The Federal Tax Authority (FTA) has processed VAT refunds value AED3.2 billion for UAE nationals setting up new residences, in keeping with information launched on Sunday protecting the interval as much as June 2025.
The authority authorised roughly 38,000 purposes for the residence refund scheme since its launch eight years in the past.
This represents development from 31,000 authorised purposes valued at AED2.54 billion recorded by June 2024.
UAE Federal Tax Authority approves 38,000 residence VAT refund purposes value AED3.2bn
Between June 2024 and June 2025, the FTA authorised greater than 7,000 new purposes value AED653.1 million.
Within the first six months of 2025 alone, 3,097 purposes obtained approval, producing refunds totalling AED284.77 million.
The info reveals a 22.74 per cent improve in software numbers and a 25.72 per cent rise in refund values over the previous yr.
The digital tax refund system for vacationers expanded to incorporate 18,410 shops by June 2025, in contrast with 17,720 shops on the finish of 2024 and roughly 17,080 shops by June 2024.
In the course of the first half of 2025, 697 shops related to the system, representing a 29 per cent improve from the 540 shops that joined throughout the identical interval in 2024.
Over the previous two years, together with the primary half of 2025, 3,390 shops have joined the vacationer refund system.
The authority operates 96 self-service machines that course of vacationer tax refunds in roughly two minutes per transaction. These machines are positioned at purchasing malls, lodges, and vacationer departure factors.
“The indications replicate the continuing improvement and improve of our digital programs in keeping with international greatest practices, and in alignment with the UAE’s digital transformation technique. The Authority’s initiatives on this regard have positively impacted the general high quality and efficiency of its providers, notably the digital VAT refund programs for eligible classes,” Khalid Ali Al Bustani, Director Basic of the FTA stated.
Al Bustani highlighted the ‘Maskan’ sensible software, which processes VAT refunds for UAE nationals by way of paperless procedures with totally digitised operations.
The system permits vacationers to assert refunds on on-line purchases made throughout their keep within the UAE.
“As a part of its efforts to develop digital providers, FTA launched final December the world’s first e-commerce purchases VAT refund system for vacationers throughout their keep within the UAE, supporting the UAE’s management in all sectors, together with the tourism sector and the e-commerce sector,” he added.
The digital platform allows vacationers to scan passports, share transactions as digital invoices, verify invoices by way of a client portal, and obtain refundable tax credit by way of totally digitalised procedures.
Al Bustani confirmed the authority would proceed implementing digital transformation tasks within the tax sector to assist the federal government’s technique for lowering paperwork and sustaining buyer satisfaction ranges.