EXCISE TAX REGISTRATION IN DUBAI,UAE

Before engaging in any transactions involving excise items, a firm must do excise tax registration in the UAE. BestaxCA is one of the top providers of bookkeeping and accounting services in the UAE, which also provides simplified excise tax registration services. 

Excise tax in UAE 

Anyone who engages in the following is liable for Excise Tax in UAE!

• The UAE’s import of excise products is subject to excise Tax.
• The process of producing excise goods within the UAE before they are made available for consumption.
• The occasional storing of excise goods in the United Arab Emirates.
• The release of excise goods from a particular region.

Rates of excise tax

The excise tax rate is as follows, under Cabinet Decision No. 52 of 2019 on Excise Goods:

• 50% on fizzy beverages
• 100% on tobacco goods
• 100% on energy drinks
• 100% on electronic smoking devices
• 100% on the liquids utilized in such tools and tools
• 50% on any product that has sweeteners or sugar added to it

Revised tax rates and excise list 

• 50% on beverages with added sugar 
• 100% on electronic equipment and devices for smoking 
• 100% on Liquids for Electronic Cigarette Devices

For more insights, consider exploring Excise tax registration in UAE, which can offer proactive tax planning and guidance to stay compliant and mitigate potential risks .

How to do excise tax registration?

Make an account on e-Services.

1. Create a username and password to log in.
2. Check your email address within a day.
3. Open your e-Services account and log in.

Registering in the Excise Tax

1. Select Excise Tax Registration.
2. Fill up all required fields 
3. To submit the form, click Submit for Approval once.

Payment of Late Registration Penalty

1. Select the Dashboard tab and look up the amount shown under the Excise Tax box (if applicable) under “Late Registration Penalty.”
2. To continue with the payment, click the “Pay” button.

After you confirm that all the information is accurate, select “Submit for Approval.”

Documents needed to register for excise taxes

To verify your information during registration, you will need to present multiple documents. The necessary supporting documentation is:

• Passport copy 
• Emirates ID 
• Trade license 
• Company bank information (Account number, IBAN, Bank name, Account title) 
• Any other formal records that permit the firm to administrate activities within the UAE.

The Business information is needed for excise tax registration in the UAE

• The category (producer, importer, etc.) for which you are registering to pay excise taxes.
• Specifics of the excise products that the company sells.
• Provide the TRN for any GCC state where you are enrolled to pay excise taxes.

BestaxCA for Excise Tax Registration services

To determine if you need to register for taxes, BestaxCA will examine the nature of your business and make the appropriate conclusion. With extensive expertise in a range of industries, BestaxCA’s team of skilled tax consultants in the UAE can help you with excise taxes and other tax accounting services. The BestaxCA tax experts will assist you in completing all the necessary steps to ensure that you comply with the law. They will relieve you of the risk and assist you in providing every document needed to be filed for the excise tax registration procedure.

Conclusion

“Excise taxes are charged on certain commodities to encourage healthy lives and diversify income streams. By ensuring that companies engaged in the manufacture, import, or sale of excisable items follow the law, the excise tax registration procedure helps to create an open and transparent tax system.”

FAQs

In the UAE, who must register for excise tax?

Companies that produce, import, or hold an inventory of commodities subject to excise taxes must register.

In the UAE, how do I register for Excise Tax?

Through the Federal Tax Authority (FTA) web page, registration is possible. Businesses must register, upload the required documents, and create an account.

What essential documentation is required to register for excise taxes?

Trade licenses, information from customs registration, and other business-related documents are common examples of documents. The particular needs could change depending on how the firm is organized.

Does the UAE have a registration threshold for excise taxes?

Yes, companies must register for excise tax if their yearly revenue is AED 375,000 or higher.

Does the UAE have any excise tax exemptions?

Essential goods, including essential medications and staple foods, could not be subject to excise taxes. Businesses looking for a detailed list of exemptions can consult the FTA guidelines.

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