Posted by : Aahil Shaik Tuesday, May 21, 2019
Saudi Arabia imposes 100% Tax on e-Cigarettes and 50% on Sugary Drinks
The Kingdom of Saudi Arabia has imposed a new special tax of 100 per cent on electronic cigarettes and 50 per cent on sugary drinks starting from Saturday as per the statement of The General Authority of Zakat and Tax. Trending : Saudi Arabia shoots down two missiles heading towards Makkah and Jeddah
Saudi Arabia introduced similar taxes called Selective Tax before two years in the year 2017 stating 100% tax on cigarettes, tobacco products and energy drinks and 50% tax on soft drinks. Similar : Saudi Arabia implemented Selective Tax
- The tax on e-cigarettes and sugary drinks fall under the category of selective taxes, which are harmful for the public health.
- Saudi Arabia introduced a 5 per cent of Value Added Tax (VAT) last year in January 2018, In order to improve the non oil revenue generation. The Kingdom was first to introduce in the GCC States. See Also : Imports of tobacco products dropped by 43% in Saudi Arabia
- Value Added Tax (VAT) introduction had been successful in Saudi Arabia, However the Saudi government is charging very less compared to the global standards.