Excise tax registration in the UAE is required for any business that imports, produces, or stores excise goods for sale or releases them from a designated zone. This is imperative for compliance with the UAE excise tax laws, and Risians Accounting & Tax Consultancy is there to offer the best professional excise tax registration services in a timely manner to help the entrepreneur remain legally compliant.
Excise tax registration is when an entity or individual carrying out certain activities or selling certain goods registers with the FTA. These registered entities are required to remit excise tax on goods that are considered harmful to the health of the public or environment, examples being tobacco, soft drinks, and energy drinks.
After registration, businesses are required to regularly file their excise tax returns and remit the relevant excise tax on the excise goods. Nonadherence to these requirements could attract penalties or invite fines from the FTA. Our excise tax consultants in the UAE provide assistance to businesses with registration, auditing, and filing of excise tax returns efficiently, ensuring 100% compliance through professional excise tax advisory services.
Businesses or individuals in the UAE have to register for excise tax if they are:
While guidance is given by the Federal Tax Authority (FTA), the responsibility to comply is strictly on the business. Non-compliance may lead to audit, fines, or penalties.
Risians Accounting & Tax Consultancy helps businesses assess their registration obligations and assists in the smooth and efficient completion of the whole process.
Any person or business importing excise goods less frequently than once in six months or not more than four times in twenty-four months might be exempted from registration requirements. Thus, registration for excise tax would be made unnecessary if the importation occurs only once in six months or even less than an ‘or.’
However, if a person or business finds himself or herself within the ambit of this exemption, excise taxes can still be levied against such persons or entities with regard to imported goods exceeding the specified threshold for his or her tax-free importation-exemption value. A threshold value is the maximum import value threshold at which customs duties and other taxes will not be imposed on imported goods. If an excise good exceeds the threshold, such persons or entities would be liable to excise taxes.
Before starting the registration for excise tax in the UAE, businesses should gather important documents to ensure smooth processing of excise tax. Following are the important documents required for registering for excise tax:
In addition to the above, purposes such as the type of excise goods handled and prior registration in other GCC states will be required as part of the registration. Risians Accounting & Tax Consultancy will assist you in collecting, organizing, and generating all required documents as quickly as possible while ensuring full compliance with FTA regulations.
The UAE imposes excise tax on all goods perceived to be harmful to the public health or the environment. The excise tax rates currently in effect are as follows:
Since December 2019, excise tax has became applicable to electronic smoking devices, liquids used in such devices, sweetened drinks, etc.
At Risians, we guide companies through an understanding of the excise tax rates so they may calculate their obligations accurately and report in accordance with the Federal Tax Authority (FTA) rules.
Excise tax tends to raise the prices of certain goods because businesses transfer part of the tax to consumers. Most impacts depend on supply and demand for the product itself; cost is usually borne by both producers and consumers.
Correct knowledge of excise tax equips the businesses to manage pricing and compliance in a better way and to minimize harm that might come to consumers.
Businesses have to follow the steps mentioned below to register under excise tax:
Complete Excise Tax Registration
As soon as they receive the approval, businesses will officially be registered under the excise tax and must follow all reporting and payment requirements concerning excise tax.
While the UAE does not provide an absolute deadline for excise tax registration, it does require any business involved in any activity with excise goods, be it importing, producing, or stockpiling, to register either prior to performing the activities themselves or prior to the introduction of the excise goods into the UAE market.
Undoubtedly, at Risians Accounting & Tax Consultancy, we will help our clients with timely registration, enabling full compliance and freedom from penalties or fines from the Federal Tax Authority (FTA).
Excise tax has been imposed by the government of the United Arab Emirates, especially to terminate the consumption of products that are harmful to health or the environment, such as tobacco, energy drinks, and sugar-laden beverages. This method will push consumers to make healthier consumption choices and improve public well-being.
Moreover, excise taxes translate into revenues put into public services, infrastructure, and government efforts. With this tax, the UAE ensures not only that businesses pay their fair share but also that there is responsible consumption on the part of purchasers.
Offering advisory services on excise tax complexities in the UAE, Risians Accounting & Tax Consultancy assists businesses in understanding all registration elements, reporting, and filing taxes with due diligence.
Being one of Dubai’s leading audit firms, assistance is rendered in the preparation and submission of documents within FTA compliance standards and also the maintenance of proper records for audit or review purposes. The service ensures easy passage through the excise tax process, thus managing risks and giving timely fulfillment of all obligations.
Any business or individual importing, producing, storing, or managing excise goods (including warehouse keepers and designated zones) must register with the Federal Tax Authority (FTA).
Yes. Businesses importing excise goods less than once every six months or not more than four times in 24 months may be exempt. However, if imported goods exceed the tax-free threshold, excise tax applies.
Excise tax also applies to electronic smoking devices, liquids used in such devices, and sweetened beverages.
Excise tax increases the prices of certain goods as businesses pass part of the cost to consumers. Proper knowledge of excise tax helps businesses manage pricing and compliance effectively.
While no fixed deadline exists, registration must occur before conducting any activity with excise goods or introducing them into the UAE market.
Excise tax reduces consumption of products harmful to health or the environment, such as tobacco, energy drinks, and sugar-laden beverages. It also generates revenue for public services, infrastructure, and government programs.
Yes. Businesses can submit corrections or voluntary disclosures through the FTA portal to rectify mistakes and minimize penalties.
Risians Accounting & Tax Consultancy provides full support, from assessing registration obligations and preparing documents to submitting forms and maintaining records for audit. Our services ensure timely compliance and reduce the risk of fines or penalties.