With Customs Policy No. 51/2021, dated 14 January 2021, Dubai Customs retroactively announced the duty exemption of a new list of goods referred to as “Category B” in the agreement between GCC States and the European Free Trade Association* (EFTA) (the “Agreement”). The effective date of duty exemption benefit for “Category B” goods is 1 July 2020.
The Agreement completed its fifth year of enforcement on 1 July 2020 and, accordingly, certain products will become exempt from Customs duties on the first day of the sixth year of the entry into force of the Agreement. Therefore, the deferral exemption provided in Article 2.2 of the Agreement is now in force.
Below is a non-exhaustive list of the “Category B” goods:
For the full list of goods included under category B, see Dubai Customs Policy No. 42/2015.
For more information on this topic, or to learn more about our Trade & Customs Services in the Middle East, kindly contact our Trade & Customs team at KPMG.
*Switzerland, Norway, Liechtenstein, and Iceland
Wadih Abu Nasr Head of Tax, Saudi Levant Cluster |
Stuart Ciocarelli Head of Tax, Lower Gulf |
Pascal Cange Director, Trade & Customs Leader, Middle East |
Nick Soverall Senior Director, Head of Indirect Tax, Saudi Levant Cluster |
Rhys Penning Partner, Indirect Tax, Lower Gulf |
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