Dubai: A new customs fee is now charged

Dubai: A new customs fee is now charged for purchases made abroad for more than of Dh300.

Dubai has imposed new customs taxes on items purchased abroad for more than Dh300.

According to the Unified Customs Tariff for the GCC States of 2022, the rate of customs duty has been set at 5% of the goods’ value if their value exceeds Dh300, unless a rate of 0% exemption applies. This was stated by Abdelhak Attalah, partner, maritime and international trade practice, Galadari Advocates and Legal Consultants.

This means that citizens will be required to pay 5% import customs duty and 5% value-added tax on purchases made abroad that cost more than Dh300 (VAT).

Attalah continued by stating that in addition to the “sin tax,” which also applies to sugary drinks, tobacco, tobacco goods, e-cigarettes, and vaping liquids are subject to a higher customs duty at a rate of 200 percent.

This new customs tariff and customs clearance law went into effect on January 1, 2023, according to Dubai Customs’ Notice No. 5 of 2022.

However, imports of products with a value of less than 300 Dh will not be subject to customs taxes. But the following are not exempt from the waiver of customs duties: tobacco, tobacco goods, e-cigarettes, nicotine liquid, alcoholic beverages, and foods containing alcohol.

2017 saw the introduction of an excise tax in the UAE on goods that are bad for human health, like carbonated beverages, energy drinks, tobacco, and tobacco products. Later, the scope of the excise duty was extended to include e-smoking instruments, liquids used in such tools, and sweetened beverages.