Excise Tax Advisory In Saudi Arabia
Excise tax in Saudi Arabia is levied on specific goods deemed harmful to health or the environment, such as tobacco products, energy drinks, soft drinks, and electronic smoking devices. Governed by ZATCA, excise tax applies to producers, importers, and warehouse operators of excisable goods. MFD Services supports clients by coordinating with licensed tax advisors to ensure accurate registration, filing, and compliance with excise tax obligations.
Why Excise Tax Advisory Is Critical In Saudi Arabia
Proper excise tax advisory helps businesses:
- Avoid penalties and regulatory breaches
- Ensure accurate classification and valuation of goods
- Navigate ZATCA audits and reconciliations
- Align with GCC-wide excise mandates
- Maintain operational and financial transparency
MFD ensures that excise tax processes are compliant, documented, and regulator-approved.
Types Of Businesses That Require Excise Tax Advisory In Saudi Arabia
Excise tax advisory is essential for:
- Tobacco and vaping product manufacturers
- Beverage producers and importers
- Distributors of energy drinks and sweetened beverages
- E-cigarette liquid and device suppliers
- Warehouse operators handling excisable goods
MFD helps assess excise exposure and coordinates with certified professionals to manage compliance.
Taxation Advisory Services We Offer
What Are The Legal And Procedural Requirements For Excise Tax In Saudi Arabia?
Excise tax is calculated on the higher of the retail sale price or standard price set by ZATCA. Rates include:
- Tobacco products: 100%
- Energy drinks: 100%
- Soft drinks and sweetened beverages: 50%
- E-cigarettes and related liquids: 100%1
Taxpayers must register with ZATCA, submit bi-monthly declarations, and remit payments within 15 days of filing.
What Documents Are Needed For Excise Tax Advisory In KSA?
Typical documentation includes:
- Commercial registration and tax certificates
- Product specifications and classification details
- Import and production records
- Retail pricing and standard price comparisons
- Excise tax declarations and payment confirmations
- ZATCA portal credentials and filing history
MFD assists in compiling and reviewing these documents for registration, filing, and audit readiness.
Excise Tax Advisory Cost, Duration, And Process
Estimated Pricing Advisory coordination fees start from SAR 8,000, depending on product categories, transaction volume, and documentation scope.
Estimated Timeline Registration and initial filing setup typically take 1 to 2 weeks. Bi-monthly declarations are due every two months, with payment required within 15 days of submission.
How The Process Works MFD begins by reviewing product lines and transaction records, assessing excise exposure, and coordinating with certified advisors. We support registration, filing, and audit preparation.
How Excise Tax Advisory Supports Business Growth In Saudi Arabia
Strategic excise tax planning helps businesses:
- Maintain regulatory compliance and avoid penalties
- Improve pricing transparency and cost control
- Strengthen stakeholder and investor confidence
- Align with health and environmental mandates
- Prepare for audits and future expansion
MFD ensures that excise tax processes are accurate, documented, and regulator-compliant.
Contact Us
Book an Appointment with Us
Schedule a consultation with MFD Business Solutions today and discover how our expert Actuarial Valuation and financial consulting services can enhance the accuracy and reliability of your financial records.
What Challenges Do Companies Face With Excise Tax In Saudi Arabia?
Common issues include:
- Misclassification of excisable goods
- Inaccurate valuation or pricing records
- Late filings and payment delays
- Portal submission errors or documentation gaps
- Lack of internal tax expertise
How Our Services Solves Excise Tax Issues
MFD Services offers structured coordination for excise tax advisory:
- Product classification and valuation support
- Liaison with ZATCA and certified tax professionals
- Filing preparation and portal submission
- Advisory on reconsiderations and refunds
- Post-filing compliance and audit readiness
We ensure that excise tax processes are timely, accurate, and regulator-approved.
Why Choose MFD For Excise Tax Coordination In Saudi Arabia
MFD Services is trusted by manufacturers, importers, and distributors for excise tax coordination. We work with licensed professionals to ensure that filings meet ZATCA regulations and GCC mandates.
Coordinate Excise Tax Compliance With Regulator-Approved Advisory Support
MFD Services helps manufacturers, importers, and distributors navigate Saudi Arabia’s excise tax framework by coordinating with licensed professionals for registration, classification, and filing. Whether managing high-volume declarations or preparing for audit, we ensure your excise tax processes are accurate, documented, and aligned with ZATCA and GCC
FAQ's
It’s a tax on specific goods such as tobacco, energy drinks, and e-cigarettes, governed by ZATCA.
Producers, importers, and warehouse operators of excisable goods.
No, MFD coordinates with licensed tax advisors to manage filings and compliance.
Every two months, with payment due within 15 days of declaration submission.