GCC Indirect Tax Weekly Digest

UAE developments
 

FTA publishes guide and application form for Excise Tax Administrative Exceptions
 

The United Arab Emirates (UAE) Federal Tax Authority (FTA) has published a guide on Administrative Exceptions for Excise Tax, as well as a corresponding application form.

The guide summarizes what Excise Tax Administrative Exceptions are, the eligibility criteria, and the procedure for submitting a request.

Excise Tax Administrative Exceptions provide certain concessions or exceptions as allowed by the UAE Excise Tax Legislation where specific circumstances prevent a taxable person from fulfilling certain procedural obligations.

These may only be made in relation to requests for alternative supporting evidence to confirm the export of excise goods from the UAE, and do not include exceptions from registration for Excise Tax.

In order to request an Excise Tax Administrative Exception, the following criteria apply:

• The applicant must be registered with the FTA;
• Circumstances beyond the applicant’s control result in them being unable to obtain official or commercial evidence of export; and
• All necessary documentation is provided to the FTA.

Where an application for an Administrative Exception is made, the applicant must provide the FTA with the reasons/circumstances for being unable to provide official or commercial evidence required by the legislation, and must provide alternative evidence to substantiate the fact that the excise goods have been exported from the UAE.

The guide states that the application form can be submitted by the authorized signatory of the registrant, the registrant’s appointed Tax Agent, or the registrant’s appointed Legal Representative. The guide specifically notes that Tax Advisors who are not registered Tax Agents may not submit a request on a registrant’s behalf.

Further, the guide sets out the process and documentation required to submit the application, which must be sent to specialexceptions@tax.gov.ae. The FTA may take up to 40 business days to make a decision, which will be provided by email within 5 business days of the decision being made.

This digest is for information purposes only and should not be construed as advice. It does not necessarily cover every aspect of the topics with which it deals. You should not act upon the contents of this alert without receiving formal advice on your particular circumstances.