The Federal Tax Authority (FTA) reported that Emirati citizens submitted over 7,200 approved applications in 2025 to recover Value Added Tax (VAT) paid on newly constructed homes, with total refunds exceeding AED646 million. Moreover, the figures reflect growing awareness among UAE nationals of available tax benefits.
Khalid Ali Al Bustani, Director-General of the FTA, said, “We are keen to ensure that continued attention to – and ongoing enhancement of – Emirati family-related services remain among the Authority’s top priorities, in particular the Tax Refund for UAE Nationals Building New Residences service, which is continuously developed through the latest innovative and user-friendly digital systems.” He added that the initiative aligns with the UAE’s leadership vision to strengthen social stability and support family housing, in line with the designation of 2026 as the Year of Family.
Service Enhancements and Efficiency
Al Bustani highlighted that the increase in applications reflects both greater tax awareness and the success of service improvements. Additionally, the FTA introduced measures to simplify and accelerate refund procedures, including reducing required fields for personal and bank account details in the smart Maskan application and integrating electronically with municipalities to enable proactive submissions on behalf of citizens. Therefore, the initiative supports the Zero Government Bureaucracy programme by streamlining processes, improving efficiency, and reducing procedural burdens.
Ongoing Development and Support
The FTA reaffirmed its commitment to providing clear and transparent standards for VAT refunds on home construction. Moreover, awareness campaigns and remote consultation sessions guide citizens through the process, answer enquiries, and allow direct engagement with specialised FTA staff. As a result, eligible Emirati homeowners can complete applications efficiently while benefiting from the Authority’s continuous development of user-focused digital services.
