Photo: Sodas by Marlith. Photo and cropped/resized versions: CC BY-SA 3.0.
Excise tax in Qatar applies to particular goods, not to services or to businesses in general. It concerns companies that import or produce tobacco, energy drinks or sweetened drinks, and operators of tax warehouses.
The rules changed twice in 2026: Law No. 2 of 2026 replaced the schedules of taxed goods, and Cabinet Decisions No. 30 and 31 of 2026 amended the Regulations. This guide gives each rule with its source, and says when a rule comes from GTA guidance rather than law.
- Tobacco, energy drinks
- 100%
- Sweetened drinks
- QAR 0.77 or 1.06 a litre
- Returns
- Quarterly, 15 days
- Law checked
- 17 October 2026
The short answer
In short
- Tobacco and its derivatives, energy drinks and goods of a special nature are taxed at 100% of the retail price (Law No. 25 of 2018, Schedule 1, as replaced by Law No. 2 of 2026).
- From July 2026, sweetened drinks are taxed per litre by sugar content: zero under 5 g per 100 ml, QAR 0.77 from 5 to 7.99 g and QAR 1.06 from 8 g (Schedule 2). Carbonated drinks are no longer a separate 50% category.
- Importers, producers and tax warehouse operators register with the General Tax Authority (GTA) (Law Article 6). Since September 2026, each product is also registered before import or production (Regulations Article 6 bis).
- Returns are filed for each calendar quarter, within 15 days after it ends (Law Article 7; Regulations Article 13). Records are kept for ten years (Regulations Article 27).
What excise tax is and where the rules come from
Excise tax was introduced by Law No. 25 of 2018, in force from 1 January 2019, under the Unified GCC Excise Tax Agreement. It applies to excise goods produced in Qatar or imported, as listed in two schedules attached to the Law (Law Article 2, as replaced in 2026).
Four texts now work together. The Law itself is Law No. 25 of 2018, as amended by Law No. 2 of 2026. The Regulations are Cabinet Decision No. 5 of 2019, amended by Cabinet Decision No. 30 of 2026, which came into force on the day after its publication in the Official Gazette in September 2026. The goods tables are in Cabinet Decision No. 31 of 2026, which defines energy drinks and sweetened drinks and lists sub-categories by customs code. Alongside these sits the GTA’s guide on sweetened drinks, although the guide says itself that it is not legally binding.
For an overview of all company taxes, see taxes in Qatar for companies.
Which goods are taxed and at what rate
| Goods | Excise tax | Source |
|---|---|---|
| Tobacco and its derivatives | 100% of the retail price | Law Schedule 1 |
| Energy drinks | 100% of the retail price | Law Schedule 1 |
| Goods of a special nature | 100% of the retail price | Law Schedule 1 |
| Sweetened drinks, under 5 g of sugar per 100 ml | Zero | Law Schedule 2 |
| Sweetened drinks, 5 to 7.99 g per 100 ml | QAR 0.77 a litre | Law Schedule 2 |
| Sweetened drinks, 8 g or more per 100 ml | QAR 1.06 a litre | Law Schedule 2 |
| Artificial sweeteners only, no added sugar | Zero | Law Schedule 2 |
Carbonated drinks used to be taxed at 50%. That category no longer appears in Schedule 1. Under the GTA’s guide, they are treated as sweetened drinks under the sugar tiers, and goods registered as carbonated drinks must be registered again with a laboratory report.
How 100% works in practice. The value of a Schedule 1 good is the higher of the GTA standard price and the declared retail price less the tax included in it. At 100%, the value is half the retail price (Regulations Article 3, as amended in 2026). A product sold at QAR 20 including tax has a value of QAR 10 and carries QAR 10 of excise tax. Until the GTA issues its standard price list, the GTA or Customs may set a minimum value where the declared price is lower (Law Article 28).
Energy drinks with sugar stay at 100% of the retail price (GTA guide). By law, 1% of the revenue from sweetened drinks goes to the Ministry of Public Health for health awareness (Law Article 2).
