UAE’s FTA cuts VAT refund time for nationals building homes

Application fields halved and processing time cut by 80% as the authority overhauls its housing refund service under the Zero Bureaucracy Programme

Staff Writer
Reviewing the development of the VAT refund service for UAE nationals building new residences as a model for the Zero Bureaucracy Programme
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The Federal Tax Authority has overhauled its VAT refund service for UAE nationals building homes, cutting the number of required data fields by half and reducing application time by 80%. Customer satisfaction climbed from 83% in 2023 to 93% in 2026 following the changes.

Key points

  • Application data fields cut by 50%, processing time by 80%
  • Refund application deadline extended from six months to 12 months
  • Customer satisfaction rose from 83% in 2023 to 93% in 2026

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The Federal Tax Authority has announced a series of legislative and procedural changes to its VAT refund service for UAE nationals constructing new homes, with the updates cutting application complexity and improving turnaround times considerably.

The changes were presented at a Customer Council session held in Dubai, attended by FTA Director General Abdulaziz Mohammed Al Mulla, Hesham Amiri, Deputy Chief of Government Services at the UAE Prime Minister’s Office, and a range of stakeholders including UAE nationals, contractors, consultants, and verification bodies.

Al Mulla said the service is part of the FTA’s broader push on digital transformation and the third cycle of the Zero Bureaucracy Programme. “The VAT refund service for UAE nationals building their homes continues to undergo development and enhancement as part of the Federal Tax Authority’s comprehensive strategy to strengthen innovation and digital transformation. “These efforts align with the UAE leadership’s prudent directives to continue implementing the third cycle of the Zero Bureaucracy Programme and to continuously redesign and improve the customer experience across government services, contributing to efforts to position the UAE among the world’s most innovative countries,” he said in a statement.

“Several legislative and procedural measures have recently been introduced to simplify and accelerate the refund process. These include extending the deadline for submitting refund applications from six months to 12 months, giving UAE nationals sufficient time to complete all refund requirements. This year has also seen an expansion in the range of payments eligible for tax refunds as part of the ‘Year of Family’ initiatives, supporting the government’s vision to develop a modern housing system that enhances citizens’ happiness and provides them with a dignified life. As part of our digital transformation efforts, we also launched the ‘Maskan’ smart application for VAT refunds on UAE nationals’ residences, which offers greater accuracy, efficiency and speed,” he added.

The efficiency gains are measurable. “The Zero Bureaucracy measures implemented by the Authority have significantly accelerated and simplified VAT refund procedures for UAE nationals building new residences. The number of data fields has been reduced by 50%, while the time required to complete and submit a refund application has been reduced by 80%. As a result, customer satisfaction with the service increased from 83% in 2023 to 93% in 2026,” Abdulla Al Bastaki, Chief Executive Officer of the Information Technology Sector and Head of the Team Implementing the Zero Government Bureaucracy Programme at the FTA further explained.

The session also traced the service’s evolution since its launch in 2018, when applications were submitted by email and processed manually. An online platform followed in 2019, and the Maskan app arrived in 2024. The current customer journey runs across four steps: submitting an application, verifying eligibility and documents, receiving electronic approval, and receiving the refund directly to a bank account.

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Dr. Ibrahim Ali Abdullah, Director of the Tax Operations Department, said the session reflected the FTA’s commitment to engaging stakeholders across channels, using direct feedback to refine procedures and inform future service design.

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