On this page
- What you need to know now
- Separate excise registration from the VAT return process
- Build a product file before entering the data
- Review the 2026 sweetened-drink changes carefully
- Reconcile product records to physical movements
- A practical way forward
- Frequently asked questions
- Official sources & further reading
What you need to know now
Excise product registration remains a specialist compliance task; the 2019 launch notice must be read alongside current product rules and guides.
The original article is preserved below as a historical record. Earlier deadlines, rates, offers and approval statements should not be used as current guidance.
- Excise is distinct from VAT despite this old title.
- Product composition and lab evidence matter.
- Sweetened-drink calculations changed in 2026.
Separate excise registration from the VAT return process
The original article describes a 2019 excise-system development, despite using VAT in its title. Excise and VAT are different regimes. A business dealing with relevant products needs to review the excise activity and product requirements rather than assuming its existing VAT registration covers the same obligations.
Identify whether the business imports, produces, stores or releases the goods and which legal entity carries out each activity. A group may have different companies handling procurement, warehousing and sales. The product-registration review should follow that actual operating model, not simply the company named on a marketing brochure.
Build a product file before entering the data
A reliable product record connects the commercial description to composition, packaging and supporting technical evidence. Keep manufacturer information, ingredient details, product images and any required laboratory or conformity documentation in a versioned file. Similar brand names can conceal different formulations or pack sizes.
For example, a change in recipe should trigger a review of the registered information rather than only an update to the stock description. Assign a product owner who can obtain technical evidence from the manufacturer. Finance should not be expected to infer composition from a supermarket label when the classification needs more detailed support.
Review the 2026 sweetened-drink changes carefully
The sweetened-drink regime moved to a tiered volumetric model in 2026. Do not copy the old flat-rate description into a current product calculation. Product composition and the evidence supporting sugar and sweetener classification need to be checked against the applicable legislation and FTA instructions.
Use the current legal instrument and obtain clarification when the product evidence does not support a clear classification. Keep the rate determination, source version and supporting calculation together so that a future reviewer can see the basis used for the product. Do not assume an earlier registered classification covers a changed formulation.
Reconcile product records to physical movements
Once product data is approved, make sure the identifiers used in purchasing, stock management and excise reporting can be connected. A product may be correctly registered but still reported incorrectly if units, pack quantities or movement types are inconsistent across systems.
Prepare reconciliations of imports, production, transfers, releases and closing stock appropriate to the business. Investigate differences using source documents rather than forcing the reports to agree through an unexplained adjustment. The historical launch notice provides context; current compliance depends on maintaining accurate product evidence and movement records after the initial registration is complete.
YOUR NEXT STEPS
A practical way forward
- 01
Step 1
Compile each product’s formulation and supporting evidence.
- 02
Step 2
Check current classification and registration requirements.
- 03
Step 3
Reconcile imported, produced and released quantities.
CLEAR ANSWERS
Frequently asked questions
Does the VAT turnover threshold govern excise registration?
No. Assess the relevant excise activities.
Can old beverage rates be used unchanged?
No. Check the current product-specific regime.
Read the original article First published 18 August 2019 · retained for context
This earlier article is preserved for context. Its rates, deadlines, approvals and announcements may have been superseded. Use the current guidance and official references on this page for your next step.
VAT Updates – Excise Goods Registration
VAT Updates – Excise Goods Registration: FTA launches new electronic system for registration of excise goods
Meant to ensure accuracy and transparency, as well as develop tax system as a whole
The Federal Tax Authority has launched a new electronic system for registering excise goods as part of its plans to continuously develop the tax system as a whole, and excise tax procedures in particular.
In a press statement on Saturday, the FTA explained that the new system offers accurate and transparent procedures for registering excise goods with clear guidelines and standards in addition to the new reporting requirements related to excise tax returns and declarations.
The launch is aligned with the UAE leadership’s directives to enhance the country’s global competitiveness through continuous improvement of government services and ensuring accurate and transparent processes.
VAT Updates – Excise Goods Registration
The FTA called on all businesses dealing with excise goods to follow the new process of registering excise goods and ensure all required documents are readily available when submitting the registration request for the goods. The requirements clarified in the new guides include products details, ingredients, marketing information including images and videos, lab tests in some cases, and the retail price of the product based on the UAE retailers or in the relevant country in case it is not sold in the UAE.
In relation to the new reporting requirements of the excise tax, the authority urged the excise taxable persons to comply with the new declarations and tax return forms and reporting requirements including import, produce, release from designated zones and local purchase scenarios, which ensures increased transparency and accuracy.
Additionally, the authority pointed to the new manuals and guides it launched to raise awareness among taxpayers and offer them instructions on how to register excise goods in the new system, and comply with the new reporting requirements and forms in the excise tax system. The FTA invited businesses subject to excise tax to make use of these manuals to educate their staff about the new system, as well as the procedures for implementing excise tax in general.
Any person who produces or imports an excise good to be sold in local markets is subject to excise tax, as is any person who stockpiles said goods or releases them from a designated area, the FTA asserted, urging all relevant businesses to take the initiative and register their excise goods in the new system, as per the terms and conditions stipulated in the Cabinet decision on excise goods, which specifies the tax rates they are subject to and outlines the method used to calculate excise prices.
The FTA asserted that there is no threshold for excise tax, meaning that any business with activities involving excise goods is required to go ahead and register in the new system, calculate its tax amounts, and refer to the FTA website for information and manuals that outline the required procedures for producers and importers of excise goods, and for excise goods stored in designated zones.
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Official sources & further reading
Source checks support this general guide. Your treatment depends on the facts, tax period and applicable legislation.
