Before engaging in any transactions involving excise items, a firm must complete excise tax registration in the UAE. BestaxCA is one of the top providers of bookkeeping and accounting services in the UAE, offering simplified excise tax registration solutions that ensure businesses stay compliant with the Federal Tax Authority (FTA).
Excise Tax in UAE
Anyone who engages in the following activities is liable for Excise Tax in the UAE:
The import of excise products into the UAE
The production of excise goods within the UAE before they are made available for consumption
The occasional storage of excise goods in the United Arab Emirates
The release of excise goods from a designated zone
For professional assistance with tax evaluation and compliance, businesses can rely on experienced tax agents in Dubai who are authorized to communicate directly with the FTA on their behalf.
Rates of Excise Tax
According to Cabinet Decision No. 52 of 2019 on Excise Goods, the excise tax rates are as follows:
50% on fizzy beverages
100% on tobacco goods
100% on energy drinks
100% on electronic smoking devices
100% on the liquids utilized in such devices
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 and compliance support, explore our corporate tax services in UAE to understand the broader implications of excise and corporate taxation for your business.
How to Do Excise Tax Registration
Make an account on e-Services.
Create a username and password to log in.
Check your email address within a day.
Open your e-Services account and log in.
Select Excise Tax Registration.
Fill up all required fields.
Click Submit for Approval once the form is completed.
Payment of Late Registration Penalty
Select the Dashboard tab and check the amount under the Excise Tax box (if applicable) under “Late Registration Penalty.”
Click Pay to continue with the payment.
After verifying all the information, select Submit for Approval.
If your business has missed the registration deadline, it’s important to seek help from a tax consultant in Dubai who can guide you through penalty waivers and ensure compliance with FTA requirements.
Documents Needed for Excise Tax Registration
To verify your information during registration, you will need to present multiple documents. The necessary supporting documentation includes:
Passport copy
Emirates ID
Trade license
Company bank information (account number, IBAN, bank name, account title)
Any other formal records permitting the firm to operate within the UAE
Maintaining these records accurately can be simplified with our accounting software services, ensuring all data is stored and accessible when submitting your registration.
Business Information Needed for Excise Tax Registration in the UAE
The category (producer, importer, etc.) for which you are registering to pay excise taxes
Specific details of the excise products your company sells
TRN for any GCC state where you are already registered to pay excise taxes
If your company operates across multiple jurisdictions or requires document attestation, our CFO services in UAE can help manage compliance, reporting, and cross-border tax documentation.
BestaxCA for Excise Tax Registration Services
To determine if your business must register for excise taxes, BestaxCA’s experienced team will analyze the nature of your operations and make the appropriate recommendation. With deep expertise across industries, our tax consultants in the UAE provide complete assistance with excise tax registration and compliance procedures.
BestaxCA’s professionals ensure all documents are correctly filed, penalties are avoided, and all requirements are met according to FTA guidelines. Businesses can also benefit from auditing services in Dubai, ensuring transparency and accuracy before registration.
Conclusion
Excise taxes are charged on specific commodities to encourage healthier lifestyles and diversify income streams. By ensuring that companies engaged in the manufacture, import, or sale of excisable goods follow the law, the excise tax registration process promotes an open and transparent tax environment. For comprehensive compliance support, explore our corporate tax return services in UAE.
FAQs
1. 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.
2. In the UAE, how do I register for Excise Tax?
Through the Federal Tax Authority (FTA) web portal, registration is possible. Businesses must register, upload the required documents, and create an account.
3. What essential documentation is required to register for excise taxes?
Trade licenses, customs registration information, and other business-related documents are commonly required. Requirements may vary depending on the business structure.
4. Does the UAE have a registration threshold for excise taxes?
Yes, companies must register for excise tax if their annual revenue is AED 375,000 or higher.
5. Does the UAE have any excise tax exemptions?
Essential goods, including certain medications and staple foods, may be exempt from excise taxes. For an updated list, consult the FTA guidelines or your registered tax agent in Dubai.
