“Salk” and “Parkin” Implement Value Added Tax
“Salk” and “Parkin” have taken new steps to implement the Value Added Tax (VAT), reflecting their commitment to economic legislation in the UAE. Starting June 1, 2026, “Salk” will impose a 5% tax on toll gate fees, while “Parkin” will apply the same rate to parking services. This article discusses the details of the VAT implementation by both companies and its impact on users.
Details of “Salk”’s VAT Implementation
“Salk,” which operates the toll gate system in Dubai, announced that it will begin applying the VAT starting June 1, 2026. According to official information, this will involve imposing a 5% tax on the use of “Salk” toll gates and the activation of toll cards. The company will also transfer the tax amounts due to the Federal Tax Authority in accordance with the applicable laws in the country.
In its statement, “Salk” confirmed its commitment to complying with local legislation, focusing on providing smart mobility services that enhance the user experience. The purpose of these changes is to improve traffic efficiency in Dubai and offer innovative solutions that support smart mobility strategies.
“Parkin”’s Measures for Implementing VAT on Parking Services
For its part, “Parkin,” the largest provider of parking facilities and services in Dubai, announced the implementation of a 5% VAT starting from the same date. The tax will apply to all services provided, including roadside parking, lot parking, seasonal subscriptions, permits, and vehicle parking reservations.
This step is part of Dubai’s efforts to improve the financial system and enhance innovation in payment methods. The implementation of the tax is expected to simplify parking management and enhance the ability of companies to provide better service to customers.
Shift Towards Digital Payment in Dubai
As part of the “Cashless Dubai 2026” strategy, “Parkin” announced that it will gradually stop accepting cash payments through payment machines. With the implementation of the VAT, there will still be the option to pay using the “Nol” card in addition to the “Parkin” smartphone app. This decision reflects the emirate’s trend towards digitizing financial services and achieving a convenient experience for users.
The implementation of VAT by “Salk” and “Parkin” is a clear step towards achieving economic sustainability in Dubai and underscores the increasing importance of tax compliance in enhancing development and innovation. The impact of these changes could reshape how users interact with various utility services.