Published on : Thursday, October 25, 2018
The Federal Tax Authority (FTA) said that the Tax Refund for Tourists Scheme would come into effect from next month, and this would allow eligible tourists to get refunds of the five per cent VAT incurred on their purchases.
The first phase of this plan will see the digital system of the Tax Refund for Tourists Scheme implemented at Abu Dhabi, Dubai and Sharjah International Airports. As of mid-December, the system will be fully operational and would include all airports and land and seaports in the UAE as specified in the Cabinet decision. The government stressed the fact that the move aims to strengthen the UAE’s position as a major global tourism destination.
FTA Director-General Khalid Ali Al Bustani said that more than 4,000 retail outlets throughout the UAE will be connected electronically to the system, and that only the invoices issued by retail outlets registered in the scheme and connected to the system are entitled for a refund.
These appropriate outlets can be identified with posters displayed on their storefronts and visible to visitors, Bustani said.