Every single business in the UAE that produces, imports or stockpiles excise goods, or intends to do so, is necessary to register for the Federal Excise Tax UAE.
Some will be required to register excise tax in UAE even when you are not a producer or importer of excise goods. The first one will be if you are a stockpile of excise goods before the federal excise tax UAE introduction. The next will be if you are not registered for UAE Excise Tax but you are releasing excise goods from a Designated Zone. Taxable activities cannot be carried out by any business unless it has been registered for Excise Tax.
As announced by the government of Dubai, the UAE VAT rate is 5% for all goods and services. This is one of the lowest rates in the world. According to the provisions in the law, there are four exemptions and 14 zero-rated VAT items. There will be more budget for infrastructures and public services through the revenue that will be acquired from the UAE tax. The new tax regime is seen to improve the economy of the State.
Various documents that are related to the activities that your business does will be asked during the excise tax in Dubai registration procedure. The profile and legal status of the applicant will have an effect on what kind of documents will be presented. It will be more convenient in your part if you have below documents before starting the application:
Business: involved in and an ongoing activity/s in any form of the following such as industrial, commercial, professional, trade, etc.
Stockpile: someone who or a business that is keeping plenty of excise goods, which the business cannot show has been subject to Excise Taxation.
FAR – Farhat Office & Co. is one of the tax agents in UAE, with more than 30 years of experience in various fields, we can aid you with regard to your excise and taxation concerns with the help of our qualified tax accountants. If you have not yet grasped the idea of Excise Tax in Dubai, UAE, feel free to contact us.