The UAE has taken another step towards enhancing the visitor experience with a major upgrade to its tourist VAT refund system. A new AI-powered process is set to significantly reduce the time tourists wait to receive their VAT refunds when leaving the country.
Under the upgraded system, eligible tourists can now receive their VAT refunds within one business day, compared with the previous processing time of up to nine days. The new technology is being introduced at major airports in Dubai, Abu Dhabi and Sharjah, making the refund process faster and more efficient for international visitors.
The UAE’s 5% VAT, introduced in 2018, applies to most goods and services. However, tourists can reclaim VAT paid on eligible purchases made from participating retailers, subject to the applicable rules and minimum purchase requirements.
The latest upgrade is particularly significant for a country where tourism, retail and international travel play an important role in the economy. By reducing processing times and using artificial intelligence to streamline verification, the UAE is making the departure experience more seamless while encouraging international visitors to continue spending across its retail and hospitality sectors.
For tourists, the message is simple: less waiting, faster refunds and greater convenience.
For the UAE, the move reflects a broader strategy of using technology to improve government services and strengthen its position as a leading global destination for tourism, business and investment.
As the UAE continues to attract record numbers of visitors and international investors, initiatives such as this demonstrate how the country is combining technology, efficiency and customer-focused services to maintain its competitive edge.
Source: Arabian Business
