VAT Refund Started In Saudi Arabia For Tourists
The value-added tax (VAT) refund program for tourists and GCC nationals has been formally launched by Saudi Arabia, enabling qualified visitors to claim 15% VAT on qualifying purchases and here am i to share all details about VAT Refund Started In Saudi Arabia For Tourists
As part of initiatives to increase tourism and establish Saudi Arabia as a premier international shopping destination, the system is currently in use at more than 1,440 authorized retail locations throughout the Kingdom.
Who is eligible for a VAT refund?
The VAT refund applies to non-resident tourists aged 18 and above, as long as their total spending at a store exceeds SAR 500. Items must be exported within ninety days of purchase, be unused, and be used for personal purposes.
Which Items Are Not Coverd In This Program?
The scheme does not cover services like hotel stays or meals, or products such as vehicles, boats, tobacco, fuel, or food and beverages.
How Does It Workes?
Tourists can combine up to three receipts from the same store, on the same day, to meet the minimum amount. Customers can request a tax-exemption form at the point of purchase by presenting a passport or GCC ID.
To complete the process, travelers must verify their forms at one of 18 dedicated kiosks across three international airports:
10 points at King Khalid International Airport (Riyadh)
4 points at King Abdulaziz International Airport (Jeddah)
King Fahd International Airport (Dammam) has four points.
Refunds are issued either in cash (up to SAR 5,000 per day) or to a payment card. Note: cash refunds are not available at Jeddah’s North Terminal.
Why this is important
The new refund scheme is expected to stimulate tourism-linked spending, lengthen tourist stays, and reinforce Saudi Arabia’s appeal as a shopping hub in the region.