What counts as a sweetened drink, and what does not
A sweetened drink is any product with an added source of sugar or sweeteners, made to be drunk, whether ready to drink or as a concentrate, powder, gel or extract (Cabinet Decision No. 31 of 2026, Article 4). The GTA’s guide adds that a drink with only natural sugar is not a sweetened drink, and that food with added sugar is not subject to excise tax.
| Drink | Condition |
|---|---|
| Energy drinks | Taxed separately at 100% |
| Alcoholic drinks | Excluded from the definition |
| Fruit and vegetable juices | 100% natural juice with nothing added |
| Milk drinks | At least 75% milk |
| Milk alternatives | At least 75% plant-based alternative with at least 120 mg of calcium per 100 ml, used like milk, not carbonated |
| Special nutritional or medical drinks | Under the relevant GSO standards |
| Home-made drinks | For personal or non-commercial use |
| Restaurant drinks | Made and served open for immediate consumption |
Worked example. Where sugar or sweeteners are added, the GTA counts natural sugar, added sugar and other sweeteners together, and disregards artificial sweeteners. A drink with 4 g of natural sugar, 3 g of added sugar and 1 g of artificial sweetener per 100 ml has a total of 7 g. It falls in the middle tier at QAR 0.77 a litre, so a 330 ml can carries about QAR 0.25.
Concentrates and powders are taxed on the final drink, diluted as the product’s instructions say; if the instructions are missing or wrong, the GTA may set the dilution rate (Regulations Article 3(5)). Importers and distributors of drinks, see also retail and trading.
Who must register, and when
Anyone who produces or imports excise goods, or is licensed to operate a tax warehouse, must register (Law Article 6). The GTA’s guide states that there is no registration threshold for sweetened drinks.
- 1
Register the business
Apply within 30 days before starting the activity. The GTA decides within 30 days of a complete application, and no answer counts as a rejection (Regulations Articles 6 and 7). See Dhareeba registration and the tax card.
- 2
Register each product
Since Cabinet Decision No. 30 of 2026, each excise good is registered with the GTA before import or local production, with approvals from other authorities attached. The GTA sets a minimum value for the goods (Regulations Article 6 bis).
- 3
Add a laboratory report for sweetened drinks
The GTA’s guide asks for a report from a laboratory accredited by the Ministry of Public Health and the GTA, showing sugar and sweeteners per 100 ml. Without one, the drink is treated as high sugar.
- 4
Keep the registration current
Ask to deregister within 60 days of ceasing to meet the conditions (Regulations Article 9). The GTA may cancel a registration if excise activity has stopped for six months or more (Regulations Article 12).
Retailers are not in the Article 6 list, but anyone holding excise goods on which the tax has not been paid is liable for it (Law Article 5). Local producers, see also manufacturing. For the Dhareeba account itself, see our Dhareeba registration page.
Excise returns and payment
The tax period is each calendar quarter, and the return is due within 15 days after it ends (Law Article 7; Regulations Article 13). The 2027 dates are in the Qatar compliance calendar 2027.
Tax becomes due on release for consumption, which includes production outside a suspension regime, release from a tax warehouse and import (Law Article 3). The return shows the taxable value, the rate, any deductions or refunds, customs releases and stock, and now also the sugar and sweetener content per 100 ml (Regulations Article 14). On payment the two texts differ. The amended Regulations say tax is paid within the period for filing the return (Article 22), while the Law links payment to the day the return is submitted (Article 7), so check the payment date with the GTA.
Imports work differently, because the tax is due and paid with customs duties (Regulations Article 23). The GTA President may also exempt importers from filing returns and defer payment, on conditions he sets (Law Article 7). Producers may deduct excise paid on goods used to make other excise goods, and holders may deduct excise on goods exported, provided they hold the export documents (Regulations Article 13). If a return turns out to be wrong, an amended return filed within 30 days after the deadline carries no penalty (Regulations Article 17).
Returns, product registration and refunds run through Dhareeba services such as “Submission and amendment of excise tax return” and “Excisable goods management”.
Records, inspections and tax stamps
Records and supporting documents are now kept for ten years from the end of the year they relate to, up from five (Regulations Article 27), including an excise register of quantities, values, rates and tax (Article 25). The GTA gives at least 15 days’ notice of a tax inspection (Regulations Article 30 bis).
