UAE: Amendments to excise taxation of electronic smoking implements; guidance on correcting VAT return errors

Changes effective January 2025

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February 14, 2025

The Ministry of State of Financial Affairs issued Ministerial Decision No. 1 of 2025, amending the excise taxation of electronic smoking implements effective January 3, 2025, and repealing the previous Ministerial Decision No. 236 of 2019.

The Federal Tax Authority (FTA) issued Decision No. 8 of 2024, outlining the mechanism for correcting errors or omissions in value added tax (VAT) returns effective January 1, 2025. The decision mandates that certain errors, such as misreporting taxable supplies across emirates or incorrect reporting of zero-rated and exempt supplies, must be corrected through a voluntary disclosure, even if there is no change in the due tax.


For more information, contact a KPMG tax professional in the UAE:

Koen Desloover | kdesloover@kpmg.com

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