KSA - Update on VAT refunds for non-resident businesses

Non-resident businesses who are carrying out economic activities outside of the Kingdom of Saudi Arabia (KSA) may be eligible for a refund on the Value Added Tax (VAT) they have paid in the Kingdom.

Besides the refund for 2019, looking at the increase in the VAT rate from 5% to 15% effective from 1 July 2020, your possible VAT costs will also increase. It is pertinent to note that the VAT refund application could be an opportunity for non-resident persons to save on KSA VAT costs going forward.

The deadline to file the refund application for the calendar year of 2019 is 30 June 2020 which is approaching soon.

Deloitte has a team of VAT specialists based in KSA who can assist you through the process. For more information, please refer to this document.