UAE Tourist VAT Refund: Easy Steps to Claim

Did you know tourists in the UAE can get VAT refunds on their purchases?

The UAE has streamlined the process for visitors to claim VAT refunds when leaving the country. In 2024, the service expanded to include online shopping, allowing tourists to buy products online and request refunds via e-commerce platforms.

The UAE’s Federal Tax Authority (FTA) has authorized Planet to manage all VAT refund transactions. This system is entirely digital and consistently updated, making it a world-first innovation.

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The platform offers tourists a user-friendly digital experience to scan passports, complete transactions, and automatically receive digital invoices.

Here’s everything you need to know about the process.

Eligibility

Visitors shopping in the UAE are eligible for VAT refunds if they spend at least Dh250. Crew members are not eligible for VAT refunds.

Shopping Tips

There are two methods to shop tax-free in the UAE.

Traditional Method

1. Request a tax-free transaction from the merchant after shopping.

2. The merchant will enter your details into the digital tax-free system.

3. Receive a tax invoice and a Planet tax-free tag with a QR code linking to Planet’s shopper portal to review your purchases.

4. Ensure your tax-free purchases are validated at designated checkpoints upon departure.

Paperless Method

1. Request a tax-free transaction from the merchant after shopping.

2. Your details will be entered into the digital tax-free system.

3. Receive a digital tax invoice and an SMS with a link to the shopper portal.

4. Validate purchases at Planet checkpoints when leaving the UAE.

Validation Process

According to Planet’s site, you must exit the UAE within six hours of validating your goods, or you’ll need to restart the VAT refund process.

• To validate purchases, visit Planet’s validation points before checking in luggage, available at all UAE airports, seaports, and borders.

• Present travel documents, goods, and tax invoices (if not paperless).

• Your transactions will be classified for Red or Green Channel Validation. Green Channel means all is validated, allowing you to choose a refund method. Red Channel means goods need checking at a Planet validation point post-immigration. After validation, select your refund method.

Refund options include credit card, digital wallet, or cash in UAE dirhams. For cash, refunds are immediate at the counter, with a Dh35,000 maximum. Credit card refunds are processed within 9 days post-departure.

Refund Amount

A Dh4.80 fee applies per tax-free transaction. You’ll receive 87% of the VAT paid.

Process Timeline

Validate tax-free transactions within 90 days of purchase. Claim refunds within 12 months of validation.

Non-Eligible Goods

The following items are ineligible for VAT refunds:

1. Goods consumed in the UAE

2. Motor vehicles, boats, and aircrafts

3. Goods not with you when leaving the country

4. Services

5. Goods used in the UAE without original packaging