The State of Qatar adopts a new mechanism for excise tax on sweetened beverages

Mark
Written By Mark

The General Tax Authority announced today that Law No. (2) of 2026 amending some provisions of Law No. (25) of 2018 regarding excise tax, will enter into force as of July 6, 2026, in order to provide the opportunity for taxpayers and manufacturers to reconcile their situations, pointing out that the scope of application includes all products that can be converted into drinks and contain sugar or sweeteners, whether they are concentrates, powders, extracts, or any other products. Similar.

The authority noted, in a statement, the need for everyone who possesses selective goods to submit tax returns to disclose balances or inventory upon the entry into force of the law through a tax platform.

Law No. (2) of 2026 requires the implementation of a new mechanism for the excise tax on sweetened beverages based on a graduated volumetric model, whereby the value of the tax is calculated based on the amount of sugar or sweeteners in the drinks or products subject to the tax, as part of the efforts of the State of Qatar to develop tax policies and support public health.

The table of taxable selective goods attached to the law has also been amended to include sugar-sweetened beverages such as soft drinks and juices that contain added sugar.

This trend comes within the framework of the state’s efforts to reduce the consumption of high-sugar products, and to motivate manufacturers to reduce the levels of sugar in their products, in a way that enhances the health of society. This mechanism also falls within the country’s strategic directions, in line with international best practices, and achieves a balance between economic and health goals.