VAT refund in the UAE

1- What are the cases for VAT refunds in the UAE?

VAT refunds are available in several main cases:

* For UAE citizens building new homes for personal residences, subject to specific conditions, including that the area does not exceed 600 square meters and that the construction conforms to approved specifications.

* For tax-registered businesses that have paid VAT on their eligible business inputs.

* For tourists purchasing tax-eligible goods, on which they can recover the tax before leaving the UAE.

* For foreign companies that do not have a permanent establishment in the UAE and can request a tax refund under special programs to reduce double taxation.

Each case requires submitting an application with documents proving eligibility, such as original invoices, residency certificates, and relevant contracts.

2- How can our consultants help you with VAT refunds?

The tax refund process goes through clear stages to ensure the validity of applications:

1. Preparing the application: Gathering all supporting documents and invoices, and completing the refund application form.

2. Submitting the application: Submitting the application electronically through the official Federal Tax Authority portal.

3. Review and verification: The Authority reviews the application and ensures its compliance with legal standards.

4. Issuing the decision: If the application is accepted, the Authority issues a decision to refund the amount due, and the amount is transferred to the taxpayer's account within an estimated time period of up to 20 business days.

5. Follow-up: Monitoring the status of the application and responding to any additional requests from the Authority to ensure a smooth process.