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Dubai lowers tax threshold for imported goods

Shoppers bringing products into Dubai from outside the Gulf will have to pay tax on more items now that the exemption level has been decreased.

Any item worth more than Dh300 will now be subject to a 5% tax. The previous threshold was Dh1,000.

This week, Ship & Shop, Aramex, and other courier providers alerted consumers by text message of the decision.

The change is primarily anticipated to assist local and homegrown online shops, providing them with a competitive advantage.

This charge is in addition to the 5% VAT on imported products into the Gulf.

Tobacco, tobacco products, e-cigarettes, and nicotine liquids are taxed individually following a December 2019 judgment.

To improve public health and limit the consumption of harmful items, the UAE government has increased the list of excise-taxed products since December 2019.

E-cigarettes, vaping devices, and tobacco refills are taxed at 100%, whereas juices and drinks with added sugar and sweeteners are taxed at 50%. BKM/ Expat Media


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