1- The terms and phrases listed below – wherever they appear in the Law – shall have the meanings set forth before each of them, unless the context requires otherwise:
The Panel: The General Panel for Zakat and Income.
The Board of Directors: The Board of Directors of the Panel.
The Agreement: The Unified Agreement for Excise Tax of the GCC countries.
The Law: The Excise Tax Law.
The Kingdom: The territory of the Kingdom of Saudi Arabia, which includes areas outside the territorial waters over which the Kingdom of Saudi Arabia exercises sovereignty and jurisdiction over its waters, seabed, subsoil, and natural resources in accordance with its Law and international law.
The Registrant: The person registered with the Panel for tax purposes in accordance with the Law.
Production of Excise Goods: Any activity that includes the manufacturing of excise goods in the Kingdom, or their cultivation, or alteration of their composition; to the extent that it results in the imposition of tax.
The Tax Period: The duration during which the tax due is calculated.
The Regulation: The Implementing Regulation of the Law.
2- Except as provided in paragraph (1) of this article, the terms and phrases contained in the Law shall have the meanings defined in the Agreement.
Tax shall be imposed on excise goods in accordance with the provisions stipulated in the Agreement.
Excise goods shall be made available for consumption in accordance with the procedures specified in the Regulations.
Movement of excise goods which are under a tax suspension arrangement within the Kingdom shall be made in accordance with the procedures specified in the Regulations.
The Regulations shall specify the excise tax rules and procedures applicable in duty-free zones and shops.
Any person who seeks to engage in any of the following activities shall file with ZATCA a tax registration application:
1. Importing excise goods.
2. Producing excise goods.
3. Possessing excise goods under a tax suspension arrangement.
ZATCA shall register the applicant upon satisfying the requirements and following the procedures specified in the Regulations.
A registered person shall immediately notify ZATCA, in writing, of any change to the information he provides in his registration application in accordance with the Regulations.