Motorists in Dubai will soon be required to pay a 5 per cent Value Added Tax (VAT) on toll usage and tag-related charges under the Salik system, following a new announcement by the company.
Salik confirmed in a post on X that the VAT will come into effect from June 1, 2026, and will apply to toll gate usage fees as well as toll tag activation charges.
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The company stated that all VAT collected will be remitted to the UAE’s Federal Tax Authority in line with applicable laws and regulations. In its statement, Salik said: “We inform our users that, effective from 1 June 2026, a 5% value-added tax will be applied to the usage fees for Salik gates and the activation fees for toll cards.”
Salik operates Dubai’s automated electronic toll system, where RFID-enabled tags linked to prepaid accounts allow motorists to pass through toll gates without stopping.
The new VAT rule is expected to affect regular commuters using Dubai’s road network, adding a small additional cost to toll transactions starting next year.
