Did you know that you can get a VAT refund in Dubai on your purchases? This is a great way to save money on your shopping trip, and it’s easy to do.
To be eligible for a VAT refund, you must be a tourist who is not a resident of the UAE. You must also purchase goods from registered retailers and spend a minimum of AED 250.
Once you have made your purchases, you will receive a Tax Free Tag on your sales receipt. This tag must be validated at a Tax Refund Kiosk before you depart Dubai. You can find Tax Refund Kiosks at Dubai International Airport (DXB), Dubai World Central Airport (DWC), and the land border crossings.
When you validate your Tax Free Dubai Tag, you will receive a refund of 85% of the VAT you paid, minus a processing fee of AED 4.80 per tag. Refunds can be processed to credit/debit cards or cash.
Steps on how to claim a VAT refund in Dubai:
- Make your purchases from registered retailers and spend a minimum of AED 250.
- Ask the cashier to apply a Tax Free Dubai Tag to your sales receipt.
- Validate your Tax Free Tag at a Tax Refund Kiosk before you depart Dubai.
- Present your sales receipt, passport, and boarding pass at the Tax Refund Kiosk.
- Receive your refund in cash or to your credit/debit card.
Claiming a VAT refund in Dubai is a simple and straightforward process. By following these steps, you can save money on your shopping trip and enjoy a tax-free experience.
VAT Refunds on Hotels in Dubai
VAT refunds on hotels in Dubai are not currently available, but there are some proposals to extend the scheme to include hotel stays. These proposals are still under consideration, but if they are implemented, it would mean that tourists could get a VAT refund in Dubai on their hotel accommodation.
Benefits to extending the VAT refund scheme to include hotel stays:
- First, it would encourage more tourists to visit Dubai and spend money in the local economy.
- Second, it would make Dubai a more competitive tourist destination, as it would offer tourists the same tax benefits as other popular tourist destinations around the world.
- Third, it would be a positive step for the UAE government, as it would help to boost tourism revenue and create jobs.
Of course, there are also some challenges to consider when extending the VAT refund in Dubai scheme to include hotel stays. For example, it would be necessary to develop a system for tracking and verifying hotel stays, and there would be a need to ensure that the scheme is not abused.
VAT Refunds on Restaurants in Dubai
VAT refunds on restaurants in Dubai are also not currently available, but there is some discussion about the possibility of extending the scheme to include restaurant meals. This is a more complex proposal than extending the scheme to include hotel stays, as it would require a system for tracking and verifying restaurant meals.
One way to implement a VAT refund in Dubai scheme for restaurant meals would be to require restaurants to register with the VAT Refund Scheme and to issue customers with Tax Free Dubai Tags for their meals. Customers would then need to validate their Tax Free Dubai Tags at a Tax Refund Kiosk before they depart Dubai.
Another way to implement a VAT refund in Dubai scheme for restaurant meals would be to allow customers to claim a refund on the VAT they pay on their meals through their credit/debit card statement. This would require restaurants to collect customer’s credit/debit card information and to submit it to the VAT Refund Scheme on a regular basis.
It is unclear whether or not the UAE government will implement a VAT refund scheme for restaurant meals. However, the idea is gaining traction, and it is possible that we will see such a scheme implemented in the near future.
VAT Refunds at Dubai Seaport
VAT refunds at Dubai seaport are available for tourists who have made purchases from registered retailers in Dubai and have a minimum spend of AED 250. To claim a VAT refund in Dubai, tourists must present their sales receipts, passport, and boarding pass at the VAT Refund Kiosk located in the seaport.
The VAT Refund Kiosk at the Dubai seaport is located in the arrivals hall. It is open from 7:00 AM to 11:00 PM, seven days a week.
To claim a VAT refund at the Dubai seaport, tourists must follow these steps:
- Present their sales receipts, passport, and boarding pass to the VAT Refund Kiosk attendant.
- The attendant will scan the sales receipts and verify the tourist’s identity.
- If the refund is approved, the attendant will issue the tourist with a cash refund or a refund voucher.
- If the refund is approved, the tourist can choose to receive the refund in cash or to their credit/debit card.
- If the tourist chooses to receive the refund in cash, they will receive the refund immediately. If the tourist chooses to receive the refund to their credit/debit card, the refund will be processed within 7-10 business days.
It is important to note that there is a processing fee of AED 4.80 per VAT refund tag. This fee is deducted from the total VAT refund amount.
Here are some tips for claiming a VAT refund at the Dubai seaport:
- Make sure to keep your sales receipts safe. You will need to present them at the VAT Refund Kiosk when you claim your refund.
- Arrive at the seaport early to avoid long queues at the VAT Refund Kiosk.
- Be prepared to present your passport and boarding pass.
- Know your preferred refund method (cash or credit/debit card).
By following these tips, you can easily claim your VAT refund at the Dubai seaport and save money on your shopping trip.
VAT refund in Dubai
Save money on your shopping trip with Ahmed Mahfoudh Chartered Accountants & Auditors
Ahmed Mahfoudh Chartered Accountants & Auditors can help you claim your VAT refund at the Dubai seaport quickly and easily. We have a team of experienced VAT refund specialists who can walk you through the process step-by-step.
We offer a wide range of services, including:
- Accounting and bookkeeping
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Contact us today to learn more about how we can help you save money on your shopping trip!