01
Document overview
The principal statute establishes excise tax on designated goods, liable persons, registration, tax points, value, exemptions, returns, appeals and sanctions.
02
Scope and exclusions
Applies to
Applies to import, production, storage and other dealings in goods designated as excisable under the Law and current decisions.
Limitations and exclusions
Operational procedures are covered in the separate record for Executive Regulation 51/2020; later decisions determine product lists, value and rates, while VAT and customs rules apply separately.
03
Article-level text
Chapter One · Definitions
For the purposes of this Law, unless the context otherwise requires, the following words and expressions have the meanings set out beside them: Chairman of the Authority: the Chairman of the Tax Authority. Authority: the Tax Authority. Directorate General of Customs: the Directorate General of Customs of the Royal Oman Police. Committee: the Tax Grievance Committee provided for in Article 45 of this Law. Council: the Cooperation Council for the Arab States of the Gulf. Unified Customs Law: the Unified Customs Law of the States of the Cooperation Council for the Arab States of the Gulf. Excise goods: goods harmful to human health or the environment, or luxury goods, whether locally produced or imported, that are subject to tax under this Law. Tax: the tax imposed on excise goods under this Law. Value of excise goods: the value on which tax is calculated under this Law. Person: a natural or legal person, including a joint venture and a participation arrangement concluded outside the Sultanate that does not take the form of a company. Responsible person: any person connected in any manner with the person liable for tax who takes that person's place in performing the obligations imposed by this Law. Permanent establishment: a fixed place of business through which a foreign person carries on all or part of an activity in the Sultanate, whether directly or through a dependent agent. Registrant: a person registered with the Authority under this Law. Person liable for tax: the registrant and any other person required to pay tax. Tax year: the 12-month period beginning on 1 January and ending on 31 December of each calendar year. Tax period: a period of three calendar months within the tax year; the first tax period begins on the date of registration and each subsequent tax period begins on the day after the preceding tax period ends. Additional tax: tax imposed at 1% of unpaid tax for each month of delay or part thereof, calculated from the end of the payment period until payment. Import of excise goods: importation of excise goods from outside the territory of the Council States under the Unified Customs Law. Tax-suspension arrangement: the arrangement under which tax becoming due on locally produced or imported excise goods is suspended in accordance with this Law. Tax warehouse: a place in which a licensee may produce, process, possess, store, transport or receive excise goods under a tax-suspension arrangement in accordance with this Law. Licensee: a person licensed by the Authority to establish a tax warehouse. Regulation: the Executive Regulation of this Law.
Chapter Two · General Provisions
The responsible person is determined as follows: 1. For a sole proprietorship: the owner or responsible manager. If judicial receivership is imposed or bankruptcy is declared, the judicial receiver or bankruptcy administrator, as applicable, is the responsible person. 2. For an Omani company: a. One-person company: the owner or responsible manager. b. General or limited partnership: a partner or the company's manager. c. Joint venture: the manager whom the partners agree shall conduct the management of the venture, whether a partner or a third party. d. Joint-stock company: the chair of the board of directors or a manager authorised by the board. e. Limited liability company: the company's manager or the person responsible for management. If judicial receivership is imposed, bankruptcy is declared or liquidation begins, the judicial receiver, bankruptcy administrator or liquidator, as applicable, is the responsible person. 3. For a permanent establishment: a. Its owner or manager. b. The agent of the owner where the permanent establishment carries on its activity in the Sultanate through an agent. c. The judicial receiver or bankruptcy administrator where judicial receivership is imposed or bankruptcy is declared.
Chapter Two · General Provisions
The registrant must appoint the responsible person and notify the Authority in accordance with the procedures prescribed by the Regulation. If the registrant does not appoint a responsible person, the Chairman may appoint that person, provided that the registrant is notified.
Chapter Two · General Provisions
The responsible person may not remain outside the Sultanate for more than 90 days during a tax year unless the Authority has been notified and has approved the appointment of another responsible person to act throughout the absence.
Chapter Two · General Provisions
Units of the State Administrative Apparatus must provide the Authority, upon request, with data and information relevant to the application of this Law. State Administrative Apparatus units that issue licences for activities involving excise goods must also provide the Authority, every six months, with a statement of the licences they have issued, renewed or cancelled, or that have expired, in the manner prescribed by the Regulation.
Chapter Two · General Provisions
For the purposes of this Law, the registry of the competent court must, at the Authority's request, provide it with: 1. Minutes recording attachment of movable property and the dates fixed for sale, immediately after the enforcement judge orders the sale. 2. Declarations of indebtedness filed by garnishees, immediately after filing. 3. Notices issued for enforcement against immovable property, immediately after their registration with the competent Real Estate Registry Secretariat.
