Complete UAE Excise Tax List
Federal Tax Authority (FTA) has issued a complete list of excise tax in UAE along with the standard excise tax rate on all the excise goods. The goods that will be charged under excise tax in UAE will be:
Carbonated Drinks
This includes any aerated beverage and any concentrations, powder, gel, or extracts intended to be made into an aerated beverage. Carbonated drinks are subject to 50% excise tax in UAE. Unflavored aerated water is exempted.
Tobacco and Tobacco products
Federal Tax Authority (FTA) has levied 100% excise tax on all kinds of tobacco products. These products include:
- Cigarettes
- Cigarette rag
- Chewing tobacco
- Cigars
- Cigarillo
- Hand rolling tobacco
- Expanded tobacco
- Herbal smoking products
- Reconstituted tobacco sheets
- Snuff
Energy drinks
Any beverages which are marketed, or sold as an energy drink, and contains stimulant substances that provide mental and physical stimulation or includes caffeine, taurine, ginseng and guarana, will fall in this category.
Substances that have similar effects as the ones mentioned above and any concentrations, powder, gel or extracts intended to be made into an energy enhancing drink will also be levied with 100% excise tax.
Electronic smoking devices and tools
Electronic smoking devices and tools shall include all electronic smoking devices and tools and the like, whether or not containing nicotine or tobacco.
All liquid used in electronic smoking devices and tools used in such devices even if they contain nicotine or not will be levied 100% excise tax.
Sweetened Drinks
If a sugar or sweetener is added in the product, it will be considered as ‘sweetened drinks’ and will be levied 50% excise tax.
Source of sugar includes white sugar, soft white sugar, powdered sugar, soft brown sugar and glucose syrup. Whereas sweeteners include saccharin and its salts, aspartame, sorbitol, and neotame.
- A ready to drink beverage or
- Concentrates, powders, gel, extracts or any other similar product that can be made into a sweetened drink
Sweetened drinks that are excluded from Excise Tax
- Ready to drink beverages that contain at least 75% milk or its substitutes
- Baby formula, follow up formula or baby food
- Handling of Foods for Special Medical Purposes
- consumed for special dietary needs
- Beverages which include alcohol
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Thanks for the great information.
Thank you for sharing UAE excise taxs information.
You’re welcome!
Dears,
we are producing a natural mineral water and we are only using 100% real fruit extracts without chemical processing. It is a zero calorie product high in minerals and 100% natural. As we have light carbonation in the product we fall under excise tax. It is unbelievable that our product is treated the same as a Cola or other high sugar chemically produced drinks. I think making healthy products significantly more expensive for consumers can’t be the target of the excise tax. Would be happy to get opinions on this.
Thanks, Ingo
Thanks for providing this meaninful information. Looking for more great content from your side