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Excise Tax Refund

Excise Tax Refund

In the UAE, businesses that have paid excise tax on specific goods that are considered harmful to human health or the environment may be eligible for a refund under certain circumstances. The Federal Tax Authority (FTA) outlines four situations in which a business may be eligible for a refund of excise tax.
In the UAE, businesses may be eligible for a refund of excise tax under certain circumstances. Excise tax is a type of indirect tax levied on specific goods that are considered harmful to human health or the environment, such as tobacco, sugary drinks, and carbonated drinks.

Detailed Description :

Firstly, if they export the excise goods outside the UAE or to another GCC state. Secondly, if they use the excise goods to produce other goods that are not subject to excise tax, such as medicine or food. Thirdly, if the excise goods are destroyed under the supervision of the FTA. And finally, if the excise goods are returned to the supplier due to a defect or any other reason that makes them unfit for their intended use.
It's important for businesses to comply with all the requirements set out by the FTA and to seek professional advice if needed to ensure they can successfully claim an excise tax refund. To claim an excise tax refund, businesses must apply to the FTA, providing all necessary supporting documents. The application must be submitted within six months of the end of the tax period in which the refund arises.