Dubai’s new Salik VAT rule: Here’s the updated toll cost per gate crossing for UAE motorists.

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UAE motorists will pay an additional 20 to 30 fils per crossing at Salik toll gates from next month following the introduction of VAT on toll charges.

From June 1, motorists in Dubai will pay 5 per cent value-added tax (VAT) on every crossing through Salik toll gates after the operator confirmed the decision on Friday, May 22.

As a result, motorists using Salik’s 10 toll gates in Dubai will now pay VAT on top of the existing Dh6 and Dh4 toll charges.

Key details motorists should know

When will VAT take effect?
VAT will be applied from June 1, 2026.

How much tax will apply?
Motorists will pay 5 per cent VAT on every Salik toll gate crossing.

Which services will be taxed?
VAT will apply to:

  • Salik toll gate usage charges
  • Salik tag activation fees

The change means every trip through Salik gates will cost slightly more, increasing daily commuting expenses for regular drivers in Dubai.

Updated Salik toll charges after VAT

  • Before VAT: Dh6 per trip during peak hours (6am–10am and 4pm–8pm)
  • After VAT: Dh6.30 per trip during peak hours
  • Before VAT: Dh4 per trip during off-peak hours (10am–4pm and 8pm–1am)
  • After VAT: Dh4.20 per trip during off-peak hours

No toll charges apply between 1am and 6am.

Example of monthly commuting costs

A motorist crossing two Salik gates each way during peak hours would make four toll crossings daily.

  • New daily cost after VAT: Dh25.20
  • Monthly cost over 21 working days: Dh529.20

Under the earlier Dh6 tariff, the same commute would have cost Dh504 monthly. The VAT introduction therefore increases monthly commuting costs by Dh25.20 for this travel pattern.

Where will VAT payments go?

According to Salik, all VAT collected will be transferred to the Federal Tax Authority in line with UAE tax regulations.

What about previous toll crossings?

Salik clarified on May 15 that 5 per cent VAT has been applied retrospectively to toll revenues and related charges from July 1, 2022, to March 31, 2026.

The total VAT liability payable to the Federal Tax Authority amounts to approximately Dh471 million, including penalties for late payments.

Will motorists be charged retroactively?

No. Salik stated earlier this month that the retrospective VAT liability owed to the FTA will be reimbursed by the Roads and Transport Authority, meaning motorists will not be asked to pay VAT for past toll usage.

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