UAE Nationals Receive AED 2.02 Billion in VAT Refunds for New Residences

UAE, 12 March, 2024 : From 2018 to 2023, UAE nationals witnessed a surge in VAT refund approvals for constructing new residences. Led by HE Khalid Ali Al Bustani, Director-General of the FTA, the streamlined process and increased awareness have led to over 27,330 refund requests being greenlit, totaling AED 2.02 billion.

Initially, 270 approvals amounting to AED 9.11 million were granted in 2018. This figure skyrocketed to 1,900 approvals worth AED 121.46 million in 2019. Subsequent years saw exponential growth, with 3,750 approvals valued at AED 301.35 million in 2020, followed by approximately 5,990 approvals totaling AED 467.52 million in 2021.

The momentum persisted in 2022, with 7,170 approvals and AED 583.38 million in refunds. In 2023, the trend continued, with 8,250 applications approved, resulting in a refund value of AED 720.12 million.

Al Bustani stressed the FTA's commitment to improving services and awareness among UAE nationals regarding the VAT refund process. The Authority offers remote consultations and online resources to facilitate the application process, aligning with the leadership's vision to support nationals and enhance their well-being through efficient tax refund procedures for new residential construction.

Source : www.tax.gov.ae