Business is booming.

Dubai breaks off new customs tax on International goods exceeding Dh300

0 12

Citizens purchasing internationally must pay a 5% import customs duty& 5% value-added tax

Dubai: A new customs tax on items purchased abroad for more than Dh300 has been suspended in Dubai.

It was reported in an email from Dubai Customs that the previous Dh1, 000 cut-offs for the exemption of packages and shipments have been reinstated as of March 1.

A message was sent out announcing the suspension of paragraph (a) of the article (2) of customs notice 5/2022, which dealt with the exemption of shipments with a value of no more than AED 300, and that it has been agreed to reinstate the previous AED 1,000 threshold for exemption of shipments and parcels starting on March 1, 2023, until further notice.

Dubai imposed additional customs taxes in January of this year on items purchased abroad for more than Dh300. Before, this tax was exclusively levied on purchases that cost more than Dh1,000.

As a result, citizens will now be required to pay 5% import customs duty and 5% value-added tax (VAT) fees on purchases made outside of their country that exceed the predetermined amount.

In addition to the “sin tax,” which also applies to sugary drinks, a 200% higher charge was imposed on tobacco, tobacco goods, e-cigarettes, and vaping liquids.

The UAE implemented an excise tax on goods that are hazardous to human health in 2017, including fizzy beverages, energy drinks, cigarettes, and tobacco products. Eventually, the scope of the excise duty was extended to include e-smoking instruments; liquids used in such tools, and sweetened beverages.

Leave A Reply

Your email address will not be published.