Tax Refunds for International Events & Seminars Conducted in UAE
On 16th June, 2019, the UAE Cabinet has approved the decision of tax (VAT) refunds for all international events and seminars conducted in the UAE. This decision specifies that the facilities operating in the seminars, conferences, or exhibitions sector are qualified for VAT refund imposed on the arrangement of services which are required for organizing these events. That means the organizations who are organizing conferences, events, seminars, or exhibitions in UAE can now claim VAT refund.
This decision is implemented in order to boost the feasibility of doing businesses in UAE and also improve the competition in this particular sector. While doing so, the Cabinet also wants to support the application of UAE tax system and keeping up with the global standards.
The decision also comes as a government’s effort to support the events and seminars sector and improve the country as a global hub for business events, seminars, and conferences.
Based on some of the latest statistics, it was found that the events and seminars sector contribute more than AED 2 billon to the country’s economy and is hopefully expected to rise to AED 5 billion by 2020.
This decision is for events and seminars held under a competent local authority license for a maximum period of 7 days and also for formal meetings between competent local authority licensed persons of mutual interest for a maximum period of 7 days.
ADNEC or Abu Dhabi National Exhibitions Company, recently announced that it has got the FTA license for waiving off VAT for all international organizations and companies organizing or participating in events, seminars or conferences in their venues across the country starting 1st June, 2019.
Conditions for claiming VAT waive off for events and seminars:
- The applicant or organization must not have an established business or permanent base in UAE.
- The recipient shall not be registered to VAT or required to register for VAT as per the UAE VAT law.
- The applicant has not paid a tax to the supplier
This initiative by the government of UAE will definitely cut cost that are incurred by international associations and event organizers. Not just that, it will even allow local associations to bid more in order to host international events and seminars.
Apart from that, this decision of VAT refund for international events and seminars will also lure more foreign business tourists and companies to held events that takes place in the UAE all year long.
So, if you own a business or part of one and also want to held an event or seminar in UAE, then you can claim your VAT refund with ease. In case you need any consultation or finding it difficult to claim your VAT refund, then CDA Accounting and Bookkeeping Services LLC can assist you do the same. We are the best VAT Consultancy in Dubai as well as the top VAT Consultants in Abu Dhabi.
Also, experience free 1-hour VAT consultation from our leading accounting firm in Dubai.