Starting 1 January 2026, the UAE will tax soft drinks based on how much sugar they carry instead of using the old flat 50% rate. Drinks with more sugar per 100 ml will cost more, while low-sugar or zero-sugar beverages could end up cheaper. Drinks sweetened with only non-sugar substitutes may get zero tax. This move aims to encourage healthier choices and push companies to reduce sugar in their drinks. Under the new rules, manufacturers need lab-certified sugar content reports before a drink’s tax rate is confirmed.
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