SAUDI ARABIA

50% Excise Tax in Prices for All Sugary Drinks in Saudi Arabia

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excise tax riyadh xpress
excise tax riyadh xpress

Sugary Drinks in Saudi Arabia

General Authority of Zakat and Tax has announced that from 1st December 2019 there will be an increase in all sugary drinks in Saudi Arabia. The excise tax on sugary and carbonated drinks is 50%. It is a huge change for the people of Saudi Arabia. People used to eat and drink from outside. The tax may decrease the sales of soft drinks.

Why Increase in Price?

The Authority further added that any sugar drinks which include gel, powers or liquid concentrate are part of this selected tax. The purpose of the tax is due to health reports and research carried out previously. The negative results of sweetened drinks in KSA is huge. The drinks can cause diabetes, obesity, and diseases which can be avoided.

Substitute drinks suggested in order to still enjoy beside the water. These drinks are fruits or fresh juices which contain vitamins and other special ingredients to make a healthy society.

List of Sugary Drinks in Saudi Arabia

  • Juices
  • Coffee
  • Soft Drinks
  • Energy Drinks

Simultaneously, extract duty won’t apply to improve refreshments containing milk. At a rate at least 75 percent of the substance of the prepared to-utilize drink. Just as milk and milk recipes, notwithstanding characteristic organic product drinks without addictives.

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