If you drive in Dubai regularly, there’s an important update coming next month that will affect both parking payments and Salik charges. From June 1, a new 5% VAT will apply to the following services:
- Dubai parking services (on-street and off-street parking, seasonal parking cards, permits and reservations)
- Salik toll gate charges and Salik tag activation fees
The parking and toll tariffs themselves are not changing. VAT will be collected on behalf of the UAE Federal Tax Authority under local regulations.
June 1 will also bring several other changes in the UAE, including a new public safety law. Starting from the same date, private companies in the country will have to follow new salary payment rules under updated MoHRE regulations.
