FTA intensifies its efforts by increasing inspections visits 104 percent in 6 months
July 26, 2022
The Federal Tax Authority (FTA) is increasing inspections in its ongoing move towards greater market control and consumer protection against non-compliance, fraud, and tax evasion.
The FTA, collaborating with a host of related government bodies, has already more than doubled its inspections in the last six months to 9,948 , versus 4878 in 2021. Reflecting the government and FTA’s commitment towards public health and welfare, it confiscated over five million packages of tobacco products and over a million units of other ‘health-concern’ goods including soft drinks, energy drinks and sweetened drinks. These confiscated items were being sold without compliance with applicable laws and regulations , such as the affixture of digital tax stamps, etc.
As the UAE moves forward with ever greater emphasis on compliance and effective and beneficial market controls, the huge success of the Excise tax regime since its application five years ago is apparent in both economic and social terms. Not only has the Excise tax increased the government’s fiscal resources (itself used for public welfare) but also it has reduced the consumption of unhealthy products and contributed significantly to ecological improvement.