Dubai drops 30% Alcohol Tax | Liquor License to be Free of cost

Dubai drops 30% Alcohol Tax 

Dubai has dropped the alcohol tax which has been 30% so far as announced by the Dubai Municipality on twitter. 

The announcement says that the tax will not be charged for the rest of the year. This is the latest move in its series of liberalizing its policy to boosting tourism and attracting more foreign residents. 

Until now, there was no other additional Dubai Tax over the 30% charged, even this is now removed, making liquor more easily affordable, specially for foreign tourists who feel at home here with much international relaxed laws.

It also will not charge any more fees for liquor permit, this move is seen to attract foreign tourists and residents in face of growing competition.

The two major liquor retailers Maritime and Mercantile International (MMI) which is a subsidiary of the Emirates group and has over 21 stores in Dubai and African + Eastern (AE) announced on their instagram accounts about the prices being revised to reflect the 30% tax reduction and are offering personal liquor licenses at zero cost.

Muslims are prohibited from acquiring licenses for purchase of alcohol in Dubai.

The changes are said to be initially implemented for a year to see the effect as reported.

Most recently, a Monday to Friday work week was introduced to synchronize with global business, after years of a Sunday to Thursday schedule.

The sale of alcohol in the UAE is already more liberalized compared to neighboring Gulf countries. Almost 90% of its population is made up of foreigners.

International visitors spent more than $29 billion in Dubai in 2022, the most of anywhere in the world, according to data from the World Travel and Tourism Council.

People also ask:

Q. How much tax do you pay in Dubai?

A. UAE does not charge any income tax, individuals and businesses have been enjoying their incomes 100% tax free. From June 2023, Companies will be required to pay a 9% corporate tax on profits exceeding 375,000 AED annually.

Q. Is Dubai actually tax-free?

A. Dubai only charges 5% VAT on products and services from residents until now, VAT is exempted or refunded to tourists. Other than VAT, there is no other sales or income tax whatsoever so yes, Dubai is actually a tax-free city and UAE as a whole a tax-free country.

Q. Do Tourists pay tax in UAE?

A. Tourists pay 5% VAT when buying products and services but can claim refund on products when leaving at Dubai International Airport using the self service kiosks.

Q. Can I leave permanently in Dubai?

A. Yes, if you buy a property worth 2 million AED, you get a 5 year visa which allows you to stay in Dubai and enjoy the luxury Dubai has to offer.

Q. Is Health care free in Dubai?

A. Health care is free only to UAE Nationals via public health centers, expats and tourists can avail the best international health care using their insurance.

Q. Is it cheap to shop in Dubai?

A. Dubai is actually known for its bargains and is a heaven for bargain hunters, electronics, gold is cheaper as compared to rest of the countries primarily due to Dubai being tax-free. Beyond the glamorous malls and luxury brands, there's an abundance of great places for cheap shopping in Dubai.