ITC Accounting and Tax Consultancy

VAT Refunds in the UAE: An Understanding


A VAT registered businesses in the UAE that make exempt, out of scope or taxable supplies must go through the Value Added Tax (VAT) return procedure. The companies who has exempted supplies are unable to claim the VAT paid on allowable expenses. The Federal Tax Authority (FTA) in the UAE has developed precise guidelines and demands that companies must follow in order to expedite this return process. This article will give a thorough explanation of the UAE’s VAT refund procedure and describe how ITC Tax Consultancy helped readers navigate this challenging environment.


Understanding UAE VAT Refunds

Businesses can recover the VAT they spent on certain expenses, including those connected to exempt or zero-rated supplies, through VAT refunds. To be eligible for a refund, though, a few requirements must be satisfied. The taxable person is required to save the tax invoice or any other pertinent paperwork including details about the import or supply for which input tax was assessed.


Eligibility for VAT Refunds

The UAE VAT law specifies particular situations in which enterprises may qualify for tax refunds. These consist of:

  • Building a new home: UAE residents who are not business owners are eligible to get a VAT refund for goods and services associated to building a new home.
  • Businesses run by non-residents: Tax refunds may be available to non-residents who operate a business in the UAE and who are neither taxable persons nor citizens of an implementing state.
  • Products being exported: Non-residents are eligible to receive a VAT refund for products that are being supplied to them in the UAE but will be exported.
  • Special categories: In accordance with state-party agreements, foreign governments, international organizations, diplomatic missions, and bodies may receive VAT refunds. Additionally, some people or organizations that were mentioned in a cabinet decision that was taken on the minister’s recommendation might also be qualified.


Role of ITC VAT Consultancy in VAT Refund Services, ITC Tax Consultancy is an invaluable resource for UAE companies looking for FTA VAT refunds. Their offerings consist of:

  • Identifying eligible expenses: Examining expenses to identify those that qualify for VAT refunds is a task that ITC Tax Consultancy helps firms with. Finding costs associated with exempt or zero-rated supplies is part of this.
  • Claims preparation and submission: The consultancy assists companies with the preparation and submission of FTA VAT refund claims. They make sure that all required paperwork, including invoices and receipts, is provided to back up the claim.
  • Representation before the FTA: ITC Tax Consultancy supports companies in disputes or challenges to their refund claims before the FTA. To settle any concerns, they present proof and engage in negotiations with the FTA on behalf of the company.
  • VAT Planning Advise: Advise on VAT planning: To help businesses reduce their VAT liabilities and maximize their VAT recoveries and ensure a more efficient refund procedure, the firm offers experienced advise on VAT planning techniques.


With the help of ITC Tax Consultancy, businesses can navigate the complicated VAT refund process with ease. By determining eligible expenses, preparing and filing refund claims, advocating for clients before the FTA, and offering helpful VAT planning advice, ITC Tax Consultancy ensures a smooth and successful refund process.

This article was published on  22 June 2023

Join Our Newsletter!

Receive updates on the latest News, Events, Webinar and more.


Other Related Articles​

Have Any Question?

Send in your questions or book a consultation session with our Tax Experts to get all your Tax related query answered. 

Join our Newsletter!

Receive updates on the latest News, Events, Webinar and more.

On the occasion of Eid, we will be out of the office but just a call away from you. Please find the contact details below to get in touch with us:

Mr Mudasir Sofi

For any new enquiries, you can contact our Business Development Manager - Mr Mudasir Sofi (+971 52 320 5619)

Mr Mohammed Rooman

If you're an existing client then please contact our Key Account Manager - Mr Mohammed Rooman (+971 52 296 1530)


How can we assist you today?

× WhatsApp Us