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UAE VAT Update - Salik Charges and Parking Fees Subject to VAT from 1 June 2026
05/06/2026Effective 1 June 2026, VAT at the standard rate of 5% applies to Salik toll charges, Salik tag activation fees, and public parking services in Dubai.
This change has important implications for businesses, particularly those operating vehicle fleets or regularly incurring toll and parking expenses. Organizations should assess the impact on VAT recovery, accounting and reporting processes, customer recharges, contractual arrangements, and system configurations to ensure compliance with the updated VAT requirements.
Read more about the business implications and VAT considerations arising from the taxation of Salik charges and parking fees.