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June 26, 2026

Implementation Guide

Excise Tax Guide

13 March, 2019

Contents

1. Introduction

  1. 1.1. Overview

  2. 1.2. Who Should Use This Guide?

  3. 1.3. What Is This Guide About?

  4. 1.4. Definitions

2. Reporting Excise Tax

  • 2.1. Transitional Excise Tax Return Steps

  • 2.2. What Goods Are Subject to Excise Tax?

  • 2.3. Calculation of Excise Tax

  • 2.4. Calculation of Excise Tax on Concentrates

    • 3. Registering for Excise Tax

    1. 3.1. Who Must Register for Excise Tax Prior to June 15, 2019

    2. 3.2. How to Register for Excise Tax?

    3. 3.3. Registering for a Tax Warehouse License

    4. Transitional Excise Tax Return and Payment

    1. 4.1. What Is a Transitional Excise Tax Return?

    2. 4.2. Do I Have to Submit a Transitional Excise Tax Return?

    3. 4.3. Information Required on Transitional Excise Tax Returns

    4. 4.4. Transitional Excise Tax Payments

    Introduction

    Overview

    On March 13, 2019, the National Excise Tax Law ("Law") was issued by His Majesty Sultan Qaboos bin Said via Royal Decree 23/2019. On March 17, 2019, the Law was officially published in the Official Gazette. The Law comes into effect 90 days from this date (i.e., June 15, 2019). The publication of the Excise Tax Executive Regulations ("Regulations") is expected to be released within six months from the effective date of the Law.

    The introduction of Excise Tax in Oman follows the common framework of the Unified Customs Law and the recent implementation of the tax in other Gulf Cooperation Council ("GCC") countries, including the UAE, KSA, Bahrain and Qatar; it brings a significant change for all businesses that import, manufacture or trade Excise Goods in Oman.

    Businesses should monitor further Excise Tax developments including any additional requirements that may arise once the Regulations and other guidelines are published. Businesses are encouraged to assess their compliance requirements of the new tax regime, including the transitional rules, and assess the impact on pricing through their supply chains.

    As the authoritative body in charge of the implementation and administration of the Excise Tax in the Sultanate, the Secretariat General for Taxation ("SGT") has already taken a number of steps along with the issuance of the Law, including drafting other legislative instruments such as the Regulations, designing administrative processes and procedures, developing appropriate IT systems, and drafting additional Excise taxpayer guides and other publications as part of the implementation of the tax.