Starting Tomorrow: 5% Tax on “Salk” and “Parkin”
Beginning tomorrow, transportation and parking services in Dubai will undergo significant changes with the implementation of a 5% value-added tax (VAT) on both “Salk” and “Parkin.” This announcement aligns with Dubai’s cashless strategy for 2026, aiming to promote the shift towards digital payments and reduce reliance on cash. This new tax will affect the toll fees for Salk gates and public parking charges, making it essential for users to be aware of the new costs and payment details.
Details of the Tax Implementation on Salk Services
The “Salk” company, the main operator of the toll gates in Dubai, has announced that starting tomorrow, it will apply a 5% VAT on the usage fees for Salk gates. This move is in compliance with the regulations of the Federal Tax Authority, and the collected amounts will be remitted according to the existing laws in the UAE.
With the new tax in effect, the toll fees for Salk during peak hours will increase from 6 dirhams to 6.30 dirhams, applicable from 6 AM to 10 AM and from 4 PM to 8 PM. During non-peak hours, the fee will be 4.20 dirhams instead of 4 dirhams. It is important to note that the period from 1 AM to 6 AM will remain free of charge.
Changes in Parkin Services
Simultaneously, “Parkin,” the largest provider of parking services in Dubai, has also announced that it will implement a 5% VAT on public parking fees starting tomorrow. This applies to all parking spaces, including roadside parking and seasonal subscriptions.
Parkin stated that the tax implementation was coordinated with the relevant government authorities to enhance transparency and legal compliance across all its services. The company urged customers to use its official channels for accurate information regarding the tax application.
Shift Towards Digital Payments
Dubai’s cashless strategy for 2026 is a key focus of these changes, as Parkin will gradually stop accepting cash payments at parking machines starting tomorrow. Users can continue to pay using the Nol card, but customers are encouraged to use the Parkin mobile app, which offers a seamless payment experience and reduces costs associated with various payment services.
With this, Dubai has taken a new step towards enhancing its smart transportation system, contributing to improved traffic efficiency and enriching the overall user experience.