Gulf News, 5 May 2025: Oman’s Tax Authority has announced an amendment to VAT regulations Oman Decision No. 53/2021, allowing the country’s armed and security forces to claim VAT refunds on specific purchases under Oman Decision No. 81/2025.

This amendment allows the armed forces to claim VAT refunds on purchases related to military operations, including equipment, weapons, ammunition, transport vehicles, spare parts, and accessories.

The decision broadens the scope of VAT refund eligibility, initially established in 2020, to now encompass six categories of entities, including all sectors of the armed and security forces. Under the new rules, these entities are entitled to submit VAT refund applications every three months, provided the claim amount is at least OR15.

Each application must be accompanied by the relevant tax invoice or simplified tax invoice and proof of payment from the applicant’s bank account. The Tax Authority must respond to each request within 30 days of receiving the complete documentation. If no response is given, the request is automatically considered rejected. Approved refunds must be processed and returned to the applicant within 15 days.

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