If you’re visiting the UAE for a business event, conference, or corporate dealings, there’s some good news for international businesses. You can lower your expenses in the UAE by reclaiming the Value Added Tax (VAT) on eligible business-related costs. The Federal Tax Authority (FTA) has introduced the Business Visitor Refund Scheme, which allows foreign businesses to recover VAT on expenses such as hotel stays, event fees, and professional services.
Eligibility for VAT Refunds
To be eligible for a VAT refund, foreign businesses must meet these criteria:
No Taxable Supplies in the UAE: Your business should not have engaged in taxable activities within the UAE during the refund period.
Reciprocal Tax Agreement: The country where your business is located must offer similar VAT refund options to UAE businesses.
Business Purpose: The expenses must be strictly for business purposes, backed by valid documentation.
Documents Required for Application
Original invoices and receipts for all business-related expenses incurred in the UAE.
A VAT refund application form, which can be submitted through the FTA’s online portal.
A letter of declaration from your company confirming the business nature of the trip.
Key Deadlines and Process
VAT refund claims can generally be submitted within 12 months from the date of the expenses.
Applications are processed online via the FTA’s official platform. Make sure all receipts and documents are clear and free of errors to prevent delays.
Why Take Advantage of the Business Visitor Refund Scheme?
Cost Savings: Recovering VAT directly alleviates the financial burden on your business.
Streamlined Operations: Improved financial management can free up resources for other strategic initiatives.
Ease of Application: With digital submission, claiming VAT refunds is quick and hassle-free.
Zainab Husain, Features Writer, emphasizes the importance of careful documentation:
“Keep track of your invoices and proof of business transactions. This ensures a smooth VAT refund process and helps avoid unnecessary complications.”
