FTA Decision on the Marking of Tobacco and Tobacco Products Scheme

The United Arab Emirates (UAE) Federal Tax Authority (FTA) has published a Decision relating to the Marking of Tobacco and Tobacco Products Scheme (also known as the Digital Tax Stamps (DTS) scheme).

The DTS is a newly introduced control scheme requiring tobacco manufacturers and stakeholders to comply with enhanced standards for the importation and trading of tobacco in the UAE. DTS delivers unique pack marking and encoding to allow product trace-ability from the point of manufacturing through to the final Emirate of distribution, and to support enforcement activity targeting the reduction in illicit tobacco trading.

This Decision is dedicated for 'Designated Excise Goods', which means - 

1. All types of cigarettes;
2. Electrically heated cigarettes;
3. "Water Pipe Tobacco", which is any product being imported, produced or cultivated in the State that could be classified by the Schedule 24 of the United Customs Tariff for the GCC states. 

FTA Decision No. 3 of 2021 sets out that marks with a new design shall be approved, and approval is withdrawn from marks with the old design.

The dates below shall apply:

• By 1 October 2021, requests for marks with the new design must be received from local markets and duty-free markets in arrival terminals.
• By 1 January 2022, requests for marks with the new design must be received from duty-free markets in departure terminals.

All provisions contrary to or inconsistent with the provisions of the Decision shall be abrogated.