FTA Decision No. 13 of 2026: New Supplier Due Diligence Before Input VAT Recovery

The FTA has issued Decision No. 13 of 2026, effective from 1 October 2026, prescribing the checks a Taxable Person must perform before deducting Input Tax on supplies received. The Decision operationalises Article 54 bis of the VAT Law, under which Input Tax may be denied where a supply is connected with Tax Evasion and the recipient knew or should have known of that connection.

The practical impact is significant: a valid tax invoice will no longer be enough on its own. Businesses will need a documented supplier due diligence process, transaction-level checks and evidence that those checks were carried out before Input Tax is claimed.

Read our new alert for a detailed overview of the requirements, their practical implications and the steps businesses should consider taking before 1 October 2026.

Full analysis is available at the link.