The General Secretariat of the Zakat, Tax and Customs Committees has begun accepting claims from individuals for refunds of VAT paid on real estate supplies made between 1 January 2018 and 4 October 2020.
Saudi Arabia’s General Secretariat of the Zakat, Tax and Customs Committees has begun accepting claims for VAT refunds on real estate supplies made by individuals, it announced on 13 October 2026.
The claims cover supplies made from 14/04/1439 AH, corresponding to 1 January 2018, until the Real Estate Transaction Tax provisions entered into force on 17/02/1442 AH, corresponding to 4 October 2020.
The announcement follows Royal Order No. 54152 dated 5/7/1447 AH and the mechanisms and procedures issued under a resolution of the Board of Directors of the Zakat, Tax and Customs Authority dated 3/3/1448 AH. The mechanisms and procedures were published in the Official Gazette on Tuesday, 2 Jumada Al-Awwal 1448 AH, corresponding to 13 October 2026.
Who can claim
The mechanisms and procedures specify circumstances in which VAT is not due on real estate supplies involving sales and transfers of ownership. In such cases, individuals who paid VAT and any associated penalties to the Authority are entitled to file a refund claim with the General Secretariat, subject to the stated requirements.
To be eligible, the real estate supply must have been made by an individual, meaning a natural person, who paid the VAT on the supply to the Zakat, Tax and Customs Authority. It must also be established that the individual did not engage in real estate activities involving the continuous and regular sale of properties for income-generating purposes.
Eligibility does not extend to individuals who carried out more than one real estate supply within any consecutive 12-month period where the combined value of those supplies exceeded the mandatory registration threshold under the Unified Agreement for Value Added Tax of the Gulf Cooperation Council States.
A further condition is that the individual who made the supply must not have deducted input tax associated with the property.
How to file
Eligible individuals may claim a refund of the VAT paid on the real estate supply, together with any associated penalties, provided that all applicable requirements are met. Claims can be submitted through the digital litigation portal, “Hayad”, available on the General Secretariat’s website, within 30 days of the publication of the mechanisms and procedures in the Official Gazette.
The General Secretariat has invited interested individuals to visit its website and review the mechanisms and procedures for VAT refunds and the relevant guidance manual to understand the eligibility requirements and the filing process.
