VAT Reclaims Services

VAT Reclaims for Business Visitors

The Federal Tax Authority (FTA) introduced VAT Reclaim Services for Business Visitors in the UAE in 2018.  As prescribed by FTA, the eligible business visitors are now able to submit the request to reclaim VAT charges paid on their purchases during which they were in the UAE. The option to VAT reclaim services will attract to establish new businesses in the UAE.

The following terms and conditions are to be fulfilled by the business visitors to reclaim VAT services:

• Foreign business cannot claim VAT refund if business makes taxable supply in UAE.
• The foreign business should be from the countries with mutual agreement with the Ministry of Finance.
• The business should not have a fixed establishment and not carrying any business in UAE.
• The business opting for VAT reclaim or VAT refund should not be a taxable person in the UAE.
• The business visitors are registered with a competent authority in the jurisdiction in which country they are established.
• The minimum amount of VAT claim may be submitted under foreign businesses visitors shall be AED 2,000/-.

VAT reclaim services or VAT refund can be opted out by the visitors as well as the tourists for the purchases they made during their stay in the UAE. VAT refund or VAT claim services for tourists requires that the below conditions are fulfilled:

• All the purchases are made from the retailers that have registered themselves in the tax refund for tourist scheme.
• The goods that are purchased for which VAT refund is to be claimed should not be excluded from the refund scheme and eligible for VAT refund for the tourists.
• The tourist should leave the UAE within 90 days from the date of supply along with purchased supplies.
• Export of the goods purchased and for which VAT refund is to be claimed, should be exported out of the UAE within three months from the date of supply.

It is imperative that all the procedures and guidelines are followed as prescribed by the FTA in order to be eligible for VAT refund.

Reyson can help business visitors as well as the tourists in the process of filing for their VAT refund on the purchases made in the UAE. The team at Reyson will ease out the process of VAT refund for your businesses and ensure that VAT refund is received.