Excise Tax Consultation

Excise Tax Consultation

Introduced in 2017 under Federal Decree Law No. 7, the excise tax in the United Arab Emirates (UAE) targets businesses engaged in the stockpiling, manufacturing, and importing of excise goods. This indirect tax is applied to products deemed harmful to human health or the environment, with varying rates depending on the specific type of excise good.

What Qualifies as Taxable Excise Goods?

To identify whether a product falls under the category of excise goods, consider the following examples:

• Tobacco and Tobacco Products: This includes all tobacco products and tobacco itself.
• Energy Drinks: Defined as any beverage marketed as providing physical and mental stimulation through ingredients like guarana, ginseng, taurine, caffeine, or similar compounds. This category also covers any form of energy drink preparations, such as powders and gels.
• Carbonated Drinks: All aerated beverages, except for unflavored aerated water, fall under this category. This also includes any preparations intended to be converted into carbonated drinks.
• Other Products: Sweetened beverages, electronic smoking devices, and the liquids used in these devices are also classified as excise goods.

For detailed guidance and expert assistance with excise tax matters, including compliance and registration, contact our professional team. We offer comprehensive consultation to ensure your business meets all regulatory requirements efficiently.