Decoding the UAE’s New Excise Tax Framework on Sweetened Beverages

Finance

Decoding the UAE’s New Excise Tax Framework on Sweetened Beverages

Nov 13, 20251 min read
50%
Excise on sweetened beverages
100%
Rate on tobacco and energy drinks
AED 0.40
Per cigarette / per ml ESD liquid

The UAE Excise Tax framework has expanded progressively in scope since 2017. The framework creates compliance obligations for importers, manufacturers and distributors in affected product categories — and penalties for those who fail to register or account correctly.

Excise Tax Rates by Category

Product CategoryRateSpecific Rate
Carbonated drinks (excluding plain water)50%AED 0.50 per litre
Sweetened beverages with added sugar or sweetener50%AED 0.50 per litre
Energy drinks100%AED 1.00 per litre
Tobacco products100%AED 0.40 per cigarette
Electronic smoking devices (ESDs)100%AED 0.40 per ml of liquid
How Univia Can Help

Univia advises on Excise Tax registration, product classification, rate determination, return preparation and designated zone implications.

Contact Univia: info@univiaglobal.com | +971 50 223 5283

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