UAE Digital VAT Refund System for Tourists Expands to 19,340 Outlets and 100 Kiosks
UAE Federal Tax Authority: digital VAT refund system for tourists now covers 19,340 connected retail outlets and 100 self-service kiosks by end of H1 2026.
The Federal Tax Authority (FTA) said the digital VAT refund system for tourists widened its reach across the UAE in the first half of 2026, with the number of electronically connected retail outlets rising to about 19,340. Officials reported a year‑on‑year expansion in the network and continued upgrades to make refunds faster and fully digital for visiting shoppers.
Rapid network growth in first half of 2026
The FTA reported that registered retail outlets linked electronically to the tourist VAT refund system increased by 5.9% compared with the same point in 2025. The total reached roughly 19.34 thousand outlets at the end of the first half of 2026, up from about 18.26 thousand a year earlier.
During the six months to June 2026, 449 outlets joined the system, compared with 697 added in the same period of 2025. Over the past two years and the first half of 2026 combined, the authority said some 2,983 new merchant points were incorporated into the platform.
Self-service kiosks reach 100 across the UAE
The number of self-service kiosks available for tourists to process VAT refunds rose to 100 by the end of H1 2026, up from 93 at the same stage last year. The addition of seven new machines represents a 7.5% increase year‑on‑year, according to the FTA’s figures.
FTA officials said 23 kiosks have been introduced over the past two years and the first half of 2026. These units are deployed across major shopping malls, hotels and the emirates’ international departure points to give visitors practical options to complete refund procedures.
How the fully digital system works for tourists
According to FTA Director‑General Abdulaziz Mohammed Al‑Mulla, the authority continues to enhance the platform’s digital capabilities and merchant registration features. He emphasized that the system is fully digital and designed to let tourists complete transactions quickly, receive digital invoices and share documents through the platform before departure.
Tourists can finalise claims online during their stay and use a nearby self‑service kiosk at departure or select locations to collect refunds. The authority says these improvements shorten processing times and reduce paperwork for both shoppers and retailers.
Integration with e‑commerce: Noon added to the scheme
In a first for such programmes, the FTA has extended the digital refund mechanism to include purchases made via the widely used Noon e‑commerce platform during tourists’ stays. The move allows eligible online purchases to be processed through the same refund system that covers in‑store shopping.
Officials described the inclusion of a major online marketplace as a global first, highlighting a broader strategy to capture cross‑channel spending by visitors. This integration responds to changing shopping patterns and helps ensure that tourists can recover VAT on qualifying digital transactions as well as physical purchases.
Who benefits most from the system
The FTA identified the top five nationalities using the tourist VAT refund service this year as India, the Russian Federation, Turkey, China and the United States. These countries accounted for the largest number of refund transactions recorded through the scheme in the reporting period.
FTA data indicates that the geographic mix of users reflects the UAE’s diverse visitor base and targeted efforts to make the refund process accessible to a wide range of travelers. Authorities say continued outreach to merchants and service providers aims to sustain that broad usage.
Ongoing digital transformation and future plans
The FTA reiterated its commitment to ongoing system upgrades and to expanding merchant onboarding features that simplify registration and compliance. The authority frames these measures within wider government digital transformation objectives to raise service quality and support a business‑friendly environment.
Officials signalled that further enhancements are planned to maintain the refund platform’s global competitiveness and to strengthen the UAE’s position as a leader in delivering modern, efficient government services. Continued deployment of kiosks and merchant connections remains central to that strategy.
The expansion of the digital VAT refund system for tourists and the addition of e‑commerce integration underline the UAE’s push to combine convenience with regulatory efficiency, supporting the travel and retail sectors as visitor spending patterns evolve.