(MENAFN- Khaleej Times)
The federal Tax Authority (FTA) has approved 30,920 applications for Value Added Tax (VAT) refunds to Emirati citizens worth Dh2.54 billion in the first half of 2024, up 32.45 per cent compared to the same 2023 period.
By the end of the first half of 2023, the total approved applications were 23,340 valued at Dh1.54 billion. This marks a 65.07 per cent increase in the value of refunded amounts over 12 months.
In a press statement issued on Monday, the authority explained that in the year between the end of June 2023 and the end of June 2024, about 7,580 new applications were approved, allowing citizens to reclaim over Dh1 billion in taxes they paid on building new homes. In the first six months of this year, 3,590 new applications were approved, refunding Dh336.09 million in taxes.
Khalid Ali Al Bustani, director-general of the FTA, attributed the significant increase in the number of UAE citizens benefiting from the Tax Refund Scheme for UAE Nationals Building New Residences to increased tax awareness and continuous improvements made by the Authority to the service since its launch six years ago.
"These enhancements include introducing more facilities to streamline and expedite the refund process for UAE citizens who meet the legal requirements for tax refunds," Al Bustani said. "This initiative is in line with FTA's strategy to prioritise citizens' happiness, as per our wise leadership's vision to establish and enhance a modern housing system for Emirati citizens and provide them with the highest living standards," said Al Bustani.
FTA launched its Maskan smart application this year, providing further facilities for UAE citizens to request refunds on VAT incurred in constructing new homes with 100 per cent digital and paperless procedures. "This allows Emirati citizens to benefit from digitisation efforts and expedite the tax refund process," he explained. "The initiative forms part of the Authority's contributions under the Transformational Projects Series, which aims to advance digital services, limit paper consumption, and minimise the number of required documents, among other facilities."
FTA has several ongoing plans to develop the service and continue its campaigns to educate citizens about the streamlined e-services they can use to apply for VAT refunds on building new residences.
These include virtual meetings to offer consultations and clarifications, answer enquiries, and allow direct communication with FTA staff handling VAT refunds on new homes, which enable taxpayers to complete their transactions as fast as possible.
Statistics reveal a notable increase in the number and total value of approved applications since the service was first offered to UAE citizens. Approved applications rose from 270 requests worth Dh9.11 million in 2018 to 8,250 applications worth Dh720.12 million approved in 2023.
MENAFN12082024000049011007ID1108546280
Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.