UAE VAT Refund

If you are a foreign business spending money in UAE while on your business tour, the good news is that you can claim back your VAT refund from UAE’s Federal Tax Authority.

What are the Conditions to Claim UAE VAT Refund by the Foreign Businesses?

A foreign business must meet the following conditions to claim such VAT refund.

  1. the Foreign Business makes supplies in the UAE (unless the recipient is obliged to account for VAT under reverse charge mechanism);
  2. the input tax in respect of any goods or services is subject to a statutory ‘block’ and so would not be recoverable by a taxable person in the UAE (e.g. VAT incurred on entertainment expenses, Free goods etc. as per article 53 of UAE VAT Executive Regulations)
  3. if you are a non-resident tour operator

When to Claim UAE VAT Refund by Foreign Business?

The period of each refund claim shall be a calendar year (e.g. 1 st January 2018 – 31st December 2018). For claims in respect of the 2018 calendar year, refund applications can be made from 1st April 2019. The opening date for refund applications in subsequent calendar years will be 1st March (i.e. for the period 1st January 2019 – 31st December 2019, applications will be accepted from 1st March 2020).

Minimum Amount that can be Claimed

The minimum claim amount of each VAT claim that may be submitted shall be AED 2,000. This may comprise of a single purchase or multiple purchases.

How Lynchpin Can Assist you in Claiming Such VAT Refund

Our dedicated VAT experts can assist you end-to-end to claim VAT Refund for you as a Foreign Business. Please contact us at +971-4-4370704