Excise tax is a type of indirect tax paid on the sale of specific items.These products are taxable if they are imported into the UAE, manufactured there, or stockpiled there.Products that are detrimental to individuals and the environment are subject to excise duty. The sales tax’s primary goal is to restrict consumption of certain specific commodities and to limit unhealthy practices.In some cases, commodities are tagged physically to show that excise duty has already been paid to the government.
If you engage in the following activities, you must register and pay sales tax :