- UAE FTA issued Decision No. 6 of 2025 on June 17, 2025, effective July 1, 2025
- Establishes standards and requirements for managing natural shortages of excise goods in Designated Zones
- Clarifies Article 12(5)(b) of the Excise Tax Executive Regulations regarding permissible losses
- Warehouse keepers and taxable persons must request an assessment from an approved Independent Competent Entity
- Assessment based on physical inspection and six months of operational data
- Report valid for 12 months, with different parameters for new products
- Evidence of shortages must be maintained and declared to the FTA
- Declaration must not exceed approved shortage percentage and cover no more than six months
- Compliance monitored through inspections and audits
- Reports issued within six months of July 1, 2025, valid retrospectively and for one year
- FTA to publish a list of approved entities for assessments
- Decision provides clarity on permissible losses and compliance for businesses in Designated Zones
- Companies must review compliance processes and secure certified assessments before implementation
Source: mailchi.mp
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
