The Federal Tax Authority has announced the implementation of the Cabinet's decision to contravene the procedures for the application of the distinctive mark to selective goods and to place distinctive marks on tobacco and its products, the digital stamps that are installed on the packaging of tobacco products before being supplied to local markets.

The agency said in a statement yesterday that the application of fines will limit cases of commercial fraud, which will protect consumers from leakage of poor products that are not conforming to specifications that harm the health and the environment to the market, noting that appropriate mechanisms have been put in place to implement these integrated legislation, Mutual obligations between the Commission and taxpayers, with full care to protect consumers, through accurate mechanisms to tighten control of the country's markets with the highest standards of governance and transparency.

9 Violations

She pointed to fines for nine types of "distinctive" offenses, in order to protect consumers and prevent the leakage of poor products that are not conforming to the specifications of local markets, and to prevent the sale of smuggled products within the state.

In accordance with the schedule of fines and administrative fines attached to the decision, a fine of 50,000 dirhams plus 50% of the selective tax amount payable on selective goods specified in the case of the person's possession or circulation of selective goods in the country not bearing the mark shall be imposed. In the case of a person's deliberate permission to use his premises to sell selective items in the country without a distinctive mark, he shall be fined 25,000 dirhams for the first offense and 50,000 dirhams in case of repetition.

special marks

If a person changes or prints over distinctive labels based on specific selective goods, he will be fined 50,000 dirhams plus 50% of the selective tax payable on selected selective goods. If a person fails to acknowledge the transfer of the selected selective goods, he will be fined 20,000 dirhams each time the offense was committed. If the person does not comply with the safe storage requirements of the Federal Tax Authority, he will be fined 50,000 dirhams Each time the offense was committed.

If a person fails to comply with the time limit for returning the unused markings to the Authority, he will be fined AED 50,000. The person's non-compliance with the fixing of the markings on the selected goods specified in the manner and in the place as determined by the Authority shall expose him to a fine of 25,000 dirhams For the first offense, and 50 thousand dirhams in case of repetition.

Administrative fines

According to the schedule of fines and administrative fines attached to the decision, if the person is trading, exchanging, selling or supplying unauthorized marks, he is fined 25,000 dirhams for the first violation, 50,000 dirhams in case of repetition, With a tax of 50% of the amount collected as a tax. If a person is reused for distinctive marks that have already been used on a specific selective commodity, he will be fined 50,000 dirhams, plus 50% of the selective tax payable on the selected selective goods.

As of May 1, the importation of all types of cigarettes into the country has begun without the presence of the "digital tax stamps" on them. As of August 1, the local markets will be banned from importing or producing all kinds of cigarettes. Does not carry the digital tax stamps, within the framework of the timetable that came into effect on January 1, and aims to track the electronic cigarette packages from the production until they reach the end consumer, to ensure full commitment to pay the selective tax on them.

The system will be gradually expanded to cover all types of tobacco and its products, with the aim of providing a precise framework to combat commercial fraud, in order to protect consumers from leakage of poor products that do not meet specifications to markets that harm health and the environment. And markets to prevent the sale of contraband.

Enforcement of fines will limit cases of commercial fraud.