After the introduction of Value Added Tax by the federal TAX Authority, the government has introduced various special refund schemes for the benefit of people belonging to special categories. These categories are business investors, new residences constructed by UAE citizens, tourist visitors, foreign governments, diplomatic bodies and missions, and certain international organizations. In this article, we will be discussing the procedure for VAT refunds for foreign governments, international organizations, and diplomatic bodies in the UAE. VAT registration UAE has a team of experienced tax consultants who can help you claim a VAT refund for the expenses made on VAT in the UAE if you belong to these special categories.
The eligible people under the scheme can claim a refund of the VAT paid by them on the purchases made inside the UAE. These schemes are available to them even if they do not belong to being a taxable person or business entity in the UAE. However, the Federal Tax Authority has also set out certain terms and conditions for the entities and business persons to avail of such refund schemes. Understanding the actual terms and conditions of the scheme can be quite difficult for people. Therefore, they must consult the tax consultants in Dubai if they wish to learn more about it and apply for refunds.
Eligibility of VAT refunds for foreign governments, international organizations, and diplomatic bodies in the UAE
The VAT refund for foreign governments, international organizations, and diplomatic bodies in the UAE applies to the people and organizations belonging to these categories. The expenses made on VAT incurred by the people in these categories are reclaimed by applying for a refund. The refund process gets simplified with the help of the tax consultants in the UAE. However, they must also fulfil certain conditions for applying for a VAT refund in the UAE. These conditions are as mentioned below:
- The goods and services purchased by such persons and businesses shall be for official use only.
- The country where the foreign government, international organizations, and diplomatic bodies are registered or established must also have a similar scheme and exclude similar entities from the UAE from any tax.
The schemes initiated by the UAE government serve as an encouragement to the foreign government, international organizations, and diplomatic bodies in the UAE to make purchases from UAE. They do not have to incur VAT on the purchase made inside the UAE. They can always consult the VAT consultants in the UAE to claim a refund on their VAT spending.
Procedure to claim VAT refunds for foreign governments, international organizations, and diplomatic bodies in the UAE
The procedure for filing refunds for VAT by the eligible persons is very systematic if a person is well versed with the procedure. The FTA e-services portal is to be used for this. One has to log in to the e-service portal platform of the Federal Tax Authority and then claim for the VAT refunds by filling the form with relevant details and submitting the claim. However, if one has doubts about filling the VAT refund forms, they must consult the tax consultants in the UAE. They can help make your VAT refund journey a really easy process. The general steps for the same areas mentioned below-
- Login to the FTA portal
- Filling the VAT refund form
- Verifying the Balance
The time frame for obtaining the VAT refund for Foreign governments, international organizations, and diplomatic bodies in the UAE
The form for VAT return is generally processed within twenty working days, and an email notification is sent to inform the status of the application. The approved applications will lead to refunding the amount to the applicants’ accounts within five working days. The bank details have to be submitted along with the form. For a detailed process of filling out the refund form, the applicants should always consult the tax consultants in the UAE who can help make the refund filing easy. Doing so ensures the form is being filled correctly and hence avoiding any mistakes and fines at a later stage.
How can VAT registration UAE help you in claiming your VAT refunds?
VAT registration UAE have a team of experienced tax consultants who can help you understand your eligibility for VAT refunds. experienced staff can guide you in claiming your VAT refunds and will also let you know if you are eligible for VAT refunds under special schemes or not. Therefore, get in touch with experts today, help you out in claiming your VAT refunds in the simplest possible ways. they can also help you obtain VAT refunds under other special schemes like new residences constructed by UAE nationals and VAT refunds for business visitors and tourists.