Abu Dhabi to introduce 30 percent sales tax on alcohol

Levy will come into force after Ramadan
Abu Dhabi to introduce 30 percent sales tax on alcohol
By Staff writer
Wed 13 Jun 2018 10:43 AM

Alcohol sold in Abu Dhabi off-licence outlets will be subject to 30 percent taxation from June 15 according to a circular received by retailers from the Abu Dhabi Department of Culture and Tourism.

The charge will bring the emirate in line with Dubai where a 30 percent tax on alcohol sold in off-licence outlets is already in force.

Alcohol licences will now also be subject to a fee of AED230 fee. The licenses, which enable non-Muslims to purchase alcohol, were previously free.

It is not known if the fee is inclusive of the five percent VAT that applies to goods and services or is an additional levy.

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