Saudi Arabia is fast emerging as one of the most attractive travel destinations in the Middle East, welcoming millions of visitors each year for tourism, shopping, and religious travel. To make the experience even more rewarding, the Kingdom has introduced a 15% Value Added Tax (VAT) refund programme for tourists.
This initiative, launched by the Zakat, Tax and Customs Authority (ZATCA) and managed by Global Blue, allows eligible travelers to reclaim VAT on certain purchases made during their stay. The scheme came into effect on April 18 and is now operational at three major airports.
In this guide, we explain everything you need to know about the VAT refund process in Saudi Arabia, from eligibility criteria to step-by-step instructions.
Where Can You Claim VAT Refund in Saudi Arabia?
Currently, the VAT refund service is available at three international airports:
- King Khalid International Airport (Riyadh)
- King Abdulaziz International Airport (Jeddah)
- King Fahd International Airport (Dammam)
These airports are equipped with Global Blue kiosks that facilitate VAT refunds quickly and conveniently.
Who Is Eligible for a VAT Refund?
Not every traveler can claim VAT refunds. To qualify, you must meet the following conditions:
- You must be a tourist and not a Saudi citizen.
- You should not hold permanent residency in Saudi Arabia.
- You must be 18 years or older at the time of purchase.
- Airline, ship, or transport crew members are not eligible.
- You must not appear on any prohibited list maintained by ZATCA.
These requirements ensure that only genuine tourists can take advantage of the refund system.
What Purchases Qualify for a Refund?
To benefit from this scheme, purchases must be made from Global Blue-certified stores. These outlets display visible signage confirming their participation.
Eligible items:
- Goods purchased for personal use.
- Items that remain unused in Saudi Arabia.
- Products carried in personal luggage when departing the country.
Ineligible items:
- Food and beverages (including restaurants).
- Hotel stays and hospitality services.
- Tobacco products and alternatives.
- Oil, gas, and related derivatives.
- Vehicles, boats, and aircraft.
This distinction makes it clear that only physical goods for export are eligible for tax-free shopping.
Minimum Purchase Requirement
Tourists can claim a refund only if their total purchase value exceeds SAR 500 (around AED 489).
- If you buy from the same store multiple times in one day, you can combine up to three invoices to reach this minimum threshold.
- Ensure that you request a Tourist Tax Refund Invoice at the time of purchase.
Step-by-Step Process to Claim VAT Refund
The VAT refund system is simple if you follow the required steps carefully:
1. Shop at Certified Stores
Look for the Global Blue sign at participating outlets. Before making payment, present your passport or GCC national ID so that your details can be linked to the purchase. The store will issue a Tourist Tax Refund Invoice.
Alternatively, you can download the Global Blue app and scan your digital QR code at checkout. This automatically links your purchase to your travel documents.
2. Customs Verification at the Airport
When leaving Saudi Arabia, proceed to the Global Blue self-verification kiosk located in the airport departure area.
- Submit your tax refund request using the issued invoice.
- Validate your purchase within 90 days of the transaction date.
- Keep your goods in your hand luggage since customs officials may inspect them.
For high-value items such as luxury watches or jewelry, you may be required to obtain manual customs approval.
3. Choose Refund Method – Cash or Card
After verification, you can select how you wish to receive your refund:
- Cash refund: Up to SAR 5,000 per person per day.
- Credit or digital card refund: For larger amounts, refunds are processed directly to your card within three business days.
This flexibility ensures that tourists can conveniently claim their money back before or shortly after departure.
Important Tips for a Smooth Refund Process
- Do not pack goods in checked luggage. Always keep them in carry-on bags for possible inspection.
- Carry all invoices and documents including the refund form, passport, and boarding pass.
- Plan ahead to allow sufficient time at the airport for verification and refund processing.
- Track refunds via the Global Blue app if you choose a credit card refund.
Why This Initiative Matters for Tourists
The VAT refund programme not only benefits travelers but also supports Saudi Arabia’s tourism vision. Here’s how:
- Increases affordability: Tourists enjoy shopping at lower effective prices.
- Boosts retail growth: Local businesses benefit from higher spending by international visitors.
- Enhances Saudi’s image: The refund aligns with global tax-free shopping practices, placing Saudi Arabia alongside destinations like the UAE and Europe.
Saudi Arabia’s introduction of the 15% VAT refund system is a major step in boosting its attractiveness as a global shopping and tourism hub. Whether you are visiting for leisure, pilgrimage, or business, you can now enjoy the added benefit of recovering part of your spending.
By shopping at certified stores, keeping your invoices safe, and validating them at the airport, the process is straightforward. As Saudi Arabia continues to open its doors wider to international visitors, initiatives like this ensure a smoother and more rewarding travel experience. And if you are planning your trip, make sure you also check the latest Saudi Arabia visa requirements to ensure a hassle-free entry before enjoying shopping and travel benefits.
If you are planning a trip, explore Akbar Travels for the best flight bookings, hotel stays, and holiday packages to Saudi Arabia. With our expertise, your journey will be seamless from start to finish.
