Saudi Arabia determines the conditions for establishing free markets in customs ports

The Saudi Zakat, Tax and Customs Authority has determined the customs rules, conditions and procedures for establishing free markets in air, sea and land ports, in compliance with the unified customs system of the Gulf Cooperation Council states, which includes requirements relating to the operation of the free market, as well as provisions relating to requirements for operating permits and other controls.

The commission clarified that the definition of these rules follows the decision of the Council of Ministers to approve the establishment of free markets, as needed, in air, sea and land ports, and to allow sales there for travellers. in arrival and in departure from the Kingdom.

And he stressed that the decision will help support supply chains and improve the logistics services provided to stores duty-free by providing a wide range of goods and products for shopping during the trip, Saudi news agency, ‘SPA’ reported. .

The authority specified that the shops duty free will grant additional sales channels to local companies by selling their products to operators duty free, which support and contribute to the promotion of national products by displaying them in the sales pavilions.

The authority also indicated that the shops duty free are currently located in the departure lounges of a number of airports, which are King Abdulaziz Airport, King Khalid Airport, King Fahd Airport and Prince Muhammad bin Abdulaziz Airport in Madinah, noting that it seeks to expand as needed at air, sea and land ports, in coordination with the legislative authorities of the customs ports.

Free markets at customs are defined as retail outlets that allow travelers to purchase goods and products which are allowed to be traded in the Kingdom and which are subject to exemption from customs duties or taxes according to the provisions of the relevant legislation, as provided for in 78 of the Consolidated Customs Act and in paragraph 1 of article 12 of the Free Market Regulatory System.

Tax exemption systems differ from one country to another, depending on the location of the free market (arrival or departure halls) and in compliance with the provisions of the Single Customs System and its executive regulations and any relevant legislative, regulatory and legislative provisions in every country.

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