UAE tourist VAT refunds cut to one business day

Tourists leaving the UAE can now expect their VAT refunds within one business day, the Federal Tax Authority (FTA) announced this week. According to Gulf News and The National, the wait was previously about nine days.

What has changed

The FTA, which sits under the Ministry of Finance, has introduced an AI-assisted digital platform built with Planet, the authorised operator of the Tourist Tax Refund Scheme. Gulf News reported that the system is live at Dubai International Airport, Abu Dhabi's Zayed International Airport and Sharjah International Airport, a point Emirates 24|7 also confirmed.

How the process works

According to Gulf News, visitors register in the Planet app by scanning their face and photographing their passport and bank card. At departure they scan a dynamic QR code at a refund service point. If the system sees no need to inspect purchases, the claim can be finished in the app, and the traveller picks a refund method. Where an inspection is needed, the app sends the traveller through facial-recognition smart gates and then to a self-service kiosk.

The platform matches invoice and travel data automatically and flags unusual transaction patterns. The articles did not state minimum purchase amounts, fees or an exact launch date.

The scheme in numbers

The FTA figures reported by Gulf News show about 16,700 registered retail points of sale and 98 self-service kiosks, which handle 22.4% of transactions. Since 2018, the scheme has paid out roughly AED 4.2 billion across 25 million transactions. The authority expects about 4 million transactions between November 2026 and October 2027, with refunds of around AED 692 million.

FTA Director General Abdulaziz Al Mulla said the UAE has become one of the fastest countries in the world for tourist tax refunds, according to The National.

What it means for Dubai

For retailers and hotels, a faster and largely paperless refund may make tax-free shopping a stronger draw for visitors. Merchants already registered with the scheme should check the Planet and FTA guidance on any changes to their own procedures. Tourists should confirm the current eligibility rules and any thresholds on the FTA website before they shop, since those details were not covered in the launch reports.