Tax Refund Claims
Written in plain language for general understanding. This is educational content, not legal advice. Based on UAE federal decrees, laws, and ministerial decisions.
UAE Federal Law
What is this right?
In some situations, you can claim back VAT or other taxes you have paid:
- Business VAT refunds: If your input VAT (paid on purchases) exceeds your output VAT (collected on sales), you can claim a refund of the difference through your VAT return.
- Tourist refund scheme: Tourists can reclaim VAT on purchases made during their visit at participating retailers. The minimum spend is AED 250 per receipt.
- New residence VAT refund: UAE nationals building a new home can claim back the VAT paid on construction costs.
- Processing time: The FTA should process refund claims within 20 business days of receiving a complete application.
- Refund methods: Refunds are paid by bank transfer to your registered account or credited against future tax liabilities.
When does it apply?
- Your business has excess input VAT that exceeds output VAT for the tax period.
- You are a tourist leaving the UAE and want to reclaim VAT on purchases.
- You are a UAE national who built a new residence and paid VAT on construction.
What should you do?
- File your VAT return accurately — the refund amount is calculated automatically based on your return.
- For tourist refunds, ask for a tax-free tag at participating retailers and process your refund at the airport before departure.
- For new residence refunds, submit your application through the FTA portal with construction invoices and proof of ownership.
- Keep all original tax invoices — the FTA may request them to verify your claim.
What should you NOT do?
- Do not claim refunds for ineligible expenses — entertainment, personal expenses, and certain other categories are not recoverable.
- Do not submit incomplete documentation — this delays processing significantly.
- Do not forget the tourist refund deadline — you must process the refund before leaving the UAE.
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