In the UAE, businesses engaged in importing, producing, or storing excisable goods can defer or suspend Excise Tax payments by storing goods within a registered Designated Zone. These zones are treated as being outside the UAE for Excise Tax purposes, provided they meet strict conditions set by the Federal Tax Authority (FTA).

A Designated Zone is defined as a secured and monitored area, typically within a Free Zone, that can only be accessed through designated routes and is under the supervision of a registered Warehouse Keeper. To operate such a zone, businesses must register both the Designated Zone and the Warehouse Keeper with the FTA. Approval may come with conditions such as security protocols, access controls, and operational checks required by the Warehouse Keeper.

By leveraging Designated Zones, businesses can legally postpone Excise Tax payments until goods are removed from or consumed within the zone, offering cash flow benefits and improved tax planning. However, the registration and compliance process involves detailed documentation and strict regulatory adherence.

At Goldstone, we specialize in Excise Tax compliance, guiding clients through the full Designated Zone and Warehouse Keeper registration or renewal process. Our tax professionals ensure your application meets all FTA requirements, helping you avoid delays and take full advantage of the tax deferral benefits.

Goldstone’s Services Include:

• End-to-end support for Designated Zone & Warehouse Keeper registration or renewal

• Guidance on FTA compliance requirements and operational conditions

• Assistance with documentation, application filing, and authority correspondence

• Advisory on how to structure your operations to maximize Excise Tax efficiency