Dubai’s road toll and parking expenses are set to rise as a result of the implementation of a 5% Value Added Tax (VAT) on Salik and Parkin services. This adjustment means that motorists will see an increase in the costs associated with using these services. Under the new VAT rules, the fee for passing through a Salik toll gate during peak hours will go up from Dh6 to Dh6.30. Off-peak toll charges will experience a similar hike, increasing from Dh4 to Dh4.20. Additionally, the cost of purchasing a Salik tag will rise, with in-person purchases now priced at Dh105, up from Dh100, and online purchases moving from Dh120 to Dh126.
The VAT is also being applied to all public parking services managed by Parkin, leading to a rise in standard on-street parking rates. During non-peak periods, the hourly parking fee will increase from Dh2 to Dh2.10, while during peak hours, it will climb from Dh4 to Dh4.20. Premium parking zones are not exempt from these changes, with hourly rates in these areas rising from Dh10 to Dh10.50. Multistorey car parks operated by Parkin will see an increase in their hourly parking fees from Dh5 to Dh5.25, and the 24-hour rate will now be Dh42, up from Dh40.
Those holding parking subscriptions and permits across Dubai will also be affected by the VAT inclusion. For instance, a three-month parking subscription, which previously cost Dh1,400, will now be priced at Dh1,470. These changes reflect the UAE’s financial regulations and are part of a broader effort to align Salik’s toll network and Parkin’s parking services with the existing VAT requirements that apply to most goods and services in the country.
The new financial measures are indicative of Dubai’s commitment to integrating VAT across various sectors, ensuring a uniform tax application. Authorities have emphasized that these adjustments are necessary for maintaining consistency with the nation’s tax policy. As such, motorists and residents using Salik and Parkin services should prepare for the incremental increase in expenses as they navigate through Dubai’s roads and parking facilities.