Oman to impose 50% tax on sweetened drinks

Muscat: Oman’s tax authority on Thursday said, starting from October, Sultanate will levy 50% tax on sweetened beverages.

Ready to drink beverages containing added sugar or sweeteners or any form of sugar will attract 50% sugar excise tax beginning this October, said Sultan Al Habsi, chairman of Tax Authority.

Canned juices, fruit drinks, sports drinks, caffeine drinks and tea would fall under the new tax. 100% natural fruit juices, milk and its derivatives containing a ratio of not less than 75% of milk and laban are excluded from the new sugar tax. Nutritional supplements, drinks for dietary and medical use are also excluded from the tax.

Alongside other GCC states, Oman earlier had levied a 100% tax on alcohol, tobacco and energy drinks last year.