Dubai’s drivers are set to experience an increase in road tolls and parking fees as a result of a newly implemented 5% Value Added Tax (VAT) on Salik tolls and Parkin services. The recent changes mean that passing through a Salik toll gate during peak hours now costs Dh6.30, up from the previous Dh6, while the off-peak toll has risen from Dh4 to Dh4.20. Additionally, the price for acquiring a Salik tag has been adjusted, with in-person purchases now costing Dh105 instead of Dh100, and online purchases increasing from Dh120 to Dh126.
This VAT extension also impacts public parking services managed by Parkin. Standard on-street parking rates have been adjusted to Dh2.10 per hour during non-peak times, a slight increase from Dh2, and to Dh4.20 during peak hours, up from Dh4. Premium parking areas are not exempt from these changes; spaces that previously cost Dh10 per hour will now require Dh10.50. In multistorey car parks managed by Parkin, hourly fees have increased from Dh5 to Dh5.25, while the 24-hour parking rate has gone from Dh40 to Dh42.
Moreover, parking subscriptions and permits throughout Dubai will see similar adjustments. A three-month parking subscription, previously priced at Dh1,400, will now be available for Dh1,470 following the VAT application. These changes are part of the UAE’s broader financial regulation strategy, ensuring that Salik’s toll network and Parkin’s parking services comply with the country’s existing VAT requirements that are already applied to most goods and services.
Authorities have clarified that these amendments are intended to align transportation-related charges with typical VAT standards, reflecting a move towards standardizing tax application across various sectors. This decision marks a significant financial development in Dubai’s transportation landscape, affecting daily commuters and visitors who utilize road tolls and parking facilities across the city.