Chapter Two · General Provisions
Any person conducting a public-auction sale of a registrant's movable or immovable property must notify the Authority of the scheduled sale date at least 10 days before that date.
Chapter Two · General Provisions
Where the Authority seeks information concerning a person liable for tax from a licensed bank for the purpose of applying this Law, in accordance with the Banking Law, it must address the request to the Central Bank for onward transmission to the licensed bank. The licensed bank must provide the Authority directly, within the period specified by the Authority, with the requested information concerning the person liable for tax and must immediately notify its customer that it has done so.
Chapter Two · General Provisions
A person liable for tax must deliver tax returns, accounts, financial statements, income statements, records, documents and other materials to the Authority by hand, registered post or electronic means, in the manner prescribed by the Regulation.
Chapter Two · General Provisions
Notices and decisions issued by the Authority are served on the person liable for tax by hand, registered post or electronic means, in the manner prescribed by the Regulation.
Chapter Three · Scope of the Tax
The value and categories of excise goods, including tobacco and its types, and the tax rate imposed on each category shall be determined or amended by a decision of the Minister after approval by the Council of Ministers.
Chapter Three · Scope of the Tax
The Directorate General of Customs shall collect tax on imported excise goods by applying the prescribed rate and value and shall deposit the tax in a special account opened for that purpose, in accordance with the rules prescribed by the Regulation.
Chapter Three · Scope of the Tax
An importer of excise goods must notify the Authority of the categories, quantities and value of the imported excise goods and the amount of tax paid to the Directorate General of Customs, in the manner prescribed by the Regulation.
Chapter Three · Scope of the Tax
Without prejudice to the Unified Customs Law, where customs tax on imported excise goods is suspended, the importer must provide the Directorate General of Customs with a bank guarantee equal to the tax due. The guarantee must remain valid throughout the suspension period. The bank guarantee may not be released before the tax due on the excise goods has been paid.
Chapter Three · Scope of the Tax
Where excise goods become subject to tax or their applicable tax rate is increased, every person carrying on an activity involving those goods, including import, production, trade or distribution, must notify the Authority of the stock held immediately before the goods became taxable or the rate increased. Notification must be made within 15 days after the date on which the tax or increase takes effect.
Chapter Four · Registration
Every person who produces or imports excise goods, releases them for consumption, possesses them without the tax having been paid, or is a licensee must apply to the Authority for registration in accordance with the conditions and controls prescribed by the Regulation. A person who imports excise goods on an irregular basis is not required to register, as further prescribed by the Regulation.
Chapter Four · Registration
The Authority shall maintain a register in which registration applications and their particulars are entered after review and verification, and the registrant shall be provided with a registration certificate. The Regulation shall prescribe the rules and procedures governing the registration certificate and the particulars it must contain.
Chapter Four · Registration
A registrant must notify the Authority in writing of any change to the particulars previously submitted with the registration application within 30 days after the change occurs. The Authority shall issue a registration certificate containing the updated particulars in accordance with the rules and procedures prescribed by the Regulation.
Chapter Four · Registration
A registrant must immediately notify the Authority if the registrant wholly or partly ceases the activity involving excise goods, in the manner prescribed by the Regulation.
Chapter Four · Registration
The Chairman or the Chairman's delegate may cancel registration in the cases and subject to the conditions and arrangements prescribed by the Regulation.
Chapter Five · Tax Due, Suspension and Exemption
Tax becomes due on the date excise goods are released for consumption. The Regulation shall determine the cases in which excise goods are treated as released for consumption and the conditions and procedures to be followed.
Chapter Five · Tax Due, Suspension and Exemption
If excise goods are smuggled, tax becomes due at the rate applicable when the smuggling occurred, or on the date the smuggling is discovered if the time of the offence cannot be determined.
Chapter Five · Tax Due, Suspension and Exemption
Tax is not due on excise goods within free zones or special economic zones unless the goods are released for personal consumption unrelated to the conduct of work or business.
Chapter Five · Tax Due, Suspension and Exemption
The cases, rules and procedures for suspending payment of tax shall be prescribed by the Regulation. Movement of excise goods under a tax-suspension arrangement between Council States shall be governed by a decision issued by the Minister after approval by the Council of Ministers.
05
Official source
Royal Decree 23/2019 · Oman Tax Authority
September 13, 2026