The Federal Tax Authority (FTA) has released a revised guide on Excise Tax Administrative Exception EGAE01. Excise Tax administrative exception is a mechanism which provides registrants with certain concessions/ exceptions from the procedures prescribed under the legislative provisions. This guide is meant for exporters having Excise Tax registration and exporting the excise goods outside the UAE. The key aspects of the Guide are summarized below
- Eligible person who can apply for Exception
- A Taxable person registered under Excise Tax is eligible to apply for administrative exception
- Eligible Cases
- An application for administrative exception may be submitted to obtain and retain alternative document form of documentary evidence proving the export of excise goods from the UAE. Generally, the exporters are required to obtain and retain any of the following combinations of documents to prove export of excise goods:
- a customs declaration, and Commercial Evidence, or
- a Shipping Certificate and Official Evidence, or
- a customs declaration that proves the suspension arrangement of customs duties.
- Filing Requirements
- If the exporter is unable to obtain any of the above combination of documents, it may apply for an administrative exception via EmaraTax. The application should include at least the following:
- a cover letter explaining the reason(s) why the required supporting documents cannot be obtained
- a sample of the alternative supporting documents which the Applicant is proposing to obtain
- Filing Process and Timelines
- Application must be submitted on EmaraTax portal along with all the required documents
- The FTA may take 40 business days to give any decision on the application. However, FTA may ask for additional information for the application
- Decision of the FTA will reflect on the EmaraTax portal of the registrants and also sent to registered email ID of the Applicant
- Generally, administrative exception decisions are valid from the decision date until three years after that date. However, an Applicant may request an earlier effective date of up to five years prior to the application.