UAE to bring in expanded tax on sugary drinks and e-cigarettes early
Sweetened juices will be hit with a 50% levy while vaping fluid will be subject to 100% charge from December 1
A new levy on sweetened drinks, e-cigarettes and vaping fluid will be introduced on December 1.
Sugary drinks will be hit with a 50 per cent tax on existing prices.
Vaping devices and associated products – which were made legal in April – will be subject to a 100 per cent tax.
The Cabinet announced the expansion of the so-called 'sin tax' of 2017 in August. It was originally due to be brought about in January.
The Federal Tax Authority this week said all producers and importers of e-smoking devices, vaping liquids and sweetened beverages should register with the authority before December.
The levy on sugary drinks will hit brands that escaped the 50 per cent tax on fizzy drinks that caused the price of products such as Coca-Cola, Red Bull and Pepsi to rise.
As The National reported last year, non-fizzy sugary drinks were not covered when the original tax was introduced in 2017.
Non-carbonated sports drinks sold in supermarkets were found to contain, on average, 20 grams of sugar in each 500ml bottle.
Updated: October 8, 2019 10:18 AM