributing processing power. However, for VAT purposes, not all mining activities are treated the same under UAE law. The VAT implications depend on whether the mining is for personal use or provide...