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Kuwait's Upcoming Excise Tax Framework
On 27 October 2026, Kuwait's Cabinet approved a Decree Law relating to the Unified Agreement for Excise Tax of the GCC States (GETA) and submitted it to the Amir for ratification. This marks an important step towards introducing excise taxes in Kuwait, with potential implications for businesses involved in the manufacture, import and distribution of specified goods.
Key Developments
Products Potentially Affected
Tobacco and e-smoking devices, energy drinks, and carbonated and sweetened beverages may fall within scope, subject to final legislation.
How the Tax Would Apply
Locally made goods: tax becomes payable on release for consumption. Imported goods: tax is collected at customs, unless suspended.
What's Next
Ratification by the Amir, followed by Executive Byelaws and Regulations clarifying scope, rates and calculation methods.
| Possible Excise Tax Rates | Rate |
|---|---|
| Tobacco products and electronic smoking devices | 100% |
| Energy drinks | 100% |
| Carbonated beverages and sweetened drinks | 50% |
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