Tourists will be able to claim back 85 per cent their VAT on goods they have purchased in the UAE from Sunday, November 18.
The remaining 15 per cent will be charged in administration fees to Planet, the global operator of the refund system.
On Wednesday, UAE Federal Tax Authority director general Khalid Al Bustani said more than 4,500 companies have registered to the tourist tax refund scheme. He said the figure is expected to rise to 6,000 by the end of the year and could be as high as 10,000 by the end of next year.
“The FTA is keen to contribute to increasing tourism attractiveness, encouraging domestic trade and establishing the UAE as a central trading hub in the region,” Mr Al Bustani said.
Under the new scheme, tourists can claim a tax refund within 90 days of purchase. They can claim up to Dh10,000 in cash while there is no limit on credit card refunds.
“The Dh10,000 cash refund is high compared to what countries across the world offer,” said Mr Al Bustani.
To qualify for the refund, tourists must be at least 18 years old and must intend to leave the UAE within three months of purchase along with the goods they have bought.
VAT is introduced in the UAE this year as part of plans to diversify the country's economy away from oil.
Regulations stipulate that tourists will only be able to claim refunds on goods that have purchased from companies that have signed up to the scheme.
To be eligible for the scheme, companies must first undergo a credit assessment. The reason for this is because they will be the party required to refund the VAT to the UAE government.
Crew members on flights or planes that are leaving the country are not eligible for VAT refunds.
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Read more:
Cabinet approves VAT cash back for tourists visiting the UAE
VAT q&a: 'Can a UK business visitor reclaim VAT on UAE spending?'
"Do I have to pay tax on UAE income when I return to the UK this summer?"
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Goods not included under the refund include motor vehicles, boats or aircraft. Similarly, any goods that have been fully, or partly, consumed in the UAE cannot be refunded.
Tourists can apply for a tax free purchase in participating stores. Once the shop logs their information, and they have provided a valid passport to prove they are not a resident, they will be issued a tax free tag on the back of their receipt and a digital form will be created.
Tourists can then claim their tax refund at the point of exit. At the moment the only valid points of exit are Dubai, Abu Dhabi and Sharjah Airports.
However, this will be extended to include other ports and airports across the UAE next month.
There is a minimum spend of Dh250 for goods to be eligible for the scheme. There will also be a Dh4.50 charge for each tax free tag that is presented at the point of refund.
The 15 per cent of the transaction that is paid as commission to the tax refund agency, in this case Planet, is common practice in many countries with various agencies charging differing amounts.
Planet currently operates in 58 countries around the world.
How to apply for a drone permit
- Individuals must register on UAE Drone app or website using their UAE Pass
- Add all their personal details, including name, nationality, passport number, Emiratis ID, email and phone number
- Upload the training certificate from a centre accredited by the GCAA
- Submit their request
What are the regulations?
- Fly it within visual line of sight
- Never over populated areas
- Ensure maximum flying height of 400 feet (122 metres) above ground level is not crossed
- Users must avoid flying over restricted areas listed on the UAE Drone app
- Only fly the drone during the day, and never at night
- Should have a live feed of the drone flight
- Drones must weigh 5 kg or less
THE LIGHT
Director: Tom Tykwer
Starring: Tala Al Deen, Nicolette Krebitz, Lars Eidinger
Rating: 3/5
Company profile
Date started: January, 2014
Founders: Mike Dawson, Varuna Singh, and Benita Rowe
Based: Dubai
Sector: Education technology
Size: Five employees
Investment: $100,000 from the ExpoLive Innovation Grant programme in 2018 and an initial $30,000 pre-seed investment from the Turn8 Accelerator in 2014. Most of the projects are government funded.
Partners/incubators: Turn8 Accelerator; In5 Innovation Centre; Expo Live Innovation Impact Grant Programme; Dubai Future Accelerators; FHI 360; VSO and Consult and Coach for a Cause (C3)
SPECS
Engine: 4-litre V8 twin-turbo
Power: 630hp
Torque: 850Nm
Transmission: 8-speed Tiptronic automatic
Price: From Dh599,000
On sale: Now
The biog
Name: Abeer Al Shahi
Emirate: Sharjah – Khor Fakkan
Education: Master’s degree in special education, preparing for a PhD in philosophy.
Favourite activities: Bungee jumping
Favourite quote: “My people and I will not settle for anything less than first place” – Sheikh Mohammed bin Rashid.
