Cost + Insurance + Freight value of goods
CIF Value
AED 100,000
Customs Duty (5%)
AED 5,000
VAT (5%)
AED 5,250
Total Landed Cost
AED 110,250
Note: VAT is calculated on the CIF value plus customs duty (AED 105,000 x 5% = AED 5,250).
Understanding UAE customs duty
What is the standard UAE customs duty?
The standard customs duty rate in the UAE is 5% of the CIF (Cost, Insurance, and Freight) value of imported goods. This rate applies to most goods imported into the UAE. However, some products have higher rates: alcohol at 50% and tobacco products at 100%. Certain goods are exempt from customs duty, including goods originating from GCC countries, goods imported into free zones (for use within the zone), and specific categories like personal effects and diplomatic imports.
What is CIF value?
CIF stands for Cost, Insurance, and Freight. It is the total value of goods at the port of destination, including the cost of the goods themselves, insurance charges for the shipment, and freight charges for transporting the goods. UAE customs duty is calculated on this CIF value. The customs authority may require original invoices, packing lists, and bills of lading to verify the declared CIF value. Undervaluation can result in penalties and reassessment.
Are there exemptions from customs duty?
Yes, several categories of imports are exempt from customs duty in the UAE: goods originating from GCC member states (with a GCC certificate of origin), goods imported into and used within UAE free zones, personal effects and household items of returning residents, diplomatic and consular imports, goods for temporary admission (such as exhibition items), and certain categories under international trade agreements. Additionally, re-exported goods may qualify for duty refunds.
FCA-Aligned: Customs duty rates are based on UAE Federal Customs Authority regulations for 2025. Actual duty may vary based on HS code classification and trade agreements. Consult a customs broker for complex imports.
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Disclaimer: This calculator provides estimates based on current UAE Federal Tax Authority rates and MOHRE labour law provisions. It does not constitute professional tax, financial, or legal advice. Your actual entitlements may differ depending on your individual circumstances, employment contract, and applicable free zone regulations. Always consult a qualified adviser before making financial decisions. Read our terms