United Arab Emirates
Overview
Federal Tax Authority (FTA) publishes guidance on stock reporting requirements for Excisable goods.
UAE FTA has published two new Excise Tax guides. The guides relate to Excise stock movements for warehouse keepers who are registered and who are not registered for Excise Tax.
The purpose of these guides is to assist registered and non-registered warehouse keepers, in navigating the FTA’s e-Services portal for submission of relevant declarations for the purpose of declaring Excise Goods they hold in the Designated Zones (DZs) which they are going to manage from 1 January 2021
Warehouse Keepers who are Registered for Excise Tax
FTA has issued guide at beginning of Dec 2020 which lays down the process of declaring Excise Goods that belong to registered Excise taxpayers that are held in their Designated Zone as on 1st of January, 2021
The guide provides an overview of the various declaration forms that need to be filed and who, how & when a Warehouse Keeper should complete and submit each of them to the FTA.
The registered Warehouse keepers are required to submit the Opening Stock Declaration (EX204) between 1 January 2021 and 31 January 2021. They must declare the opening stock of Excise Goods belonging to registered Excise Taxpayers in their DZ(s) and should submit the declaration once for each TRN holder. Step by step process of filling the form is explained in the guide.
Further we understand that the FTA has been contacting Excise taxpayers directly to inform them about additional stock reporting requirements, including the requirement to appoint a certified external auditor to audit the Opening Stock as of 1 January 2021 in each DZ per Excise Tax registrant.
Copy of guide is can be seen in PDF copy of this article (click)
Warehouse Keepers who are NOT Registered for Excise Tax
Those warehouse keepers who are not registered for Excise Tax are required to complete the following:
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- Declare the Excise stock held in their DZ by owners who are registered for Excise Tax by submitting EX204; and
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- Declare the Excise stock held in their DZ by owners who are not registered for Excise Tax by submitting the Non-Registered Excise Stock Movement Declaration (EX204A) in each period from 1 January 2021.
Same as mentioned above, we have noted that FTA has been contacting Excise taxpayers directly to inform them about additional stock reporting requirements, including the requirement to appoint a certified external auditor to audit the Opening Stock as of 1 January 2021 in each DZ per Excise Tax registrant.
Copy of guide is can be seen in PDF copy of this article (click)
How Premier Brains can help?
We are a 10 years old audit firm headquartered in Dubai, UAE with another office in Abu Dhabi, UAE. Our international presence is in Kuwait, Bahrain, Oman and India.
We have consulted many companies from Excise Tax point of view in UAE and are experienced in conducting Excise Stock audits.
For any clarification or assistance, you may contact below,
Rishi Chawla
Partner – Business Advisory
This document is only for information purposes and should not be construed as an advice. It does not necessarily cover each aspect of the topic with which it deals. You should not act upon the contents of this document without receiving formal advice on your particular circumstances.
If you would like to discuss any tax matters by getting tax consultancy in Dubai, please drop us an email at info@premier-brains.com or call us at + 971 4 3542959.
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