Saudi Arabia Implementing Sin Tax

Saudi Arabia will start taxing cigarettes, energy drinks and carbonated drinks from June 10, the Saudi Gazette said, quoting the general authority of Zakat, making it the first country in the (Persian) Gulf Cooperation Council (including Kuwait, the UAE, Qatar, Bahrain, and Oman) to fix the implementation date, Arabian Business reported. On May 23, the decision was taken by the general secretariat of (P)GCC to impose 100% tax on cigarettes, and energy drinks, and 50% on carbonated drinks. The Zakat authority is responsible for collecting VAT and ST, ensuring that all taxpayers comply with relevant laws and that no one evades taxes.