Excise Tax Registration in UAE
Excise duties are levied on certain goods and services to control harmful activities in a country. Entities are required to register on the FTA’s online portal. It is important to comply with all legal requirements to produce excisable goods in the United Arab Emirates. Excise duty registration in the UAE is the first step towards excise duty compliance. However, it is a critical procedure as a small error in the application can result in heavy penalties from the regulatory authorities. BestaxCA’s tax experts can assist you throughout the procedure in accordance with the relevant provisions of the law.
Excise duty registration
Excise duty is a tax on specific goods, levied at the time of production or importation of the goods. Excise tax duty registration has been launched in the UAE on 17 September 2017. According to Article 1(1) of Federal Decree-Law No. (7), a taxable company or its legal representative is required to register for UAE excise tax. In the United Arab Emirates, any company importing, manufacturing, or stockpiling excisable goods or releasing them from a designated area is required to register for excise tax duty.
Entities subject to UAE excise tax duty registration
- Excise duty is payable by persons carrying out the following activities:
- Importation of excisable goods into the territory of the UAE
- Manufacturing excise goods for consumption in the UAE
- Certain stockpiling of excise goods in the UAE.
- The export of excise goods from a designated area
List of excise goods
- Electronic smoking devices (e-cigarettes)
- Sweetened beverages
- Carbonated and energy drinks
- Petroleum products
- Alcohol and beer
- E-liquid used in electronic smoking products
Registration of excisable goods in the UAE
The Federal Tax Authority has introduced an electronic excise goods registration system in the UAE. Online form together with supporting documents submitted on the FTA official portal. You can also look into other official records. The following are the reporting requirements for the registration of excise goods:
- Description of excise goods
- The ingredients used in the manufacture of the product
- Attach marketing information such as images, brochures, and videos.
- In some cases, laboratory tests of products
- Product pricing is based on retailer information in the UAE or in the country
Our excise tax experts in Dubai are competent to follow this latest excise registration UAE under the excise laws. We prepare and ensure that all required information is accurate and up-to-date.
Who is exempt from excise tax duty registration?
According to the provisions of Article 12(1) of the Executive Decree of the Excise Tax Law, the following companies are exempt from excise tax in the United Arab Emirates.
How you can be exempted from excise registration UAE?
- Where an individual imports excisable goods with a value less than that prescribed by the customs legislation, provided that the excisable goods are accompanied by the importer and are used for non-commercial purposes.
- A stock hoarder provided that the conditions laid down in the implementing provisions of this Decree-Law are met.
Is there a threshold for registration of excise goods?
There is no threshold for the registration of excise goods. An excise taxpayer can apply for excise tax registration in the UAE and carry out the following activities such as exporting, importing, trading, manufacturing, and storing excisable goods.
Documents required for excise duty registration
To register for excise tax in UAE, the following information and supporting documents must be submitted to the Federal Tax Authority:
- Copy of the passport of the driver, owner, and senior executives and copy of the Emirati identity card.
- Trade license (if applicable)
- Company registration certificate (if applicable)
- Bank account details (IBAN, bank name, account number).
- Authorized signatory documents
- Articles of association/partnership agreement/club or association registration/law or decree (if applicable)
Additional information on the company may be required to register for excise tax:
- Excise duty payer details according to a role (manufacturer, importer, etc.)
- Customs registration details (if applicable)
- Information on the excise goods in which the undertaking is engaged
- Please provide your TRN if you are registered in another GCC country for excise purposes.
- Customs number issued (if applicable)
Date of tax registration
Since October 2017, all taxable companies are obliged to register with the FTA within the deadline. Companies must apply for excise tax registration in the UAE within 30 days of the company’s incorporation or the date the law comes into force, whichever is earlier. Anyone failing to register in time will be liable to a late registration penalty of AED 20 000. Our professional excise duty advisory services will protect you from late or unsuccessful registration.
How do I apply for excise duty registration in the UAE?
Businesses can apply for an excise tax registration form in the UAE through the e-services section of the FTA website.
- Create or register your account using a registered username/password.
- Open the excise duty registration form and fill in all the pre-populated fields.
- Attach the verified documents mentioned above to the form.
- Check all details before submission and click on the ‘Submit for approval button.
- The authorities will send you an email if they need further questions or information.
- The tax authority will notify you of the status of your application (approval, rejection, or delay).
BestaxCA excise duty registration services
Bestax Chartered Accountants and Tax Consultants are part of a reputable accounting firm in Dubai. Our dedicated team assists individuals and businesses with excise tax compliance services in Sharjah, Abu Dhabi, Dubai, and all other Emirates. We first analyze the nature of your business, the products you offer, and whether they require excise duty registration. Our tax experts then prepare and verify all the mandatory information and documents in accordance with FTA standards. They ensure that your process is straightforward and give you the best advice to avoid fines and penalties. BestaxCA has extensive experience in various fields, so you will be proud when you use our excise tax registration services in UAE. We always provide cost-effective solutions for each of our clients and 100% satisfaction. Contact us now for tax advice!