A UAE newspaper has said that the new Excise Tax, targeting taxes on products that have a damaging effect on health, shows that the goal is public welfare.

"The UAE leadership shows that the good of society is uppermost on its mind. In other words: all policies are guided by the leit motif of ‘pro bono publico’, for the public good. Which accounts for the fact that there is a levy on not-so-healthy products: the new excise price will add 50 percent to the price of carbonated beverages and 100 percent to that of tobacco products and energy drinks," said The Gulf Today in an editorial on Sunday.

As Obaid bin Humaid Al Tayer, Minister of State for Financial Affairs, said, "As of October 1, we will begin implementing the first phase of the tax system, by applying Excise Tax – at a rate of 50 percent to 100 percent – on designated products that are deemed harmful to people’s health."

The paper continued, "GCC countries are also expected to introduce excise duties on certain beverages that are deemed to be harmful to health, including those with high sugar content."

Khalid Ali Al Bustani, Director-General of the Federal Tax Authority, said, "With the launch of the excise tax, we celebrate a new milestone in our journey to achieve the visions of our wise leaders for the future of the UAE, and to implement the directives of the UAE Government, which has called on all government and private institutions to develop advanced forward-looking services in order to meet the needs of all segments of society, and propel the UAE to the highest ranks on global competitiveness indicators."

The authority has launched a comprehensive awareness campaign, organising workshops for UAE-based companies to identify all tax procedures and mechanisms for registration and listen to their questions and comments regarding the tax system in general and Excise Tax in particular.

"The UAE with this move has in no way compromised on people’s happiness, its national priority," concluded the Sharjah-based daily.