Excise Tax in the UAE is a form of indirect tax levied on particular products that are considered to inflict damage on human health or the environment. Under the Federal Tax Authority (FTA), the purpose of this tax is not only to generate revenues but also to promote healthy consumer choices and environmental protection.
At Tax Consultants Dubai, we help businesses understand their excise tax compliance, FTA registration, and complete compliance so you can focus on the workings of your business without any fear of penalties or legal issues.
Excise Tax Products in the UAE
Excise tax goods in the UAE are a list of certain products that fall under the regime of FTA. According excise tax law, excise tax is levied on:
| Category | Tax Rate | Examples |
|---|---|---|
| Tobacco and tobacco products | 100% | Cigarettes, cigars, tobacco alternatives |
| Energy drinks | 100% | Products with caffeine, taurine, or similar substances |
| Carbonated drinks | 50% | Soft drinks, soda water |
| Sweetened beverages | 50% | Drinks with added sugar or artificial sweeteners |
| Electronic smoking devices and tools | 100% | Vape pens, e-cigarettes, refills |
Who Should Register for Excise Tax in the UAE?
Any business dealing with the following activities is obligated to register for excise tax in the UAE with the Federal Tax Authority:
- Importing excise goods into the UAE
- Manufacturing excise goods for sale within the UAE
- Hoarding excise goods on which tax has not been paid
- De-piling excise goods from excise zones
Late filing or non-registration of excise returns incurring heavy penalties under FTA regulations.
Excise Tax Compliance Requirements
Businesses are required to meet several essential obligations under UAE excise tax legislation:
- Registration of excise tax with the Federal Tax Authority
- Payment of excise tax returns quarterly
- Payment of the excise tax within the FTA-prescribed timeframe
- Proper recording of the imported and local excise products
- Compliance with excise product labeling and packaging rules
Proper record-keeping is not only a regulatory requirement, but it also helps in avoiding FTA fines and inspections.
Seek Our Excise Tax Services
Our excise tax services include:
- Excise tax registration and renewal
- Preparation and submission of excise tax returns
- Assessment of excise tax liability
- Audit support and compliance checks
- Advisory on excise tax planning and documentation
Why Tax Consultants in Dubai?
Here’s why businesses across the UAE trust us:
FTA-Approved Consultants – Our excise tax professionals are trained and experienced in filing and registration.
End-to-End Excise Management – We manage your excise needs end to end.
Error-Free Filing – We enable you to file timely and error-free, so you won’t have to pay FTA penalties.
Custom Business Guidance – Every client receives customized guidance for their individual products and operations.
Seek the Expert Services of Top Tax Consultants in the UAE
If your business deals with taxable goods, rely on our team of experts to manage your UAE excise tax registration, filing, and compliance. Contact our Tax Consultants in Dubai today for a complimentary consultation and ensure your excise duties are accurately and fully processed.
Frequently Ask Questions (FAQ)
What is Excise Tax in the UAE?
Excise tax is an indirect tax imposed on specific products that harm the environment or health, such as tobacco products, energy drinks, and fizzy drinks.
Who needs to register for excise tax in the UAE?
Any business that imports, produces, or stores excise commodities in the UAE must be registered with the Federal Tax Authority (FTA).
