The Federal Tax Authority (FTA) has launched a new website to provide businesses and consumers information on the introduction of excise and value added tax (VAT).
VAT is scheduled to be implemented from 1 January 2018 at a rate of 5%. Last week it was announced that excise tax would come into force on 1 October 2017 on all tobacco products, carbonated drinks and energy drinks.
Businesses will be able to pre-register their companies for VAT on the website www.tax.gov.ae from the middle of September 2017.
A comprehensive FAQ section provides answers to the most common queries businesses and consumers may have about the introduction of taxes. The site will also give businesses access to tax guides and live sessions conducted by the FTA.
Estimates suggest excise tax will add Dhs7bn a year to the state budget, while VAT is expected to generate Dhs12bn in the first year.