VAT in the UAE: Tourists Refund Scheme Approved

In its fifth meeting held on Wednesday 24th April 2018, the United Arab Emirates’ (“UAE”) Federal Tax Authority (“FTA”) formally approved the implementation of the Tourists Refund Scheme for Value Added Tax (“VAT”).

Under the Tourists Refund Scheme, which is soon to be implemented, tourists visiting the UAE would be able to claim back VAT on purchases made during their stay in the country. Under the refund scheme, outlets and points of sales throughout and across the UAE would be connected to the refund system through comprehensive procedures. Specifics of the refund system and scheme are yet to be published.

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