Oman to levy 50 per cent tax on sweetened drinks

Muscat: Starting from October 1, 2020, Oman will introduce a 50 per cent tax on sweetened drinks, the country’s tax authority informed on Thursday.

The decision comes following a cabinet approval from the Council of Ministers.

According to the decision, sweetened drinks are classified as any drinks that contain sugar or any of its derivatives or any other sweeteners. Also, sweetened drinks are any concentrates, powders, gels, or preparations that can be converted into sweetened drinks.

The decision issued by the Tax Authority included a statement about the products that are classified as sweetened drinks subject to tax, including juices, fruit drinks, sports drinks, coffee drinks, prepared and canned tea, while the list excluded some products such as natural fruit juices and vegetables and milk, laban and their products which should contain a ratio not less than 75% of milk.

In addition, the nutritional supplements, and drinks intended for special dietary and medical use are also not included in the tax.