Dubai has decided to suspend a new customs duty on goods bought internationally with a value of more than Dh300.
In an email sent out by Dubai Customs, it has been announced that the previous threshold of Dh1,000 for exemption of parcels and shipments has been reinstated effective of March 1.
The message read “Kindly be informed that Paragraph (a) of Article (2) of Customs Notice 5/2022 related to exemption of consignments with value not exceeding AED 300/- has been suspended, and that it is has been decided to re-establish the previous threshold for exemption of parcels/shipments of AED 1,000/- effective 01-March-2023 until further notice.”
It was in January this year that Dubai introduced new customs duty on goods bought internationally with a value of more than Dh300. Earlier this duty was applicable only if the goods bought exceeded a value of Dh1,000.
The duty rate had been set at five per cent of the goods, which meant that residents shopping internationally had to pay five per cent import customs duty and five per cent value-added tax (VAT).
A higher duty was applicable on tobacco, tobacco products, e-cigarettes and vaping liquids at the rate of 200 per cent in addition to the “sin tax” which is applied also to sugary drinks.
In 2017, the UAE introduced an excise tax on products which are harmful to human health such as carbonated drinks, energy drinks, tobacco and tobacco products. Later on, the excise tax scope was expanded to e-smoking devices and tools, liquids used in such devices and sweetened drinks.
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