Earlier, the previous threshold of Dh1000 for the exemption of parcels and shipments had been lowered to Dh300.
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 Dh1000 for the exemption of parcels and shipments has been reinstated effective 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 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 Dh1000.
The duty rate had been set at five percent of the goods, which meant that residents shopping internationally had to pay five percent import customs duty and five percent value-added tax (VAT).
A higher duty was applicable on tobacco, tobacco products, e-cigarettes, and vaping liquids at the rate of 200 percent in addition to the “sin tax” which is applied also to sugary drinks.
In 2017, the UAE introduced an excise tax on products that 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.
News Source: Khaleej Times