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New Excise Tax in UAE Starting December

27/10/2019

The UAE Ministry of Finance announced its decisions to expand the list of items which are harmful for consumption by imposing excise tax starting December 1, 2019.

The UAE Ministry of Finance announced its decisions to expand the list of items which are harmful for consumption by imposing excise tax starting December 1, 2019. In addition to taxes on tobacco products, energy drinks and soft drinks, excise tax has been imposed on e-cigarettes and beverages with added sugar.

This includes Cabinet Decision No. 52 of 2019 on excise goods, excise tax rates, the methods to calculate excise prices, amendment of Cabinet Resolution No. 38 of 2017 on excise goods, excise tax rates, the formula to calculate excise prices as well as Cabinet Decision No. 55 of 2019 on excise price of tobacco products.

These decisions are based on the UAE’s efforts to reduce harmful consumer practices by studying the negative effects of harmful consumption patterns; to fulfil the government’s goals of well-being for all members of society; and to achieve the third Sustainable Development Goals to ensure healthy lives for all at all ages.

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