Motorists in Dubai will soon experience an increase in road tolls and parking fees due to the implementation of a 5% Value Added Tax (VAT) on Salik and Parkin services. Under these new regulations, the cost for drivers passing through a Salik toll gate during peak hours will see a rise from Dh6 to Dh6.30. Meanwhile, during off-peak times, the toll will increase from Dh4 to Dh4.20. Additionally, the price of acquiring a Salik tag will rise, with in-person purchases jumping from Dh100 to Dh105, and online purchases elevating from Dh120 to Dh126.
The VAT extension will also encompass all public parking services overseen by Parkin. The standard on-street parking charges are set to climb from Dh2 to Dh2.10 per hour during non-peak periods, and from Dh4 to Dh4.20 during peak hours. Premium parking zones, which are typically more expensive, will also be impacted. For instance, parking spaces currently costing Dh10 per hour will go up to Dh10.50 following the VAT application. In Parkin-managed multistorey car parks, the hourly parking fees will rise from Dh5 to Dh5.25, and the daily 24-hour rate will increase from Dh40 to Dh42.
Furthermore, parking subscriptions and permits across the city of Dubai are not exempt from these changes. A three-month parking subscription, currently priced at Dh1,400, will see an increase to Dh1,470 once VAT is applied. These adjustments are part of the broader financial regulations being enforced across the UAE, ensuring that Salik’s toll network and Parkin’s parking services are in line with the existing VAT requirements that are already applicable to most goods and services within the nation.
The authorities have emphasized that these changes are part of an effort to align the toll and parking systems with the country’s tax regulations, reflecting the broader application of VAT that has become standard across many sectors. Motorists and regular users of these services will need to adjust their budgets accordingly as these new charges take effect, impacting daily commutes and routine parking expenses.