How to protect yourself when air quality drops
Install an air filter in your home.
Close your windows and turn on the AC.
Shower or bath after being outside.
Wear a face mask.
Stay indoors when conditions are particularly poor.
If driving, turn your engine off when stationary.
Formula Middle East Calendar (Formula Regional and Formula 4)
Round 1: January 17-19, Yas Marina Circuit – Abu Dhabi
Round 2: January 22-23, Yas Marina Circuit – Abu Dhabi
Round 3: February 7-9, Dubai Autodrome – Dubai
Round 4: February 14-16, Yas Marina Circuit – Abu Dhabi
Round 5: February 25-27, Jeddah Corniche Circuit – Saudi Arabia
Ammar 808:
Maghreb United
Sofyann Ben Youssef
Glitterbeat
Vidaamuyarchi
Director: Magizh Thirumeni
Stars: Ajith Kumar, Arjun Sarja, Trisha Krishnan, Regina Cassandra
Rating: 4/5
Company%20profile
%3Cp%3E%3Cstrong%3ECompany%20name%3A%3C%2Fstrong%3E%20Fasset%0D%3Cbr%3E%3Cstrong%3EStarted%3A%20%3C%2Fstrong%3E2019%0D%3Cbr%3E%3Cstrong%3EFounders%3A%3C%2Fstrong%3E%20Mohammad%20Raafi%20Hossain%2C%20Daniel%20Ahmed%0D%3Cbr%3E%3Cstrong%3EBased%3A%3C%2Fstrong%3E%20Dubai%0D%3Cbr%3E%3Cstrong%3ESector%3A%20%3C%2Fstrong%3EFinTech%0D%3Cbr%3E%3Cstrong%3EInitial%20investment%3A%3C%2Fstrong%3E%20%242.45%20million%0D%3Cbr%3E%3Cstrong%3ECurrent%20number%20of%20staff%3A%3C%2Fstrong%3E%2086%0D%3Cbr%3E%3Cstrong%3EInvestment%20stage%3A%3C%2Fstrong%3E%20Pre-series%20B%0D%3Cbr%3E%3Cstrong%3EInvestors%3A%3C%2Fstrong%3E%20Investcorp%2C%20Liberty%20City%20Ventures%2C%20Fatima%20Gobi%20Ventures%2C%20Primal%20Capital%2C%20Wealthwell%20Ventures%2C%20FHS%20Capital%2C%20VN2%20Capital%2C%20local%20family%20offices%3C%2Fp%3E%0A
UAE currency: the story behind the money in your pockets
Ain Dubai in numbers
126: The length in metres of the legs supporting the structure
1 football pitch: The length of each permanent spoke is longer than a professional soccer pitch
16 A380 Airbuses: The equivalent weight of the wheel rim.
9,000 tonnes: The amount of steel used to construct the project.
5 tonnes: The weight of each permanent spoke that is holding the wheel rim in place
192: The amount of cable wires used to create the wheel. They measure a distance of 2,4000km in total, the equivalent of the distance between Dubai and Cairo.
If you go...
Fly from Dubai or Abu Dhabi to Chiang Mai in Thailand, via Bangkok, before taking a five-hour bus ride across the Laos border to Huay Xai. The land border crossing at Huay Xai is a well-trodden route, meaning entry is swift, though travellers should be aware of visa requirements for both countries.
Flights from Dubai start at Dh4,000 return with Emirates, while Etihad flights from Abu Dhabi start at Dh2,000. Local buses can be booked in Chiang Mai from around Dh50
Profile Box
Company/date started: 2015
Founder/CEO: Mohammed Toraif
Based: Manama, Bahrain
Sector: Sales, Technology, Conservation
Size: (employees/revenue) 4/ 5,000 downloads
Stage: 1 ($100,000)
Investors: Two first-round investors including, 500 Startups, Fawaz Al Gosaibi Holding (Saudi Arabia)
How to avoid crypto fraud
- Use unique usernames and passwords while enabling multi-factor authentication.
- Use an offline private key, a physical device that requires manual activation, whenever you access your wallet.
- Avoid suspicious social media ads promoting fraudulent schemes.
- Only invest in crypto projects that you fully understand.
- Critically assess whether a project’s promises or returns seem too good to be true.
- Only use reputable platforms that have a track record of strong regulatory compliance.
- Store funds in hardware wallets as opposed to online exchanges.