For tobacco, the GTA uses a digital tax stamp activated electronically, and import of cigarettes without a valid stamp has been banned since 13 October 2022. Persons liable for the tax must comply with the marks on excise goods (Law Article 8).
Penalties
| Breach | Penalty | Source |
|---|---|---|
| Late registration up to 90 days, record failures, refusing information, wrong return data without tax loss | QAR 10,000 | Law Art. 16(1) |
| Late return | QAR 500 a day, up to QAR 180,000 | Law Art. 16(2) |
| Late payment | 2% of the tax a month or part of a month, up to the tax due | Law Art. 16(3) |
| Incorrect information reducing the tax | 5% of the unpaid tax, unless corrected within 30 days and the shortfall is not over 10% | Law Art. 16(4) |
Tax evasion, including not registering for more than 90 days or importing without paying, is punishable by up to one year in prison and a fine of up to three times the tax, or either (Law Article 18). Objections follow the Income Tax Law (Law Article 15); see tax audits, penalties and objections.
Stock held when the 2026 change started
Law No. 2 of 2026 (Article 4) required commercial holders of released excise goods on the day it took effect to file an audited stock statement within 90 days, with the tax payable within 30 days. The commercial quantity is set by a decision of the GTA President. GTA announcements describe the threshold differently, so a business that held stock in July 2026 should check with the GTA that its position is settled.
Checklist before importing or producing a new product
Checklist
- Is the product on Schedule 1 or 2, or excluded by Cabinet Decision No. 31 of 2026?
- For a sweetened drink, an accredited laboratory report
- Business and product registered with the GTA before import or production
- Retail price checked against the GTA minimum value
- Quarterly return dates in the calendar and the payment date confirmed with the GTA
- Excise register and records kept for ten years; tax stamps for tobacco
What to do next
For questions on how tax applies to your business, your contracts or an exemption, see our tax advisory service, or request a proposal.
Frequently asked questions
What goods are subject to excise tax in Qatar?
Tobacco and its derivatives, energy drinks and goods of a special nature at 100% of the retail price, and sweetened drinks per litre by sugar content (Law No. 25 of 2018, Schedules 1 and 2, as replaced by Law No. 2 of 2026).
Are carbonated drinks still taxed at 50%?
No. Since July 2026 the carbonated drinks category no longer appears in Schedule 1. Sugared soft drinks fall under the sweetened drink tiers, and drinks with only artificial sweeteners pay no excise (Law No. 2 of 2026; GTA guide).
How is the sugar tax on sweetened drinks calculated?
Per litre, by total sugar per 100 ml: under 5 g pays nothing, 5 to 7.99 g pays QAR 0.77 and 8 g or more pays QAR 1.06 (Law Schedule 2). Concentrates are taxed on the diluted drink (Regulations Article 3(5)).
Do retailers need to register for excise tax?
The law requires registration from producers, importers and tax warehouse operators (Law Article 6). Retailers are not in that list, but anyone holding goods on which the tax has not been paid is liable for it (Law Article 5).
When is the excise tax return due?
For each calendar quarter, within 15 days after the quarter ends (Law Article 7; Regulations Article 13). The amended Regulations say tax is paid within the filing period (Article 22); check the payment date with the GTA.
Do I need to register each product?
Yes. Since Cabinet Decision No. 30 of 2026, each excise good is registered with the GTA before import or local production (Regulations Article 6 bis). The GTA’s guide asks for an accredited laboratory report for sweetened drinks.
What is the penalty for filing an excise return late?
QAR 500 for each day of delay, up to QAR 180,000. Late payment adds 2% of the tax for each month or part of a month, up to the tax due (Law Article 16(2) and (3)).
Sources
Laws and Cabinet decisions
General Tax Authority guidance and services
This article is general information, not tax or legal advice for your company. The laws, decisions and GTA pages cited were checked on 17 October 2026; English descriptions of Arabic legal texts are our own, and the GTA’s guide is not legally binding. Confirm product classification and payment dates with the GTA.