The Federal Tax Authority (FTA) has announced that businesses must complete Corporate Tax registration within 90 days from the Date of Incorporation / MOA.
The excise tax refund UAE process is an important compliance mechanism for businesses dealing in excise goods such as tobacco products, energy drinks, carbonated beverages, and sweetened drinks. While excise tax is generally payable when goods are imported or released for consumption, there are specific situations where businesses can recover the tax paid.
Understanding the excise tax refund process UAE helps companies protect cash flow, avoid financial losses, and remain fully compliant with the Federal Tax Authority (FTA).
In this guide, we explain who qualifies, what documents are required, and how to submit a successful refund application.
Who Can Claim Excise Tax Refund in UAE?
Not every situation qualifies for a refund. The FTA allows refunds under specific conditions.
1. Re-export of Excise Goods: If excise goods are exported outside the UAE after tax has already been paid, businesses may apply for a refund. Proper customs documentation is mandatory to prove export.
2. Destroyed or Damaged Goods: If excise goods are destroyed under FTA-approved supervision (for example, expired or damaged stock), a refund may be possible. Official destruction certificates are required.
3. Double Taxation Cases: If excise tax has been paid more than once on the same goods due to supply chain errors, businesses may recover the excess amount.
4. Tax Paid in Error: Incorrect product classification or overpayment of excise tax may qualify for a refund claim.
5. Registered Businesses Only
The applicant must:
- Be registered for excise tax with the FTA
- Be compliant with excise return filings
- Have no major outstanding compliance violations
Documents Required for Excise Tax Refund UAE
Submitting complete and accurate documentation is critical. Incomplete applications are one of the main reasons for rejection.
Key documents include:
- Excise tax registration certificate
- Tax invoices
- Customs export declarations (for re-exports)
- Shipping and transport documents
- Destruction certificate (if applicable)
- Proof of excise tax payment
- Supporting accounting records
- Bank details for refund processing
Maintaining organised accounting records significantly improves approval chances.
Step-by-Step Excise Tax Refund Process UAE
The refund process is conducted through the FTA’s online system.
Step 1: Confirm Eligibility
Carefully review whether your case meets FTA refund conditions before applying.
Step 2: Gather Supporting Documents
Ensure invoices, customs declarations, and proof of payment are complete and accurate.
Step 3: Access the FTA Portal
Log in to the e-Services portal of the Federal Tax Authority.
Step 4: Submit Refund Application
Complete the refund form and upload all required documents. Double-check figures to avoid calculation errors.
Step 5: FTA Review & Clarification
The FTA may request additional clarification or supporting information. Prompt responses help avoid delays.
Step 6: Refund Approval & Payment
If approved, the refund amount is transferred to the registered bank account.
Timeline for Excise Tax Refund in UAE
There is no fixed processing period, but refunds typically depend on:
- Accuracy and completeness of documentation
- Complexity of the claim
- Volume of refund applications being processed
- Compliance history of the applicant
Accurate submissions and proactive responses to FTA queries help speed up processing.
Common Reasons for Refund Rejection
Understanding common mistakes can help avoid costly delays.
- Incomplete or missing documentation
- Incorrect tax calculations
- Insufficient proof of export
- Late submission
- Non-compliance with excise tax return filings
Even small discrepancies can result in rejection or additional review.
Conclusion
The excise tax refund UAE framework provides businesses with a structured way to recover excess or wrongly paid tax. However, eligibility must be clearly established, documentation must be accurate, and the correct excise tax refund process UAE must be followed.Compliance with the Federal Tax Authority is essential at every stage from confirming eligibility to submitting documentation and responding to clarification requests.
For businesses seeking professional assistance, Reyson Badger offers expert support with excise tax refund claims, documentation review, and full compliance guidance. With the right expertise, businesses can minimise risk, accelerate approvals, and ensure their refund applications are handled correctly from start to finish.
If your company believes it may qualify for an excise tax refund, seeking professional advice early can make the process smoother and more efficient.
