Website Last updated:

May 15, 2026

This Decision establishes the specific conditions under which the Federal Tax Authority (FTA) may decline to refund residual amounts related to a refund request while a Person is undergoing a Tax Audit. The conditions include evidence of potential significant tax liabilities, suspicion of tax evasion or involvement in a supply chain linked to evasion, outstanding tax returns, failure to provide requested information, or lack of cooperation during the audit. This decision aims to safeguard revenue during audits and applies to requests under Excise Tax, VAT, and Corporate Tax frameworks.

This is not an official Translation:

The Conditions for Declining the Refund of the Residual Amounts related to a Refund Request where the Person is subject to Tax Audit

Federal Tax Authority Decision No. 9 of 2025

Issued 4 Dec 2025 - (Effective from 1 Jan 2026)

The Chairman of the Board of Directors of the Federal Tax Authority has decided

Having reviewed the Constitution,
Federal Decree-Law No. 13 of 2016 on the Establishment of the Federal Tax Authority, and its amendments,
Federal Decree-Law No. 7 of 2017 on Excise Tax, and its amendments,
Federal Decree-Law No. 8 of 2017 on Value Added Tax, and its amendments,
Federal Decree-Law No. 28 of 2022 on Tax Procedures, and its amendments,
Federal Decree-Law No. 47 of 2022 on the Taxation of Corporations and Businesses, and its amendments,
Cabinet Decision No. 74 of 2023 on the Executive Regulation of the Federal Decree-Law No. 28 of 2022 on Tax Procedures,
Decision of the Chairman of the Board of Directors No. 9 of 2021 on the Delegation to the Vice Chairman of the Board of Directors of the Federal Tax Authority, and
Pursuant to the approval of the Board of Directors on the Authority's Memorandum on the Conditions to decline the refund of the residual amounts where the Person is subject to a Tax Audit at its 41^st meeting held on 30 October 2025.

Article 1 - Conditions for declining the refund of the residual amounts related to a refund request where the Person is subject to Tax Audit

The Authority may decline to refund any residual amounts related to a refund request where the Person is subject to Tax Audit, provided any of the following conditions are met: