UAE Vape Tax in 2026: What the Dh1-Per-ml Minimum Excise Price Changes
Short answer: From 1 September 2026, the UAE vape tax treats liquids used in electronic smoking devices as if they cost at least Dh1 per millilitre. The 100% excise rate has not changed. A 60 ml bottle priced at Dh40 is taxed as though it cost Dh60. It is a floor on the taxable value, not a minimum shelf price.
The UAE vape tax change: what the Ministry of Finance announced
On Thursday 6 August 2026 the Ministry of Finance set a minimum excise price of Dh1 per millilitre for liquids used in electronic smoking devices and tools. It took effect on Tuesday 1 September. The ministry said the aim is to make excise tax work better and support compliance, as The National reported. A follow-up piece adds that the 100% excise rate is unchanged, and so are the existing minimum prices for cigarettes and shisha tobacco.
How a minimum excise price works
An excise price is the value the tax is calculated on. A minimum excise price puts a floor under that value. If a liquid sells for less per millilitre than the floor, the tax is worked out as if it sold at the floor. The shelf price is still the seller’s to set.
| Bottle size | Minimum taxable value | Excise at the 100% rate |
|---|---|---|
| 10 ml | Dh10 | Dh10 |
| 30 ml | Dh30 | Dh30 |
| 60 ml | Dh60 | Dh60 |
The National’s own example is a 60 ml bottle priced at Dh40, taxed as though it cost Dh60. That bottle sells at about Dh0.67 per millilitre, so the floor lifts its taxable value by half. A liquid already priced above Dh1 per millilitre is untouched by the new rule.
Who is most likely to notice
Cheap, large-volume liquid. Anything priced under Dh1 per millilitre is where the floor bites. Whether a given shelf price moves depends on how it was priced before and how the importer and retailer handle the extra cost. One Dubai vape retailer told The National it planned to absorb part of the increase at first, and said it may not manage that indefinitely.
What nobody has spelled out for disposables
The decision names liquids used in electronic smoking devices and tools. A disposable is a device with the liquid sealed inside. In the announcements and coverage we read, none explains how the floor applies to a pre-filled disposable, so we won’t guess at a number. The Federal Tax Authority and the importer are the right places to ask.
What we can give you is the current picture on our own shelves. As of 3 October 2026, single disposables on this site run from AED 30 to AED 75, and delivery is free on orders of AED 350 or more and AED 30 on orders below AED 350. Our cost-per-ml table was checked on 28 September 2026, four weeks after the floor took effect.
The grey-market risk
The same retailer warned that a wider price gap between legitimate and unofficial products could push buyers towards unregulated sellers. That is a real trade-off for you as a buyer. A cheaper price from a seller who can’t show paperwork is not a saving. Our guide to spotting a genuine vape covers what to check before you pay.
Should you stock up?
We wouldn’t. The rule has applied since 1 September, so there is no deadline left to beat. Heat is the bigger cost to a stockpile. Liquid kept through a UAE summer ages faster, and our guide to keeping liquid fresh in the heat explains why.
Background reading on Wikipedia: Excise and Sin tax.
Common questions
When did the Dh1-per-ml minimum excise price start?
On 1 September 2026, following a Ministry of Finance decision announced on 6 August 2026.
Did the UAE raise the excise rate on vapes?
No. The 100% excise rate is unchanged. The new rule sets a minimum value the tax is calculated on.
Does vape liquid now have to cost at least Dh1 per ml?
No. The Dh1 per ml figure is a floor for calculating tax, not a minimum selling price.
Does the rule apply to disposable vapes?
The announcements we read don’t say how it applies to liquid sealed inside a pre-filled device. Ask the Federal Tax Authority or the seller.
Written and reviewed by DK Ridoy for Vape Royality Store. Sources checked 3 October 2026. 18+ only. Contains nicotine, a highly addictive substance. Not for sale to minors, non-smokers, or pregnant women.
