Saudi Arabian VAT Refund
Annual Deadline: June 30 – Don’t Miss Out!
Did your business incur expenses in Saudi Arabia last year? If you’re a foreign company, you may be eligible to reclaim the VAT — and with the annual deadline of June 30, 2025 fast approaching for 2024 expenses, now is the time to act.
What’s the Opportunity?
Since Saudi Arabia introduced VAT in 2018 (with a sharp increase to 15% in 2020), many businesses visiting the country have unknowingly overlooked potential savings. From hotel stays and transportation to event participation and professional services, these local costs often include VAT — and if your company is based outside the Gulf Cooperation Council (GCC), you might be entitled to a full refund as foreign business.
This isn’t just about recovering costs. It’s a real opportunity to improve your company’s cash flow — with refunds that can represent significant amounts for active international businesses.
Who Can Claim a Saudi VAT Refund?
If your business is registered outside the GCC and doesn’t sell or supply goods or services there, you could qualify. Here’s a simplified checklist:
- Your company is established outside the GCC (e.g. in the EU, UK, US, etc.)
- Your home country offers reciprocal VAT refunds to Saudi companies
- You incurred VAT on business-related expenses in Saudi Arabia
- You’re VAT registered in your home country
- You haven’t conducted taxable activities in Saudi Arabia
What Kind of Expenses Are Eligible?
Eligible expenses often include:
- Hotel accommodation
- Conferences or exhibitions
- Local transportation
- Professional services
- Equipment or material purchases
However, VAT on leisure activities, private use, catering, or vehicle rental is not refundable. The refund is limited to business-related expenses supporting your activities outside Saudi Arabia.
How to Apply for a Saudi VAT Refund?
The digital VAT refund process includes two main steps:
- Registration on the ZATCA Portal
First, you’ll need to register your company as a foreign VAT refund claimant via Saudi Arabia’s tax authority (ZATCA) online portal. You’ll be asked to provide documents like a VAT certificate, business registration, and proof of your legal representative’s identity. - Submission of the Refund Claim
Once registered, you can file your annual VAT refund claim. You’ll need to upload compliant invoices and proof of payment. ZATCA may request additional documents, which must be provided within 20 days.
Specific rules and requirements must be respected upon the Saudi VAT refund claim submission, such as claim period, filing periodicity, VAT thresholds, etc.
Don’t Wait – Get Your Money Back
Many businesses miss out on VAT refunds simply because they’re unaware of the possibility – or find the process too complex to handle internally. But the potential gains are significant, especially for companies regularly operating or attending events in Saudi Arabia.
At BtoBnice, we simplify the process and help you get your VAT refund — fast.
Want to check your eligibility or get started right away?
Contact our VAT expert at contact@btobnice.com
