UAE Excise Tax: E-Liquids Now Have a Minimum Price of AED 1 per mL

As of 1 September 2026, e-cigarette and vape liquid sold in the UAE carries a minimum excise price of AED 1 per millilitre, whatever it actually sells for. The Ministry of Finance introduced the floor to keep excise tax from being calculated on artificially low declared prices. If your business imports, manufactures or holds excise-registered stock of e-liquid, the tax due on it from that date can't fall below this new baseline. ## What changed The Ministry of Finance's announcement, dated 6 August 2026, states plainly: "The Decision introduces a minimum Excise Price of AED 1 per millilitre (mL) for Liquids used in Electronic Smoking Devices and Tools. The Decision will enter into force on 1 September 2026." That date has already passed — the floor has been in force since 1 September 2026, and every e-liquid excise calculation from that date onward has to use it. Before this, e-liquid had no dedicated minimum excise price of its own. Excise tax on it was worked out from whatever price the seller declared. Cigarettes, water pipe tobacco and other tobacco products already had a minimum price; the ministry's announcement says those existing minimum prices are unchanged. E-liquid is simply being brought in line with the rest of the excise regime. ## Who this affects Anyone registered for excise tax who imports, produces, or stockpiles liquids used in electronic smoking devices and tools. That includes vape shop owners, tobacco and vape wholesalers, and anyone bringing e-liquid into the country for resale. The 100% excise tax rate on these products has not changed. What changed is the floor under the price the tax gets calculated on. ## What the floor looks like by bottle size Applying the announced rate to common bottle sizes gives the minimum taxable value the FTA will use, regardless of the actual shelf price: | Bottle size | Minimum taxable value (bottle size x AED 1/mL) | |---|---| | 10 mL | AED 10 | | 30 mL | AED 30 | | 60 mL | AED 60 | | 100 mL | AED 100 | That's simple arithmetic on the published rate, not a figure the ministry itself published. The announcement has no worked example, no Cabinet Decision number, and no explanation of how the floor feeds into the final tax owed once a registered price is already above it. Confirm the exact calculation with the FTA or a registered tax agent before adjusting a return. ## What to check now - Compare your declared or invoiced price per millilitre for every e-liquid product against AED 1. Anything below that line is now taxed on the AED 1 floor, not the actual price. - Ask your tax agent, or the FTA directly, whether any price declarations on file need updating to reflect the new floor. - Note that this applies only to liquids used in electronic smoking devices and tools. Minimum prices for cigarettes, water pipe tobacco and ready-to-use tobacco products are unchanged. ## Sources - [Ministry of Finance — Minimum Excise Price for Liquids Used in Electronic Smoking Devices, effective 1 September 2026](https://mof.gov.ae/en/news/ministry-of-finance-announces-decision-introduces-a-minimum-excise-price-for-liquids-used-in-electronic-smoking-devices-effective-1-september-2026/) — checked 11 September 2026 Businesses that sell or import e-liquid can find [tobacco and vape traders listed on GoProfiled](https://goprofiled.com/categories/tobacco-trading).