Navigating Article 14 – Exemption for Exported Excise Goods

One of the pivotal segments within the Excise Tax Laws is Article 14, shedding light on the exemption criteria for exported excise goods. Let's unpack the key elements:

1?? Conditions for Exemption:

• Case (a): Excise goods exported outside the state, complying with Customs Legislation and specific conditions.
• Case (b): Export for consumption during an international journey departing from the state, ensuring suspension in line with Customs Legislation.

2?? Duty-Free Shop Transactions:

Excise goods purchased from a Duty-Free Shop are exempt if promptly exported, substantiated with evidence of departure from Implementing States at the point of sale.

3?? Direct Export Conditions:

To qualify for exemption, the direct export must adhere to stringent conditions: Physical export by the supplier. Retention of customs declarations and commercial evidence.Non-use or alteration of goods between supply and export.

4?? Indirect Export Criteria:

Indirect exports must meet specific criteria: Physical export by the Overseas Customer. Submission of evidence by the Overseas Customer to the supplier, including customs declarations and commercial evidence. Non-use or alteration of goods between supply and export.

5?? Verification by Customs:

Customs departments play a crucial role, verifying exported excise goods based on their procedures and a tax risk matrix coordinated with the Authority.

Understanding these exemptions is vital for businesses engaged in international trade. For a deep dive into the specifics, refer to the complete Article 14 in the Excise Tax Laws.

Read the full decision here:

The Executive Regulation of the Federal Decree-Law No. 7 of 2017 on Excise Tax

For comprehensive insights and expert guidance, contact AM Audit.

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