VAT Refund for UAE Nationals Building New Homes — Complete Guide 2025
VAT Refund for UAE Nationals Building New Homes — Complete Guide 2025
AD 71 Tax Consultancy LLC | ABU DHABI
What Is the UAE National VAT Refund?
Under UAE VAT law, Emirati nationals are entitled to reclaim the 5% VAT paid on construction costs for their new private residence. This scheme is administered by the Federal Tax Authority (FTA) and applications are submitted through the EmaraTax portal or the Maskan app.
Who Is Eligible?
To be eligible, the following conditions must be met:
- The applicant must be a UAE national (Family Book required)
- The property must be a newly built private residence for personal use — not for rent or commercial purposes
- The land must be owned by the applicant or a family member
- Construction must be carried out by a registered contractor
- The application must be submitted within 12 months of the building's completion date or first occupancy, whichever is earlier
What Costs Qualify for Refund?
Qualifying costs ✅
- Building materials (concrete, steel, bricks, etc.)
- Contractor fees and construction services
- Consultant and architectural fees
- Utility connection charges (water, electricity, sewage)
Non-qualifying costs ❌
- Furniture and home appliances
- Luxury or decorative items
- Extensions or renovations to an existing building
Required Documents
- Copy of Emirates ID
- Copy of Family Book (Khulasat Al Qaid)
- Land title deed / ownership document
- Construction contract and completion certificate
- Approved architectural plans
- Contractor and consultant contracts
- Tax invoices showing 5% VAT charged
- Proof of occupancy (utility bill)
- Bank account details for refund transfer
How to Apply
Step 1: Register on the EmaraTax portal or download the Maskan app Step 2: Create an account and navigate to "Special Refunds" Step 3: Select "New Residences VAT Refund" Step 4: Upload all required documents Step 5: Submit your application and track its status via the dashboard
⏱️ The FTA typically takes 20 to 45 business days to process and transfer the refund.
Tips to Ensure Your Application Is Approved
- Keep all invoices and contracts from the very beginning of construction
- Ensure all invoices are from FTA-registered suppliers with a valid TRN
- Don't delay — the deadline is 12 months from project completion
- Make sure all invoices clearly show the 5% VAT amount
Need Help With Your Application?
At AD 71 Tax Consultancy LLC, we manage the entire application process on your behalf — from document review to FTA follow-up — ensuring you recover every dirham you're entitled to.
📞 Contact us today for a free consultation