Recent Updates to UAE Excise Tax Laws: What’s New for 2025?
In 2025, the United Arab Emirates (UAE) has introduced significant updates to its excise tax regulations, aiming to refine tax structures and enhance compliance. These changes, effective from January 3, 2025, impact businesses dealing with specific goods such as electronic smoking devices, liquids, and certain consumables. Understanding these updates is crucial for businesses to ensure […]
Excise Tax in Free Zones: Do Free Zone Companies Need to Pay?
Free zones in the UAE offer businesses several benefits, including tax advantages, customs exemptions, and full foreign ownership. Many entrepreneurs assume that operating within a free zone means they are exempt from excise tax, but this is not always the case. While free zones provide significant financial incentives, companies dealing with tobacco, vaping products, carbonated […]
Understanding Excise Tax Exemptions in UAE: Who Qualifies & How to Apply
Excise tax in the UAE applies to tobacco products, vaping devices, carbonated drinks, energy drinks, and sweetened beverages. Businesses that manufacture, import, or distribute these products must pay excise tax at rates ranging from 50% to 100%, significantly affecting costs and pricing. However, not all entities are required to pay excise tax in full. The […]
How Excise Tax Affects Small Businesses & Local Retailers in UAE
Excise tax in the UAE was introduced to reduce the consumption of harmful products such as tobacco, vaping products, carbonated drinks, energy drinks, and sweetened beverages. While this tax is meant to encourage healthier choices and generate government revenue, it has also created new challenges for small businesses and local retailers who sell these products. […]
Excise Tax on Vaping & E-Cigarettes in UAE: What Retailers Must Know
The vaping industry in the UAE has grown rapidly, with more consumers shifting from traditional tobacco to e-cigarettes, vape pens, and nicotine-based alternatives. However, this expansion has brought with it strict government regulations, including excise tax, which directly impacts retailers, importers, and distributors. In 2019, the UAE government introduced a 100% excise tax on vaping […]
UAE Excise Tax Impact on Restaurants & Cafés: What Business Owners Must Know
Running a restaurant or café in the UAE has always required careful financial planning and cost control. However, with the excise tax on carbonated drinks, energy drinks, sweetened beverages, tobacco, and vaping products, business owners have had to rethink their pricing, menu offerings, and overall strategy. Since the excise tax increases the cost of these […]