Tourists in the UAE can apply for a VAT refund directly through e-commerce platforms registered with the Authority before shipping their purchases.
The United Arab Emirates has entered New VAT refund process Added to e-commerce purchases made by tourists during their stay in the UAE, this is the first of its kind in the world.
The new system – implemented in collaboration with Planet, the authorised operator of the Tourist VAT Refund Scheme – is in line with the Federal Tax Authority’s plans to adopt “Proactive solutions.”
Direct VAT Refund
According to WAM, tourists in the UAE can apply for a VAT refund directly through e-commerce platforms registered with the Authority before shipping their purchases.
They can do this by providing their travel document details and relevant personal information to verify their eligibility at the time of purchase.
The VAT refund registration is completed once the tourist’s identity is verified during delivery or online order fulfillment.
Online shopping
The UAE already offers a full VAT refund to tourists on all their purchases in physical stores. Now, the same incentive is being offered when visitors to the country shop online as well.
These plans are based on the need for “innovation to meet future requirements” and “enhancing the UAE’s competitiveness in providing services.”
This major achievement contributes to improving the country’s digital competitiveness and innovation performance indicators globally, supporting the UAE’s leadership in all sectors, including tourism and e-commerce.
Over two years ago, the UAE introduced a fully digital VAT refund system for tourists. The system is completely paperless. Here’s what tourists did when they made purchases in physical stores to get their VAT refund:
All tourists need to do is scan their passport, complete their purchase transactions, and have them automatically shared as digital invoices.
Tourists can also check their invoices via the Shopper Portal, providing a seamless shopping experience with fast and fully digital VAT refund procedures for eligible purchases.
