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UAE announces fee refund for tax service charges from August 1

Under 'private clarification', companies could submit a request to seek further clarification related to one, or more than one tax issued by the FTA

Published: Wed 31 Jul 2024, 12:43 PM

Updated: Sat 3 Aug 2024, 5:46 PM

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File Photo. Image used for illustrative purpose

File Photo. Image used for illustrative purpose

Fees paid for "private clarification" of tax will be refunded in certain cases if the clarification is not issued, effective August 1, the Federal Tax Authority (FTA) announced.

Under "private clarification", companies could submit a request to seek further clarification related to one tax, or more than one tax issued by the FTA. The companies had to pay for this service starting June 1, 2023.

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If the request was related to one or more than one tax, and the clarification was not issued, the full fee shall be refunded. If the request is relating to more than one tax, and the clarification was issued for only one tax, a part of the fee shall be refunded.

The amount to be refunded will be decided by calculating the difference between the fee for more than one tax, and the fee for one tax.

Cases of fee refund

According to Federal Tax Authority Decision No. 5 of 2024, issued on July 19, the cases where the clarification is not issued and the fee will be refunded will include:

  • Where the private clarification request is withdrawn by the applicant within two business days from the date of submitting the request
  • Where the private clarification is submitted by a person who is not registered for Corporate Tax and the subject of the clarification is not related to an inquiry about tax registration
  • Where the applicant is subject to tax audit by the Authority at the time of submitting the request
  • Where the private clarification request is related to the procedures that should be applied as a result of a decision issued by the Authority.
  • Where the private clarification request is a duplication to another private clarification request, submitted by the same applicant with the same subject and documents, that the Authority is working on.
  • Where the private clarification request is related to a subject which the Authority is coordinating with the Ministry of Finance on to amend the tax legislation regulating it.


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