Media ININ Economy We Trust
Media In – Abu Dhabi 19 May 2018 / WAM /
The Federal Tax Authority has set standards and procedures for the recovery of value added tax on the construction of new housing for citizens.
There were three basic conditions for claiming a tax refund: the applicant was a national of UAE nationality and the expenses incurred were related to the construction of a new dwelling to be used exclusively as a residence for the applicant or his family and the expenses related to specific services provided by the contractor and related to construction materials.
The Authority said in a press release today that the recovery is entitled to a citizen who is building his own home, stressing that the request for redemption within six months from the date of completion of construction of the new housing.
Khalid Ali Al Bustani, Director General of the Federal Tax Authority, said that the Authority is keen to provide clear, transparent standards, procedures and mechanisms to facilitate the citizens’ recovery of the added value tax paid by them on the construction of new housing to contribute to the implementation of the vision of the wise leadership to develop a modern housing system. All forms of support for housing stabilization “.
The Federal Tax Authority explained that the completion of the request for redemption is done through 4 simple electronic steps. The first step is to download the tax refund form available on the website www.tax.gov.ae. In the second step, all forms of the form are filled out, printed and signed .
The TRA stated that the third step is to submit the application for the refund of the signed tax after it has been fully filled out and send it with the supporting documents in an electronic format in PDF format to the electronic window for VAT refunds for the new home construction, homebuilders@tax.gov.ae before the expiration of six months From the date of completion of the new housing.
She explained that the required documents include a copy of the passport and identity of the UAE and the summary of the applicant and supporting documents that show his possession of the piece of land and the date of completion of construction of the house.
The Authority added that the fourth step is to submit the application containing the reference number and building plans and invoices to one of the verification bodies that will be announced on the website of the Authority for the purpose of the audit to obtain a documentary evidence of the total tax payable recoverable.
