The UAE’s Finance Ministry has announced that a sugar tax will be imposed on beverages containing sugar, starting next year.
The tax will be imposed based on the volumetric amount of sugar content in each beverage.
The ministry said on Monday that the updated policy will take effect at the national level as of January 1, 2026.
This initiative is part of GCC countries’ decision to adopt a tiered volumetric model for excise tax on sugar-sweetened beverages (SSBs).
The ministry has completed a set of proposed legislative amendments, including setting the various levels of a tiered volumetric model based on sugar content or other sweeteners for sweetened beverages.
The new regulations will also cover a clear mechanism that enables importers and producers, who have been subject to a 50 per cent excise duty on sugary beverages before the amendments come into effect, to reduce their tax liabilities.
&uuid=(email))