Excise tax consultancy in UAE are meant to assist businesses in understanding and complying with the country's taxation rules. Excise Tax is a type of indirect tax levied on specific goods and services to ensure they pay their fair share of taxation. It is a type of consumption tax levied on specific commodities such as tobacco, carbonated drinks, or alcohol.
Understanding the rules for establishing the amount payable for excise taxes can be difficult for businesses operating in these highly regulated areas. Many firms now hire expert advisors who specialise in advising on tax liabilities for various products and services available in the UAE market to ensure compliance with all legal duties connected to the payment of excise taxes in Dubai.
Excise Tax in the UAE
There are numerous questions about the excise tax and how it is calculated nowadays. The most frequently asked questions about Excise Tax Consultants in UAE are: how can I register for excise tax? How can I prepare for the excise tax? And how can you ensure that your company is fully compliant with UAE excise tax? Here's everything you need to know about the UAE excise tax and excise tax consultancy in UAE.
As an industry leader in accounting, tax, and bookkeeping services, BMS Auditing ensures its clients comply with UAE tax laws by providing excellent Excise tax consultancy in Dubai, UAE.
Services for Excise Tax Consulting in Dubai, UAE
These are the services included for excise tax consultancy in UAE:
Support services for excise tax registration
Anyone planning to operate a business in the UAE that produces, imports, or stores excise goods is required to register for excise tax. Within 30 days of their opening or the law's implementation date, whichever comes sooner, businesses must register with the Federal Excise Tax UAE.
Every business cannot engage in any transaction involving excise items until it is registered for excise tax in the UAE. Businesses are often required to register for excise tax in the UAE even if they are not producers or importers of excise items. We are prominent providers of accounting and auditing services in the UAE, providing smooth services for Excise tax registration in the UAE.
Planning for excise taxes
Excise tax registration and payments can easily be confusing for business owners. To help alleviate the stress and make the process easier, we have professionals to assist in planning for excise taxes and preparing the necessary documents needed to register for excise taxes. Then, you can apply excise tax return filing process. We assist our clients in obtaining the finest practical knowledge possible to assure compliance while minimising excessive costs, supply chain disruption, and reputational damage.
Advisory services for excise taxes
We are one of the top tax consultancy services in the UAE. We have built a market presence as VAT advisors and also have professionals with extensive knowledge and practical expertise in Excise Tax. We can help you register for excise tax advisory services, file Monthly Returns, register your items with the Federal Tax Authority, and provide compliance advice under UAE Excise Tax Law.
Staff excise tax training and awareness
All staff must get extensive training to ensure error-free compliance before, during, and after the transition to Excise Tax.
Because there will be numerous updates in indirect tax rules, it is recommended that a proper training programme for concerned personnel be implemented during the initial term to ensure greater compliance.
The procurement team are trained to consider tax aspects while identifying vendors, presenting the benefits of registering to vendors, and guiding them to submit returns on time so that credit is not lost. This can significantly assist the accounting and finance functions in meeting their duties.
Types of businesses that should register for excise tax?
Any business involved in the following procedures must register for excise tax within 30 days of the business's opening or the effective date of the law, whichever comes first:
- Excisable goods importation into the UAE
- Producing excise items for UAE consumption
- Stockpiling of excise products in a specific case
- Excise warehouse supervisor
Because our way of life is based on a variety of products, the following items must be registered for excise tax:
- Except for unflavored aerated water, carbonated drinks and any aerated beverage.
- Energy drinks are any beverages marketed or sold as energy drinks and contain stimulant ingredients that provide mental and physical stimulation, such as caffeine, taurine, ginseng, and guarana.
- Tobacco and tobacco-related products
How BMS Excise tax consultancy can help you?
Throughout the tax life cycle, we assist in identifying risk areas and long-term planning opportunities for indirect taxes. Excise tax advisory services are provided in strict accordance with the norms and regulations of approved agencies. We provide you with effective practices to help you enhance your day-to-day indirect tax reporting, minimising costs, and attribution errors, and ensuring indirect taxes are handled effectively.
Our Excise team can assist you with managing excise declarations, auditing and reviewing product categories and evaluating import/export documentation. BMS auditing offers you the insight and assistance you require to successfully and efficiently manage indirect taxes. We can manage any central excise issues/matters on a wholly outsourced basis.
1. What are the UAE's excise tax rates?
- 100% for tobacco and tobacco products, and 100% for liquids in electronic smoking devices and instruments
- 100% for legal electronic smoking devices and tools 50% off carbonated beverages
- 100% for energy drinks and 50% for sweetened drinks
2. What exactly is a Designated Zone? How does it operate?
Any gated area designed to be a free zone that may only be accessed or exited through an authorised route, as well as any place defined by the Authority as being under the authority of a Warehouse keeper, is considered a designated zone.
3. What is the registration threshold for excise registration in the UAE?
Currently, there is no necessity to register for Excise tax. However, if the FTA is convinced that the person does not regularly import excise items or release excise goods from designated zones, he may be excluded from registration.
4. What items are exempt from excise tax?
Ready-to-drink beverages containing at least 75% milk, infant food, beverages used for dietary reasons, and beverages consumed for medical purposes are all free from excise tax. Typically, products are taxed during their release or usage time. In this case, the excise duty will be levied on the producer, maker, or importer of the excise items.
5. Are Excise Tax refunds available?
Unlike VAT, excise tax is paid just once in the supply chain, and enterprises that have acquired excise goods cannot get a refund of the excise tax paid.