Parkin and Salik have said that they will start adding a 5 per cent Value Added Tax to parking and toll services in Dubai from June 1 2026.
This change is happening because of tax rules in the United Arab Emirates, and Dubai’s plan to have a transport system that is completely cashless and digitally connected.
Parkin said that the Value Added Tax will be added to all their services, including parking on the street, parking in facilities, seasonal parking subscriptions, permits and reservation services. The company is making these changes with the help of the government. Following the tax rules of the country.
Salik also said that they will add the Value Added Tax to toll gate charges and Salik tag activation fees from the date. Salik stated that they will give all the collected Value Added Tax to the United Arab Emirates Federal Tax Authority as per the laws.
Parkin also said that they will stop accepting cash payments at parking meters in Dubai from June 1. This is part of Dubai’s plan to increase transactions and reduce the use of cash.
People will still be able to pay for parking through platforms and smart services. They can use the Parkin application, pay through SMS, use Nol cards, the Dubai Now app or the RTA mobile application.
This change is expected to make parking operations more efficient, improve payment methods and reduce delays at parking locations in the city.
The authorities in Dubai are focusing on making the city smarter by expanding services and infrastructure.
Adding the Value Added Tax to parking and toll services will slightly increase the cost of transportation for people who use the roads in Dubai every day. However, the switch to payments will make things more convenient and support faster and more efficient transportation services in the emirate.
Parkin has asked its customers to check the communication channels for more information and updates during this transition period.
Parkin and Salik are making these changes to follow the tax rules and to support Dubai’s plan to have a cashless and digitally connected transport system. The Value Added Tax will be added to all parking and toll services in Dubai from June 1 2026.
