UAE Nationals VAT Refund

If you are a UAE national, you may be entitled to a refund of the Value Added Tax (VAT) incurred on the construction of a new residence for your own use.

Because the construction of a building is a taxable supply under UAE VAT law, a person constructing even a residential building pays tax on the expenses incurred during construction — including building materials, the contractor’s bill and more.

Under the VAT Refund Scheme for UAE nationals, the tax paid for constructing the new residence can be refunded subject to certain conditions. The scheme helps UAE nationals reduce the expenditure incurred on account of VAT paid while constructing a new residence.