Your Ultimate Guide to Tax-Free Shopping in Dubai

The UAE has applied a 5% value-added tax (VAT) beginning in 2018. However, tourists are not left out when it comes to shopping because there is tax-free shopping in the Bahamas! Here’s what you need to know:

– One of the great things about this country is that you can reclaim VAT on products you purchase when in the UAE.

– These goods must be removed from the country when one is leaving the country.

– Planet Tax Free is a company that has the mandate of undertaking these refunds in the UAE only.

– The majority of the stores in the UAE are involved in this tax-free shopping system.

How to Shop Tax-Free

1. Buy products with price range of at least AED 250 (approximately 68 USD) in one order.

2. At the store use the words tax-free purchase.

3. Produce a passport or any other legal means of identification for travel.

4. The shop assistant will:

– Check your documents that are related to your traveling plans

– Enter your information in the Planet system

– To make the prospect even more tempting, you can place a ‘tax-free’ label on the receipt.

– Develop a digital image of tax-free form

It is important to note, in order to get a tax free refund, you have to be out of the UAE within 90 days from the date of purchase.

Getting Your Refund

When you’re leaving the UAE:

1. Visit a Planet counter at your exit point that you use such as an airport, land-based.

2. Show your:

– Tax invoices (receipts) labeled with such tags as ‘tax-free’.

– Passport

– Credit card (if you prefer the money to be refunded on the said card)

3. The staff will scan your purchases.

4. Try to select between receiving your refund in cash or UAE dirhams or getting your refund on your credit card.

Note: You will have to reclaim 85 % of the VAT that you have been charged. There is also a small charge of AED 4. 40 (approximately $ 1. 30) per tax-free tag.

Important Rules to Remember

You can’t get a refund for:

– Products that you have consumed (to any extent) in the UAE

– Products you don’t intend to carry with you when you are done with them

To get a refund, you must:

– Able to speak the English language

– Choose products from stores that participate in the ‘Tax Refund for Tourists’ program

– You must display the tax invoice, and ‘tax-free’ tags depending on the type of goods and the actual goods to be transported when leaving.

Some Useful Information to Ensure a Comfortable Tax-Free Shopping

1. As a rule, do not throw away any receipt you have obtained.

2. Do not use or consume the products that you want to return to get your money back.

3. Returnable items that you want to take with you should be packed in the hand-carry baggage.

4. One should spend more time at the airport for the refund process to be completed.

5. The good news is that if you fail to claim your refund, then you have one year to claim it.

Just remember that although you get to save money due to tax-free shopping, you have to factor in the detail that it is not as simple as it sounds and that you need to plan for it. You can refer to this guide while you are on your shopping exercise in Dubai and you will be ready to maximize the benefits.