Thread:
Recovery of tax paid by Emiratis for building new residences.
This thread contains basic principles.
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#Emiratis building a new residence are entitled to claim from the #FTA @uaetax the #tax they paid when building a new house.
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The FTA issued a derailed guide on this matter, including how to apply for a refund.
The detailed guide can be found on the following link:
https://tax.gov.ae/-/media/Files/EN/PDF/Guides/VAT-Refund-for-UAE-Nationals-Building-Residences---EN---12-08-2020.pdf

However, this thread is aimed to cover the basics only.

In simple terms, if you incur expenses relating to building a new house, you will probably pay #VAT. This VAT can later be recovered from the FTA.

What is a “residence”, for which you can recover tax incurred for?
A building used predominantly as a private home of an Emirati, including fixtures and fittings, comprising of at least of cooking and washroom/bathroom facilities and sleeping quarters.

Expenses must relate to a newly constructed building which is to be used solely as a residence for the Emirati for his and/or her family. If the Emirati rents the villa or uses it for commercial purposes, the FTA may have the right to take back the money refunded.

Additions to a building and separate structures are not to be considered for refund purposes unless they constitute a “residence” on their own.

Generally, you should submit a request for refund to the FTA within 6 months from the earlier of the date:
1. The residence is occupied; or
2. The building is certified as complete by the competent authority.
Page 6 of the guide contains some exceptions to the rule above.

You will need to provide the FTA with fill and correct Tax Invoices. Such invoices shall contain ALL of the following particulars:

You can check the TRN on the invoice for validity through the home page of the FTA’s website:
http://www.tax.gov.ae 

Page 23 of the Guide provides a lost of items eligible for refund of relevant tax:

The above information is entirely from the guide, please refer to the guide for further details.
Also, please note that the FTA may amend the guide in the future, in which case you need to keep yourself up to date with the requirements.