Reclaim Excess Input VAT — FTA Refunds

VAT Refund Services in Dubai & the UAE

When the VAT you pay on costs exceeds the VAT you collect, the FTA owes you money — and you can reclaim it. SKM International prepares and submits your VAT refund (Form VAT311) on EmaraTax, gets the documentation right, and makes sure nothing is left sitting as an unclaimed credit. Chartered accountants, serving the UAE since 2006.

Form
VAT311 EmaraTax
2026 Change
5-Year Limit
New for 2026: excess VAT credits now expire after five years. Legacy 2018–2020 credits must be claimed before 31 December 2026 or they are lost.
VAT311
Refund Form on EmaraTax
5 Years
Credit Claim Limit (from 2026)
31 Dec 2026
Deadline for 2018–2020 Credits
2006
Serving the UAE Since

Related VAT services

Filing returns, registering, or dealing with a penalty that is blocking your refund?

Time-Sensitive

The 2026 VAT Credit Deadline

A change that quietly puts older refunds at risk — and most businesses have not acted on it.

"Use it or lose it" from 2026

For years, UAE businesses could carry excess input VAT forward on their FTA account indefinitely. That changed from 1 January 2026: excess VAT credits are now subject to a five-year limit from the end of the tax period they arose in. After five years, the credit can no longer be offset or refunded — it is lost.

There is a transitional catch that matters right now: older credits from 2018 to 2020 must be claimed by 31 December 2026, or they expire permanently. If your business has been sitting on a VAT credit balance rather than refunding it, this is the year to act. We review your EmaraTax balances, identify what is at risk, and file the refund request in time to preserve it.

VAT Refund

Reclaiming Excess Input VAT

If your input VAT regularly exceeds your output VAT — common for exporters, zero-rated businesses, and those in a heavy investment phase — you are likely owed money you have not claimed.

When the VAT you pay on purchases (input VAT) is greater than the VAT you charge on sales (output VAT), the difference is refundable. Your VAT return calculates this automatically; you can then either carry it forward or claim it back.

Claiming it back is done through Form VAT311 on EmaraTax. The FTA reviews each refund request carefully, and accuracy is everything: the amount must reconcile to your records, the supporting invoices and proof of payment must be in order, and non-recoverable items — such as certain entertainment or personal-use costs — must be excluded. Over-claiming invites a review and delays approval; clean claims are paid more smoothly.

SKM International prepares the refund properly: reconciling your credit position, assembling the documentation the FTA expects, completing VAT311, and submitting it on EmaraTax. We also clear anything that could block the refund first — such as outstanding penalties, which the FTA can offset against the amount due.

What We Handle

Your VAT Refund, Done Properly

A clean, documented claim is paid; a careless one gets reviewed. We do it the right way.

Credit Position Review
We review your EmaraTax balances and returns to identify exactly how much refundable VAT you hold — and which older credits are now at risk of expiring.
Documentation Pack
We assemble what the FTA expects — tax invoices, proof of payment, a valid bank IBAN validation letter — so the claim is supported and not held up for missing evidence.
Exclude Blocked Input VAT
Not everything is recoverable. We exclude blocked or partially recoverable VAT — certain entertainment and personal-use costs — so you do not over-claim and trigger a review.
VAT311 Submission
We complete and submit Form VAT311 on EmaraTax, enter the exact reconciled amount, and track the request through to approval and payment.
Legacy Credit Recovery
We prioritise older credits from 2018–2020 that must be claimed before 31 December 2026, so nothing expires unclaimed under the new five-year rule.
Clear Blocking Penalties
Unpaid penalties can be offset against your refund or hold it up. We identify and resolve those first, so the refund comes through cleanly.

Sitting on a VAT credit? Don't let it expire.

Send us access to your VAT position and we will tell you what you are owed, what is at risk under the new five-year rule, and claim it back for you.

Call +971 50 717 2345 Mon–Fri 9–6:30 · Sat 9–3
FAQ

VAT Refund — Common Questions

When can I claim a VAT refund?

You can claim a VAT refund when your input VAT — the VAT you paid on business purchases — exceeds your output VAT for the period. The return calculates this automatically, and you can then either carry the excess forward or apply to have it refunded. Exporters, zero-rated businesses and those in an investment phase often find themselves in a regular refund position.

How do I apply for a VAT refund in the UAE?

Business VAT refunds are claimed through Form VAT311 on the FTA's EmaraTax portal, after the relevant return is filed. The FTA reviews each request and expects the claim to reconcile to your records, supported by valid tax invoices and proof of payment. We prepare and submit the application and see it through to approval.

Is there a deadline to claim a VAT refund?

Yes — and this is new. From 1 January 2026, excess VAT credits are subject to a five-year limit from the end of the tax period in which they arose, after which they can no longer be claimed. Under a transitional rule, older credits from 2018 to 2020 must be claimed by 31 December 2026. If you have been carrying a credit forward, it is important to review it now.

What can hold up or reduce my refund?

Common causes are weak documentation, over-claiming non-recoverable input VAT such as certain entertainment or personal-use costs, and figures that do not match your records — all of which invite FTA review. Unpaid penalties can also be offset against the refund or block it. We address each of these before submitting, so the claim is paid rather than queried.

Should I claim the refund or carry it forward?

It depends on your cash flow and how soon you expect output VAT to absorb the credit. Carrying forward can be simpler if it will be used up quickly, but with the new five-year limit, leaving credits to sit is now riskier. We help you weigh the two and, where a refund makes sense, claim it for you.

Does SKM handle the tourist VAT refund scheme?

No — that is a separate scheme for tourists, operated digitally at airports and ports on the FTA's behalf, and it is not something businesses apply for. Our VAT refund service is for registered businesses reclaiming excess input VAT through Form VAT311. If you are a business owed money on your VAT account, that is exactly what we handle.

VAT refund rules, time limits and the 2026 credit-expiry provisions reflect the UAE position as at 2026. Rules can change and depend on your circumstances — confirm your specific position with the FTA or with us before acting.

Owed a VAT Refund? Let's Claim It Before It Expires.

Mon–Fri 9:00AM–6:30PM  |  Sat 9:00AM–3:00PM  |  Office 102, Al Tawhidi Building, Al Mankhool, Dubai UAE