Motorists in Dubai are facing higher costs for parking and toll road usage starting June 1, 2026, as two of the emirate’s major transport-related companies move to apply the UAE’s 5 per cent Value Added Tax to their services.
Salik, which operates Dubai’s toll gate network, confirmed through its official Instagram account that the VAT will be applied to both toll gate usage charges and tag activation fees beginning on that date. The tax collected will be remitted directly to the UAE Federal Tax Authority in compliance with national tax laws.
Parkin, which manages public parking across the city, separately announced that the 5 per cent levy will extend across its full range of services — covering on-street and off-street parking facilities, seasonal subscriptions, parking permits, and reservation services.
Both companies framed the move as a compliance measure under the UAE’s federal tax framework rather than a discretionary pricing decision. Parkin said it remains committed to aligning its operations with applicable legal and financial requirements, while Salik described the implementation as consistent with the country’s regulatory and financial policies.
Customers of both services are advised to check updated pricing details before the June 1 implementation date.
