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HomeGULFUAESalik toll charges in Dubai to include 5% VAT from June

Salik toll charges in Dubai to include 5% VAT from June

Motorists in Dubai will soon pay additional charges on toll gate usage after Salik announced that a 5 percent Value Added Tax will be applied to Salik services from June 1, 2026.

According to the company, the VAT will apply to toll gate crossing charges as well as fees charged for activating new Salik tags.

Salik confirmed the update through its official social media platforms and stated that the tax implementation will follow the existing tax laws and regulations of the United Arab Emirates.

The company also clarified that all VAT collected from customers will be transferred directly to the Federal Tax Authority in accordance with government regulations.

Salik operates Dubai’s electronic toll collection system, which automatically deducts toll charges from prepaid customer accounts using RFID enabled tags attached to vehicles.

The move means motorists using Dubai’s toll gates will notice a slight increase in overall travel costs from next month.

Authorities have not announced any changes to the base toll fee structure itself, with the VAT being added separately to existing charges.

The implementation forms part of the UAE’s broader VAT framework introduced across goods and services in recent years.

Motorists are advised to ensure sufficient balance in their Salik accounts to avoid payment issues after the updated charges come into effect.

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