In Dubai, the products that currently fall under the excise tax are tobacco products, energy drinks, and carbonated soft drinks. This means that these products are subject to a 100% tax on their retail price. However, it is important to note that the list of products subject to the excise tax may change over time, as the government may add or remove products from the list based on its policy and revenue needs.
It’s also worth mentioning that the UAE has a federal law that governs the Excise Tax, so the same products are subject to the excise tax across the UAE.
What is Excise Tax ?
Excise tax in Dubai is a tax imposed on certain goods that are deemed harmful to individuals or society. These goods typically include tobacco products, energy drinks, and carbonated soft drinks. The excise tax rate in Dubai is typically 100% of the retail price of the goods, and it is the responsibility of the manufacturer or importer to register for the excise tax and pay it to the relevant government authorities. The excise tax is intended to reduce consumption of these harmful products and generate revenue for the government. The introduction of the excise tax is a part of United Arab Emirates’ efforts to diversify its economy and reduce its dependence on oil and gas revenue.
How much is the excise Tax in Dubai ?
The excise tax rate in Dubai is typically 100% of the retail price of the goods. It means that the tax is added to the price of the good. For example, if a pack of cigarettes has a retail price of 10 AED, the excise tax would be an additional 10 AED, making the total cost to the consumer 20 AED. This rate applies to tobacco products, energy drinks, and carbonated soft drinks. The tax rate may vary depending on the type of product and the government’s policy at the time. It is important to note that the tax rate may change over time, so it is always best to check with the relevant authorities for the most up-to-date information.
Which all products comes under excise tax in Dubai
In Dubai, the products that currently fall under the excise tax are tobacco products, energy drinks, and carbonated soft drinks. This means that these products are subject to a 100% tax on their retail price. However, it is important to note that the list of products subject to the excise tax may change over time, as the government may add or remove products from the list based on its policy and revenue needs.
It’s also worth mentioning that the UAE has a federal law that governs the Excise Tax, so the same products are subject to the excise tax across the UAE.
How can a Excise Tax Advisors in Dubai can help the Business
An excise tax advisor in Dubai can help a business in several ways:
- Compliance: They can assist the business in understanding the regulations related to the excise tax and ensure that the business is in compliance with all the rules and regulations.
- Registration: They can help the business to register for the excise tax, which is required for any business that manufactures or imports the goods subject to the excise tax.
- Minimizing tax liability: They can help the business to structure their operations in a way that minimizes the amount of excise tax that must be paid.
- Reporting and Payment: They can help the business to properly report and pay the excise tax to the relevant government authorities.
- Planning: They can help the business to plan ahead and make strategic decisions based on the likely impact of the excise tax on their operations.
- Representation: They can represent the business in any communication with the relevant government authorities in case of any enquiry or audit.
Understanding Excise Tax Regulations with the help of Advisors
Excise tax regulations can be complex and difficult to navigate for businesses operating in Dubai. Excise tax advisors in Dubai can help by providing guidance and assistance in understanding the regulations related to the excise tax. They can explain the rules and requirements for businesses that manufacture or import goods subject to the excise tax, such as tobacco products, energy drinks, and carbonated soft drinks. They can also help to ensure that the business is in compliance with all the regulations and avoid any penalties or fines. Additionally, they can help to keep the business informed of any changes or updates to the regulations, so that the business can stay compliant at all times. Overall, excise tax advisors in Dubai can play a vital role in helping a business navigate the complex regulations surrounding the excise tax.
How to register ?
Registering for excise tax in Dubai can be a complicated process for businesses that manufacture or import goods subject to the excise tax, such as tobacco products, energy drinks, and carbonated soft drinks. Excise tax advisors in Dubai can help by providing guidance and assistance with the registration process. They can help to ensure that the business has all the necessary documentation and information required for registration, such as the business’s commercial license and VAT registration.
The excise tax advisors can assist the business in filling the excise tax registration form and submitting it to the relevant government authorities. They can also help to answer any questions or concerns that may arise during the registration process. Once the registration is complete, the advisor can also help the business to understand their tax obligations and compliance requirements.
It’s worth mentioning that Excise Tax registration is mandatory for businesses that wants to import, produce or store excise goods in UAE, and it should be done before the business starts its operations with the excise goods.
Summary
Overall, an excise tax advisor can help a business navigate the complex regulations surrounding the excise tax and minimize the financial impact of the tax on their operations.
Excise tax can be complex, but with the help of experienced excise tax advisors in Dubai, your business can stay compliant and minimize tax liability. Find top excise tax advisors in Dubai who can assist with registration, reporting, and payment, and provide strategic planning to mitigate the impact of excise tax on your operations
